Uzbekistan Approves Measures to Implement the 2026 State Budget Law

Tashkent, Uzbekistan (UzDaily.com) — President of Uzbekistan Shavkat Mirziyoyev has signed a resolution titled “On Measures to Ensure the Implementation of the Law of the Republic of Uzbekistan ‘On the State Budget for 2026’,” which defines the key parameters of budgetary policy and tax administration for the upcoming year.

The document establishes the maximum allocations for second-level budget managers, as well as the minimum allowable levels of cash balances in the republican and local budgets.

It approves the revenue forecast for the state budget and lists major taxpayers whose corporate income tax and value-added tax (VAT) payments in 2026 will be directed entirely to the republican budget.

It is noted that any excess revenue over the main tax forecasts will remain in the respective local budgets.

Personal income tax and corporate profit tax will continue to be fully retained, while 100 percent of the VAT growth in the Republic of Karakalpakstan and 60 percent in other regions will be collected.

The resolution also defines the allocation of social tax proceeds starting 1 January 2026. For budgetary organizations, 98 percent will go to the off-budget Pension Fund, 1.2 percent to the State Social Insurance Fund, 0.4 percent each to the State Employment Support Fund, the Targeted Poverty Reduction Fund, and the Federation of Trade Unions. For other taxpayers, the shares are 95.9 percent, 2.5 percent, 0.8 percent, and 0.8 percent, respectively.

The resolution limits the increase of tax burdens for citizens: from 1 January 2026, property tax for individuals and land tax for non-agricultural land cannot exceed 1.3 times the amount calculated in 2025.

This restriction applies to residential properties, including those assessed at cadastral value in 2018.