New tax rates were set in line with the presidential resolution “On forecast of main macroeconomic figures and parameters of the State Budget of Uzbekistan for 2011”.

In line with the document, basic rate of single tax payment was decreased from 7% to 6%. This will decrease tax burden, support and stimulate development of small and private businesses. Decrease of basic rate will allow taxpayers of this category to save over 50 billion soums.

From 1 January 2011, enterprises, specializing on renting stationary trade points (income of which from rent makes up 60%) for realization of food and non-food products, will pay the single tax payments at the size of 30%.

Single tax payment rate for other category tax payers was kept at the level of 2010.

The resolution set that customs brokers (legal entities, rendering service on customs registration) will pay single tax payment at the size of 6%.

From 1 July 2011, Uzbekistan plans to introduce order in line with which the sum of single tax payment is paid on established rates, but not less than 3 minimum size of land tax, calculated based on the size of their land.

Finance Ministry and Economy Ministry were granted right to establish decreasing coefficient based on the location of enterprises and their activity.

Finance Ministry and Economy Ministry, as well as State Tax Committee were entrusted to approve a regulation on order of calculation and payment of single tax payment taking into account minimal size of single tax payment.

Supply and sales enterprises will now pay single tax payment and they will pay taxes as wholesale trade organizations. The resolution said that those enterprises, which have no licenses for wholesale trade, should receive licenses till 1 April 2011. Supply and sales enterprises, which were registered before 1 January 2011, can buy and sell goods without license till 1 April 2011.

Wholesale enterprises (except wholesale drug organizations and specialized wholesale organizations, which are part of the Wholesale Enterprises Association) will continue to pay advanced payment on single tax payment at the size of 5% from revenue, received from each transaction.

As earlier reported, Uzbekistan announced 2011 as the Year of small business and entrepreneurship. Soon, the government of Uzbekistan will adopted programme “The Year of small business and entrepreneurship”, which will define measures on developing this sector.