Uzbekistan Proposes Easing Fines and Redistributing Resources in Tax Administration
Tashkent, Uzbekistan (UzDaily.com) — On 11 August, following a meeting with the President, Mubin Mirzaev, First Deputy Chairman of the Tax Committee, spoke in an interview with the “Uzbekistan 24” TV channel about proposed changes in tax administration aimed at combating the shadow economy.
According to him, five key areas of work have been identified, among which special attention is given to creating conveniences for taxpayers while simultaneously increasing their responsibility, as well as improving tax administration. The latter includes measures to prevent tax evasion.
Mirzaev recalled that, according to the Tax Code, desk tax audits are conducted — an analysis of taxpayer data and information held by tax authorities. If violations are identified that have not been corrected following this control, a tax audit is assigned, which entails penalties.
In this regard, it is proposed to introduce a procedure allowing taxpayers to independently correct errors and deficiencies through their personal account, provided the tax authorities do not have additional information on the case. This measure, according to Mirzaev, will help avoid fines and increase the efficiency of the system.
He also mentioned plans to redistribute personnel resources: more than 2,500 employees currently engaged in administering property and land taxes are planned to be transferred to work on VAT administration. This will be made possible by integrating processes into a unified billing system.
The freed-up specialists will interact with enterprises that have a high level of tax risks, assist them in fulfilling their obligations, and prevent major cases of non-payment. This approach, Mirzaev noted, will increase budget revenues and encourage businesses operating in the shadow economy to transition to the legal sector.