Lawmakers approve special tax regime for foreigners in final reading

The Legislative Chamber of Oliy Majlis has approved in its second and third readings a bill introducing a special tax regime for foreign nationals, paving the way for its consideration by the Senate.

Photo: Legislative Chamber of Oliy Majlis

According to the lower house's press service, the legislation is designed to encourage foreign investment in Uzbekistan and enhance the country's attractiveness to international investors.

Under the proposed law, participants in the special tax regime would be exempt from paying tax in Uzbekistan on income earned outside the country.

The bill also proposes reducing the social tax rate for employees enrolled in dual education programs at industrial enterprises from the current 12% to 6% until the beginning of 2030.

The draft legislation was approved in its first reading in June. At the time, lawmakers explained that applicants seeking tax residency under the special regime would be required to open an account with an authorized bank or create a wallet on a cryptocurrency exchange, as well as pay a special fee set by the government.

The bill has now been forwarded to the Senate. If approved, it will be submitted to President Shavkat Mirziyoyev for signature before it can enter into force.

Special regime introduced by presidential decree

President Mirziyoyev introduced the special tax regime for foreign nationals through a presidential decree issued in October 2025.

The decree allows eligible foreigners to receive an exemption from Uzbek taxation on income derived from foreign sources, provided they meet a number of requirements.

To qualify, applicants must either own or rent residential property in Uzbekistan and spend at least 30 days in the country during a 12-month period. Those who satisfy the criteria may be granted tax resident status under the special regime.

The application fee is set at $50,000 for the principal applicant and $10,000 for each accompanying minor family member.

Application procedure

In May, the Cabinet of Ministers approved the procedure for granting the special tax status.

Applications may be submitted through Public Service Centers, the Unified Portal of Interactive Government Services, or the Electronic Tax Services Portal. They are verified by the Tax Committee and reviewed by a dedicated commission, which must issue a decision within three working days.