Uzbekistan plans to reduce the VAT rate from 2023

In the Х Congress of the Liberal Democratic Party, the President of Uzbekistan, in his election programme, stated that the VAT rate would be reduced from 15% to 12%.

The previous reduction of VAT in 2019 in the republic allowed to reduce the tax expenses of entrepreneurs of about UZS 10 trillion. In addition, the President announced a reduction in profit tax for certain categories of business – from 20% to 15%.

On July 23, 2021 was adopted a Law of the Republic of Azerbaijan dated July 9, 2021

On July 23, 2021 was adopted a Law of the Republic of Azerbaijan dated July 9, 2021 #360-VIQD On making Amendments to the Labor Code, Civil Procedural Code, Family Code, Civil Code, Tax Code, Criminal Procedural Code, Administrative Procedural Code and Code on Administrative Offences, Law “On Social Insurance”, Law “On Health Insurance”, Law “On State Duty”, Law “On Judicial-Legal Council” and the Law “On Administrative Proceedings”.

The new version of the regulation on the unified skills guide for positions of managers, specialists and non-manual workers (USGP)

From September 8, 2021, the new version of the USGP regulation comes into force.

USGP is mandatory for use in organizations, regardless of their legal forms, in which labor relations are based on an employment contract.

For example, employers are given the right to independently make decisions on the application of qualification characteristics or professional standards contained in the USGP issues.

Kazakhstan Data Breach

In January 2022, Kazakhstan introduces the obligation on the VAT payment by foreign companies that are engaged in e-commerce with goods or provide e-services to individuals. The Law, dated 10 December 2020, No. 382-VI supplemented the Code of the Republic of Kazakhstan ‘On Taxes and Other Obligatory Payments to the Budget’ (hereinafter - the ‘Tax Code’)’ with a new ‘Section 25.  Features of Taxation of Foreign Companies When Engaging in E-Commerce with Goods, Providing E-Services to Individuals’.

Legal alert: revised labor code of Mongolia

In accordance with the “General Direction on Improving the Legislation of Mongolia until 2020” which is approved by Resolution No 11 of the Parliament of Mongolia, dated 2017, the revised Labor code was first drafted and submitted to the Parliament in March 2018. After several amendments made to the first draft since then, the revised law has been finally enacted on 2 July 2021. The law shall become enforceable from 1 January 2022. Preconditions to adopt the revised law and new regulations and amendments in this law are outlined in this alert.    

A Primer into corporate taxation in Tajikistan

Taxes are among the most difficult issues in any country of the world, and Tajikistan is no exception. Navigating through and understanding the Tax Code of Tajikistan (Tax Code) can prove to be a challenge due to the used language (it can be rather vague) and terminology (it is rather heavy). That leaves a room for tax authorities to provide their interpretation, which, as expected, will be beneficial for the state and not to the taxpayer.

One of the most frequently asked questions in my practice is the issue of a corporate taxation in Tajikistan: what legislation regulates taxes and how its structured, established practices, and implicit regulatory requirements and rules.

A new tax regime for certain categories of taxpayers is being implemented in Uzbekistan

In accordance with the amendments to the Tax Code introduced by the Law “On amendments and additions to the Tax Code of the Republic of Uzbekistan” No.ЗРУ-714 dated September 14, 2021, a special taxation procedure may be established in certain territories of the Republic of Uzbekistan, providing for the application of special tax rates.

Separate territories of the Republic of Uzbekistan with a special taxation procedure are: Sokh district, Chungar mahalla of Rishtan district, as well as Shakhimardan, Yordan mahallas and Tashtepa street - 2 Khosilot mahallas of Fergana district of Fergana region.