“About 2,000 entrepreneurs voluntarily switched to paying VAT in 2018” – Dilshod Sultonov

Since beginning of the year, about 30,000 companies have been transferred to the generally established taxes (including VAT). Of these, about 2,000 entrepreneurs became voluntary VAT payers.

The Deputy Minister of Finance Dilshod Sultonov said this at a press conference on January 25, Kun.uz correspondent reports.

“The philosophy of VAT is to ensure continuity of the chain. In 2018, we expected that there would be about 17,000 enterprises that will switch to the generally established taxes. Following the results of last year, the number of tax paying enterprises was about 30,000. Of these, 2,000 voluntarily switched to VAT, despite the fact that the company's turnover did not exceed one billion soums. In business, these companies are a link of one chain. If they fall out of it, no one will work with them later on,” the deputy minister said.

He recalled that this year Uzbekistan will switch to electronic invoices. When this happens, the government will be able to track the passage of goods and be aware of the remains in the warehouses of entrepreneurs.

“At present, many budgetary organizations are unhappy that a contract is being concluded with entrepreneurs who do not have goods to sell. Now the state will be able to see the leftovers in the warehouse of entrepreneurs participating in public procurement,” Mr. Sultonov said.

Earlier, it was reported that individual entrepreneurs with a turnover over 100 million soums will be transferred to the payment of Single Tax Payment.