Tashkent, Uzbekistan (UzDaily.uz) — Uzbekistan’s Ministry of Economy and Finance has proposed ending the provision of new social tax benefits to businesses and fully abolishing existing support measures from 2030.
According to the ministry, an analysis showed that abolishing the benefits would create more equal and competitive conditions for businesses. Currently, thousands of companies have their social tax rate reduced from 12% to 1% or to zero.
The ministry believes the existing system creates differences in the financing of pension insurance. In 2025, 65,000 enterprises received social tax benefits, with the total amount of support reaching 3.2 trillion soums.
At the same time, lower tax liabilities reduce businesses’ expenses, while pension obligations to employees remain in place. In this regard, the ministry proposes introducing a single social tax rate for all enterprises.
The ministry proposes supporting businesses not through exemptions from social tax but through subsidies from the state budget.
According to the ministry’s proposal, this approach would ensure equal conditions for the payment of social tax and the financing of pension rights for employees with the same level of wages, regardless of where they work.
Social tax revenues are directed to the Pension Fund. Currently, its revenues do not cover pension payment expenditures, requiring the state to provide additional funding.
The Ministry of Economy and Finance expects the abolition of social tax benefits to increase revenues to the Pension Fund and reduce the burden on the state budget.
