In accordance with the Decree of the President of Uzbekistan “On the Concept of improving the tax policy of the Republic of Uzbekistan” of June 29, 2018, from January 1, 2019, entities with revenues of more than 1 billion UZS, regardless of the number of employees, are transferred to the payment of the generally established tax and value added tax.

Deputy Prosecutor of the city of Tashkent A.Pulatov, First Deputy Head of the State Tax Administration of the city of Tashkent Sh.Turdiyev and others provided entrepreneurs with detailed explanations about the significance of the decree, innovations to be introduced in 2019.

An excessively large gap between the tax amounts imposed on payers of the single tax payment and payers of generally established taxes does not encourage the consolidation of small business and development of healthy competition between small and large businesses.

The value added tax exists in almost all countries of the world, its highest rate is 27 percent. For example, in Hungary – 27 percent, in Denmark, Sweden, Norway – 25 percent, in Romania, Finland – 24 percent, in Greece, Ireland, Poland, Portugal, Uruguay – 23 percent.

The value added tax will first of all stimulate exports, since when exporting goods and services with value added, the budget will return VAT to the exporter.

In general, the new tax system will maintain price stability and stimulate economic growth.