The President of the Republic of Uzbekistan signed decrees to further support businesses climate. Key highlights:

1. Fixed Tax Rates

Until January 1, 2028, the following tax rates will remain unchanged:

- VAT — 12%;

- Profit Tax — 15% (exceptions include taxpayers with industry-specific rates).

2. Tax benefits for Manufacturing Enterprises

From 2025 to 2028, textile, footwear, and leather goods manufacturers will be able to pay Corporate Income Tax and Personal Income Tax at a reduced rate of 1% if:

- at least 15% of employees are from families listed in the social protection or low-income family registry;

- each employee receives a monthly salary of at least two minimum wages;

- at least 90% of revenue comes from core product sales.

3. Other Tax Changes for Businesses:

3.1. Exemption from VAT for transactions involving the sale of unused non-agricultural land plots.

3.2. Introduction of tax benefits for:

- the IT sector;

- publishing and printing activities;

- youth entrepreneurship.

3.3. Tax incentives for using renewable energy sources.

What is being canceled?

- Tax benefits on Corporate Income Tax and Turnover Tax provided to support revenues from exporting goods (services).

- Fixed turnover tax rates and regulations allowing tax payment under fixed amounts.

*Sources:

Decree of the President of the Republic of Uzbekistan, № DP-229 27.12.2024

Law of the Republic of Uzbekistan, № LRU-1014 24.12.2024