Tashkent, Uzbekistan (UzDaily.uz) — Uzbekistan will extend until 2030 a tax benefit allowing hotels to pay land and property taxes at rates reduced tenfold, while services provided by tour operators to foreign tourists will be treated as exports and exempt from value-added tax, according to measures announced at President Shavkat Mirziyoyev's meeting with entrepreneurs in Khorezm region.
US$50 million will be allocated to support the hotel business, including the construction, reconstruction and equipment of facilities.
Entrepreneurs are planned to receive loans in the national currency at an annual interest rate of 16% for up to 10 years.
The period for providing subsidies for the construction of three-, four- and five-star hotels will also be extended by another two years.
When confirming a hotel's category for the purpose of receiving a subsidy, the requirement to obtain an assessment from a foreign company will be abolished.
The tax benefit allowing hotels to pay land and property taxes at rates reduced tenfold will be extended until 2030.
For hotels with more than 50 accommodation places, banks will independently install ATMs capable of accepting cash in foreign currencies.
Another support measure will change the tax regime for the tourism business. Services provided by tour operators to foreign tourists will be treated as exports and exempt from value-added tax.
In addition, the customs benefit for importing tourist buses, electric buses and minibuses will be extended for one year. The recycling fee for these vehicles will also be abolished.
The measures adopted are aimed at further developing tourism and increasing its contribution to household incomes, according to the meeting.
