Unofficial translation Tax code of the Republic of Uzbekistan

No.	Taxpayers
Tax rates, in percent
1.	Taxpayers of all sectors of the economy, except for those provided for in paragraphs 2 — 14	4
2.	Legal entities which provide customs clearance services (customs brokers)	5
3.	Pawnshops	25
4.	Legal entities which receive income from the organization of mass entertainment events by attracting legal entities and physical persons (including non-residents) licensed to engage in concert and entertainment activities	5
5.	Brokerage offices (except for those specified in paragraph 6), and taxpayers which provide intermediary services under a commission, delegation contracts and other agreements for the provision of intermediary services, including individual entrepreneurs who provide intermediary services to operators and (or) telecommunications providers	25
6.	Insurance agents, as well as legal entities which carry out brokerage activities on insurance, securities markets, and commodity exchanges	13
7.	Legal entities, the main activity of which is the rent of assets (except for leasing companies)	8
8.	Catering enterprises
	depending on the location:
	in cities with a population of one hundred thousand and more	8
	in other settlements	6
	in remote and mountainous areas	4
	of them
	specialized catering enterprises which serve secondary schools, boarding schools, secondary specialized, vocational and higher educational institutions	75% of the established tax rate depending on the location
9.	Taxpayers in the retail trade
9.1.	depending on the location:
	in cities with a population of one hundred thousand or more	4
	in other settlements	2
	in remote and mountainous areas	1
9.2.	irrespective of location:
	on turnover from the sale of alcoholic beverages, tobacco products, gasoline, diesel fuel, liquefied and compressed gas	4
10.	Retails enterprises which are engaged in wholesale, as well as wholesale and retail trade (with the exception of those specified in paragraph 11)	4
11.	Wholesale and retail pharmacy organizations situated in:
	cities with a population of one hundred thousand and more	3
	other settlements	2
	in remote and mountainous areas	1
12.	Procurement organizations and individual entrepreneurs who purchase, sort, store and pack agricultural products	4% of the turnover or 25% of gross income
13.	Taxpayers who are included in the National Register of Electronic Commerce Entities	2
14.	Taxpayers, the only participants of which are public associations of persons with disabilities, the Nuroniy Foundation and the Association “Chernobyl people of Uzbekistan”, where disabled persons, veterans of war and labor front of 1941 — 1945 account for no less than 50 percent, and the share of the labor payment fund of disabled persons, veterans of war and labor front of 1941 — 1945 is no less than 50 percent of the total labor payment fund of association	0

Article 468. Maintenance of Separate Records
Taxpayers who are engaged in several types of activities for which various objects of taxation and (or) tax rates are established , shall be obliged to maintain separate records for such types of activities and pay tax at the tax rates established for the corresponding categories of taxpayers.
The provisions of the first part of this Article shall equally apply to taxpayers in the field of retail, who have several outlets, which are not independent legal entities and situated in different settlements.
The income, which is indicated in paragraphs 4, 5, 6, 10, 11, 12, 13, 14, 17, 18, 21, 22, 23, 25 and 27 of the third part of Article 297 of this Code, as well as income in the form of interest, shall be taxable according to tax rates, which are established for the type of activity of the taxpayer, which provides the predominant share of income in total aggregate income as at the end of the reporting (tax) period.
Where the types of activities specified in paragraphs 2-14 of Article 467 of this Code, have not been carried out in the reporting (tax) period, the incomes specified in part three of this Article shall be taxable at the tax rate established in paragraph 1 of Article 467 of this Code.
Article 469. Tax Period. Reporting Period
The tax period shall be the calendar year.
The reporting period shall be the quarter.
Article 470. Procedure for the Calculation of Tax, Submission of Tax Reporting and Payment of Tax
The amount of tax on the results of the reporting (tax) period shall be determined by the taxpayer independently.
The amount of tax as at the end of the reporting period shall be calculated on a cumulative basis from the beginning of the tax period as the percentage of the tax base corresponding to the tax rate, unless otherwise provided by this Article.
Tax reporting shall be submitted to the tax authority for the place of tax registration, within the following time limits:
1) on the basis of the results of the reporting period — no later than the fifteenth day of the month following the reporting period;
2) on the basis of the results of the tax period — no later than February 15 following the tax period which has elapsed.
Tax shall be payable on the basis of the results of the reporting (tax) period not later than the time limits for the submission of tax reporting for the relevant reporting (tax) period.
SECTION XXI. SPECIAL CONSIDERATIONS RELATING TO TAXATION OF CERTAIN CATEGORIES OF TAXPAYERS
Chapter 67. Special Considerations of Taxation of Legal Entities with the Participation of Direct Private Foreign Investment
Article 471. Conditions of Taxation of Legal Entities with the Participation of Direct Private Foreign Investment
For legal entities, which are established with the participation of direct private foreign investment, and specialize in the production of goods (provision of services ) in the sectors of the economy which are indicated in the list approved by legislation, the special considerations of the application of benefits with respect to certain taxes shall be provided.
Foreign direct investment shall be understood to mean investments, which are invested without a guarantee of the Republic of Uzbekistan by physical persons, who are citizens of a foreign state, stateless persons permanently residing outside the Republic of Uzbekistan, as well as foreign non-state legal entities.
Legal entities specified in part one of this Article shall enjoy tax benefits in the form of exemption from land tax, tax on assets and tax for the use of water resources, for a time limits determined by the decision of the President of the Republic of Uzbekistan, depending on the volume of direct private foreign investments.
An enterprise with the participation of direct private foreign investments shall have the right to enjoy other tax benefits provided for by tax legislation.
Article 472. Procedure for the Application of Tax Benefits by Legal Entities with the Participation of Direct Private Foreign Investments
Tax benefits provided for in Article 471 of this Code shall be applied where all the following conditions are satisfied:
1) where legal entities have placed in territories determined by legislation;
2) where foreign investors invest direct private foreign investments without a guarantee of the Republic of Uzbekistan;
3) where the share of foreign participants in the charter fund (authorized capital) of legal entities is not less than 33 percent, and for joint stock companies — not less than 15 percent;
4) where foreign investments have been invested in the form of freely convertible currency or new modern technological equipment;
5) where not less than 50 percent of the income, which is received as a result of the application of tax benefits provided for in Article 471 of this Code during the period of their application, has been directed to reinvestment for the purpose of further development of production.
In the event where the activities of a legal entity with the participation of direct private foreign investments which received tax benefits provided for in Article 471 of this Code terminates earlier than one year upon the expiry of the time limit for which they were provided, the repatriation of profit and the export of capital of the foreign investor abroad shall be carried out only upon compensation of the amounts of tax benefits, which have been granted, to budget.
Where non-compliance with the conditions provided for in this Chapter has been revealed, a legal entity with the participation of direct private foreign investments, which received tax benefits provided for in Article 471 of this Code, shall pay taxes in accordance with the generally established procedure and with accrual of penalties provided for in Section VIII of this Code, for the period during which it did not meet the established requirements.
Chapter 68. Special Considerations of Taxation of Participants of Special Economic Zones
Article 473. Conditions of Taxation of Participants of Special Economic Zones
Participants of special economic zones shall enjoy tax benefits in the form of exemption from tax on assets, land tax and tax for the use of water resources, for a time limits determined by the decision of the President of the Republic of Uzbekistan, depending on the volume of investments.
Participants of special economic zones shall enjoy tax benefits in the form of exemption from tax on assets, land tax and tax for the use of water resources, for a time limits determined by the decision of the President of the Republic of Uzbekistan, depending on the volume of investments.
Participants of special economic zones shall enjoy benefits with respect to value added tax and other taxes in accordance with this Code.
Article 474. Procedure for the Application of Tax Benefits by Participants of Special Economic Zones
The time limits of validity of tax benefits provided for in part one of Article 473 of this Code shall be calculated from the date of receipt of the certificate of a participant of a special economic zone.
Where a business entity has been deprived the status of a participant of a special economic zone, it shall not be entitled to enjoy tax benefits and other preferences provided to participants of a special economic zone from the 1st day of the month in which it was deprived of the status of a participant of a special economic zone.
Where a participant of a special economic zone has increased the volume of investments to a size which grants a longer period of validity of tax benefits, it shall have the right to extend the time limit of validity of tax benefits in accordance with the actual volume of investments. In this respect, where the volume of investments has increased after the expiry of the previous period of validity of benefits, tax benefits shall be applied from the 1st day of the month following the month in which the right to a longer period of validity of benefits arose.
Chapter 69. Special Considerations of Taxation of Activities which are Carried Out within the Framework of a Production Sharing Agreement
Article 475. General Provisions
A production sharing agreement shall be deemed an agreement in accordance with which the Republic of Uzbekistan grants a foreign investor exclusive rights to prospect, exploration of deposits and extraction of commercial minerals in the subsoil plot specified in the agreement, with consideration and for a specified time limit.
The production sharing agreement shall provide for:
the procedure for maintenance of records and reporting;
the procedure for maintenance of records and reporting;
the procedure for exporting a foreign investor's share.
Article 476. Special Considerations of Taxation of Activities which are Carried Out within the Framework of a Production Sharing Agreement
A foreign investor shall pay taxes provided for in Article 17 of this Code, with the exception of cases stipulated by the legislation on production sharing agreements, during the term of the production sharing agreement.
The taxes provided for in part one of this Article shall be levied at the tax rates established for residents of the Republic of Uzbekistan, unless otherwise provided by the production sharing agreement.
A foreign investor shall be taxable with account taken of the following special considerations:
1) tax on profit shall be payable separately with respect to income received from the performance of work under a production sharing agreement, and income received from other types of activities. The object of taxation by tax on profit with respect to income received upon the performance of work under a production sharing agreement shall be the value of profitable products which belongs to a foreign investor under the terms of the agreement, without deductions;
2) the tax for the use of subsoil resources shall be established in accordance with the terms of the production sharing agreement as a percentage of the volume of extraction of commercial mineral raw materials or of the value of produced products and shall be payable in monetary form or as part of the extracted commercial mineral raw materials.
Where an association of legal entities, which does not have the status of a legal entity, acts as an investor, then one of the participants in such an association or an operator, which performs work under a production sharing agreement, shall act as the executor of tax obligations. In this respect, the investor, who received the license, shall be obliged to notify within a month the state tax service body about the participant who acts as the executor of the tax obligation from this association.
Chapter 70. Special Considerations of Taxation of Bar Associations, Law Firms, Law Offices and Lawyers
Article 477. Taxation of Lawyers
Bar associations, law firms and law offices, as non-commercial organizations in terms of activities with regard to the provision of legal assistance by lawyers, shall be exempt from taxes and levies, excluding:
customs payments;
social tax;
motor vehicle levy;
taxes subject to be withheld at the source of payment.
Where the bar associations, law firms and law offices carry out entrepreneurial activities (not connected to the provision of legal assistance by lawyers), taxes and levies shall be payable in the manner prescribed by this Code for legal entities, which carry out entrepreneurial activities.
Article 478. Taxation of the Income of Lawyers
The amounts of fees, which are received by lawyers for the provision of legal assistance, shall be taxable by the tax on income of physical persons in the manner prescribed by Section XIII of this Code, with account taken of the special considerations provided for by this Article.
The object of taxation by tax on income of physical persons shall be the income of a lawyer.
The income of a lawyer shall be defined as the difference between the amount which is received for the provision of legal assistance by a lawyer and the amount of funds which is transferred to the maintenance of the bar association, law firms and law offices.
The tax base shall be determined on the basis of the lawyer's income, deductible of social tax accounted in the income of a lawyer.
Chapter 71. Special Considerations of Taxation of Notaries which are Engaged in Private Practice
Article 479. Taxation of Notaries which are Engaged in Private Practice
Notaries who are engaged in private practice shall be taxpayers of taxes in accordance with the procedure established by this Code, with account taken of the special considerations provided for by this Chapter.
Notaries engaged in private practice, shall pay social tax and tax on income of physical persons at established rates, in terms of income received in the form of labor payment.
A notary engaged in private practice shall bear obligation for the calculation and payment of tax on income of physical persons and social tax in terms of labor payments of employees.
Notaries engaged in private practice shall be exempt from paying value added tax in terms of the provision of notary services.
Article 480. Taxation of Profit of Notaries which are Engaged in Private Practice
Notaries, which are engaged in private practice, shall pay tax on profit at the rate established by this Code. In this respect, the calculation, submission of tax reporting and the payment of tax on profit shall be carried out once a year no later than March 1 of the year following the tax period which has elapsed.
Upon calculation of tax on profit, all types of income provided for by Chapter 43 of this Code, shall be deemed income of notaries, which are engaged in private practice.
Expenses, which are connected with the performance of notarial activities shall be deductible. In this respect, non-deductible expenses shall be determined in accordance with Article 317 of this Code.
Profit, which remains after the payment of tax on profit, at the disposal of a notary, which is engaged in private practice, shall be treated as dividends, for tax purposes.