As previously reported by Spot, Shavkat Mirziyoyev has postponed the privatization of three state banks. This decision is outlined in a decree signed on December 27, 2024.
The document also indicates a reduction in benefits for companies operating in areas classified as category 5. This category includes 20 districts across 10 regions and Karakalpakstan, which have the most challenging conditions for entrepreneurship.
The property and land tax for legal entities (excluding large taxpayers and state companies) will be levied at a rate of 50% of the assessed amount. Previously, this rate was set at 1%.
Moreover, the exemption for individual entrepreneurs in these areas from income tax will be terminated. They will now be required to pay taxes amounting to a quarter of the minimum rate established by the Kengash for the territory.
Business benefits in regions with challenging conditions were introduced by a presidential decree at the end of 2022, along with categories based on the environment level for small businesses. In addition to the aforementioned measures, companies in category 5 areas benefit from:
- a 1% rate on profit tax, turnover tax, and social tax;
- guarantee on bank loans amounting to up to 2.5 billion sums;
- compensation for part of the interest on loans and leasing agreements (over the base rate of the Central Bank up to 40% of its current value).
Previously, Spot reported that companies in small industrial zones will no longer have their export product benefits extended.