Tashkent, Uzbekistan (UzDaily.com) -- According to the Decree of the President, until 1 October 2023, as an experiment, the Tax Committee will be able to apply the tax gap indicator for VAT payment for tax control. This was reported by the press service of the Tax Committee under the Ministry of Economy and Finance of the Republic of Uzbekistan.

Since VAT is an indirect tax and its neutrality for business entities is achieved through the offset mechanism, it is necessary that the tax be paid to the budget at each stage of the sale of goods (services).

As explained in the Tax Committee, in order to achieve this goal, an experiment was initiated to prevent cases where unscrupulous taxpayers receive unjustified VAT tax benefits.

This is a global practice widely used in Europe and the CIS countries. The tax administrations of these countries, in the event of a VAT break in the supply chain of goods (services), initiate the most stringent tax control measures against all persons involved in such supplies in order to identify the beneficiaries of unjustified tax benefits.

It is important to understand that within the framework of the ongoing experiment, tax control measures will not be massive.

However, the creation of conditions for non-payment of VAT to the budget by unscrupulous taxpayers leads to the fact that absolutely all participants in the supply chain of goods (services), even those that are not related to them, fall into the risk group of committing a tax offense.

In this regard, the task of the tax authorities is to identify the real beneficiary and persons affiliated with him, with the help of which the unjustified tax benefit is achieved.

The experience of the Tax Committee on the digitalization of tax administration allows today to build a complete map of the chains of creation and transfer of added value, as well as the payment of VAT to the budget, in connection with which the application of the tax gap indicator will be carried out pointwise in relation to unscrupulous taxpayers who resort to aggressive methods of tax planning.

It should be noted that the targeted work will protect the rights of conscientious taxpayers who are not associated with the use of schemes to obtain unjustified tax benefits. The need for such targeted and targeted work was also voiced by representatives of the professional community and business circles.

The experiment will be carried out with the involvement of the general public, the expert community, and its results, including preliminary ones, will be covered in the media.