Uzbekistan: Tax incentives for legal entities
Tax incentive measures aimed at promoting entrepreneurship from January 1, 2026
The president adopted Decree No. УП-138, which includes various tax incentive measures aimed at promoting entrepreneurship from January 1, 2026.
Legal entities transitioning from turnover tax to value added tax (VAT) for the first time will receive several tax incentives, including:
- A one-year corporate income tax exemption
- A penalty exemption for VAT registration non-compliance
- A six-month corporate income tax deduction for accounting expenses
Additionally, the obligation to prepare certain tax reports will be shifted to tax authorities, allowing taxpayers to amend reports within five business days. Companies with income exceeding UZS 20 billion (up from UZS 10 billion) must make monthly advance corporate income tax payments, easing the tax burden and aiding tax planning.
For more information, contact a KPMG tax professional in Uzbekistan:
Sardor Shermatov | sshermatov@kpmg.co.uz
Nafisa Sadullaeva | nsadullaeva@kpmg.co.uz