Open dialogue with the President: new regulatory amendments 

On August 22, entrepreneurs had an open dialogue with the President. The following initiatives, benefits, changes and innovations were announced as a result of the dialogue:

• VAT rate will be reduced to 12%

Starting from January 1, 2023 VAT rate will be reduced from 15% to 12%,

• New classification of companies

Companies will be divided into 3 groups depending on their annual turnover: microbusinesses (with annual turnover up to UZS 1 bln ), small businesses (with annual turnover up to UZS 10 bln), and medium businesses (with annual turnover up to UZS 100 bln). New tax rates will apply depending on company type.

• Decriminalization of trade liability

The President announced complete abolishment of criminal liability for violation of trade rules. 

• Release of liability for entrepreneurs

3-year moratorium on new penalties and penal measures against entrepreneurs was introduced. 

• Fees for applying to the court will be reduced

State fees for entrepreneurs applying to administrative courts will be reduced by half. In addition, the state fee will be set in a specific amount instead of a percentage of claim price. 

• Extension of an appellation period

The time limit for appeal of the tax authorities decision will also be changed from 1 month to 3 years.

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