all News

From 2025, Uzbekistan will introduce significant changes to its tax system, affecting both businesses and individuals. Core tax rates, such as VAT (12%), personal income tax (12%), corporate income tax (15%), social tax (12%), and property tax for legal entities (1.5%), will remain unchanged. However, tax exemptions for corporate income tax and turnover tax for exported goods and services, as well as certain sectors of the economy, will be abolished.

Specifically, corporate income tax rates for e-commerce entities will increase from 7.5% to 10%, and turnover tax will rise from 2% to 3%. Fixed turnover tax rates for small businesses based on their income will also be introduced, valid until January 1, 2026. Additionally, tax benefits related to dividends and reporting will be eliminated.

Furthermore, from 2025, the VAT refund system for large taxpayers will transition from an expedited process (7 days) to a standard process (30 days), ensuring equal conditions for all taxpayers.

From April 2025, excise duties will be revised. A new excise tax on non-carbonated sugary drinks will be introduced (500 UZS per liter), while the rate for carbonated drinks will decrease from 500 UZS to 300 UZS. Excise taxes on alcohol, tobacco, and fuel will also be updated.

Property taxes and land taxes will be indexed by 10%, applicable to both individuals and legal entities. Additionally, the tax system for individual entrepreneurs will be adjusted, including new minimum and maximum personal income tax rates based on income level and location.

For individual entrepreneurs, new measures in 2025 will include the right to pay personal income tax at fixed rates depending on the type of activity and income. Employees of individual entrepreneurs earning up to 100 million UZS can pay tax at a rate of 12% of their salary or 50% of the fixed tax for entrepreneurs.

Local authorities will also gain expanded powers, including the ability to set tax rates for entrepreneurs, water resources, and subsoil use based on the economic conditions in their regions.