Deputy FinMin: If the VAT rate is reduced to 15%, the simplified procedure for calculating it will become irrelevant

The draft new Tax Code of Uzbekistan will not include a simplified procedure for calculating and paying VAT, said Deputy Minister of Finance Dilshod Sultanov.

On September 25, President Shavkat Mirziyoyev signed a decree “On measures to further improve the tax policy of the Republic of Uzbekistan”, which provides for the abolition of the simplified procedure for calculating and paying value added tax.

According to Sultanov, if the VAT rate is reduced to 15%, the simplified procedure for calculating it will become irrelevant.

“From the point of view of administration, simplified VAT is a rather complicated process. Besides, people are stepping back from it these days. For example, a quarter of taxpayers actively used simplified VAT, but by September 1, their number had dropped to 12%,” Sultanov said.