President signs a decree on additional measures to support the population and businesses during the coronavirus pandemic
Tashkent, Uzbekistan (UzDaily.com) – On 27 April, President of Uzbekistan Shavkat Mirziyoyev signed a decree “On additional measures to support the population and businesses during the coronavirus pandemic.”
The document notes that from 1 April to 1 October, the donation to the Mahalla charity public foundation, the Kindness and Support foundation, the Uzbekiston Mehr-shavkat va salomatlik public foundation, including their branches in Karakalpakstan, regions, Tashkent, districts and cities, as well as individuals included in the list of people in need of social support, formed by khokimiyats:
cash and goods (services) are considered as deductible expenses when calculating income tax (rate of 15%);
of goods (services) is exempted from value added tax (rate of 15%) and is not included in the object of taxation on value added tax (rate of 4%).
The decree states that gratuitous assistance (cash, goods and services) received from the Mahalla Charitable Public Foundation of Uzbekistan, the Kindness and Support foundation, and the Uzbekistan Mekhr-Shavkat va Salomatlik Public foundation are not considered as income of individuals. , legal entities and individuals, if they are included in the list of individuals in need of social support, formed by local government bodies.
Individuals are entitled to an interest-free deferral of payment of tax on personal income received from renting residential premises to individuals and non-residential premises to business entities whose activities were suspended during the coronavirus pandemic. At the same time, the amount of the deferred on the payment of personal income tax is payable in equal installments by 1 April 2021.
The amount of lease interest accrued and deferred by leasing enterprises is not included in the total income when calculating income tax during the period of granted deferment.
The procedure for compensation by the State Fund for the Support of Entrepreneurship of interest costs on loans from commercial banks also extends to existing loan agreements of business entities.
In Uzbekistan, a procedure is being introduced according to which, in 2020, the amount of material assistance not subject to personal income tax paid to an employee increases from 4.22 to 7.5 times of the minimum wage.
The President agreed with the proposal of the Ministry of Economic Development and Poverty Reduction, the Ministry of Finance of the Republic of Uzbekistan to write off the amount of pension indebtedness for excessively paid pensions identified as a result of checks on the correctness of the appointment and payment of pensions, as of 20 April 2020.
From 1 May 2020, pensions are paid to working pensioners directly by the extrabudgetary Pension Fund under the Ministry of Finance (with the exception of persons receiving a pension at the expense of the State Budget of the Republic of Uzbekistan).
The deadline for the provision of interest-free deferment (installment plan) for tax payments on a simplified basis, envisaged in paragraph 6 of the Decree of the President of the Republic of Uzbekistan dated April 3, 2020 No. UP – 5978 “On Additional Measures to Support the Population, Economic Sectors, and Entrepreneurships during the Coronavirus Pandemic”, is extended until December 31, 2020.
Take into account that local government bodies have the right to independently determine the period during which the subsequent amount of taxes will be paid, for which a deferral (installment plan) is granted, but no more than two years.