From 2026, Uzbekistan to Launch Automated Risk Assessment System for Electronic Invoices

Tashkent, Uzbekistan (UzDaily.com) — Starting from 1 January 2026, Uzbekistan will introduce a real-time automated risk assessment system for electronic invoices (e-invoices), the State Tax Committee reported. The initiative is part of the presidential decree issued on 4 September (UP-153).

The system was developed in cooperation with experts from the International Monetary Fund (IMF), including IMF consultant to the State Tax Committee, Georgi Kandelaki. It enables the analysis of each e-invoice at the creation stage, assigning it a risk level: invoices with a high likelihood of irregularities are marked “red,” while those deemed compliant receive a “green” status. The supplier’s status is visible to the buyer, allowing businesses to assess potential tax risks in advance when selecting partners.

Currently, the system operates in a test mode without imposing penalties on violators. Since July, the Tax Committee has been publishing examples of major errors and violations detected through the new system when processing e-invoices. The goal is to digitalize tax administration and reduce shadow economic activity, including schemes involving shell companies, fictitious transactions, and fake documentation used for illegal VAT deductions.

An analysis of e-invoices for July–September revealed that 27 taxpayers carried out transactions inconsistent with their actual business activity. The total value of e-invoices issued to 281 companies amounted to 5.9 trillion soums, including 706 billion soums in VAT claimed for deduction.

Risk assessment is based on 48 criteria, the list of which remains undisclosed at the recommendation of international experts to prevent attempts to circumvent the system. Data from 71 ministries and government agencies are integrated into the platform. According to Hikmatilla Kodirov, Deputy Director of the VAT Administration Department, the three key criteria include the taxpayer’s payment history, compliance of founders with tax obligations, and the presence of a legitimate income source for the declared goods or services.

To change an invoice’s status from “red” to “green,” the seller or buyer must pay the full VAT amount. Once payment is completed, the invoice automatically receives “green” status and becomes eligible for VAT deduction.

Sherzod Kudbiev, Chairman of the State Tax Committee, previously stated that more than 3.5 million e-invoices are generated monthly in Uzbekistan. At the initial stage, the system will selectively analyze about 10% of invoices, categorizing them as “red” or “green” based on risk level. Invoices classified as “red” will not be eligible for VAT deduction until the full tax amount is paid.