Question 1

What is the turnover tax in Uzbekistan?

Accepted Answer

The turnover tax is one of the simplified tax system (STS) regimes for sole traders and LLCs in Uzbekistan. It is assessed on gross revenue from sales of goods, works, and services. The rate depends on the type of activity: trade — 4%, most services and construction — 6%, catering — 8%, manufacturing — 4%.

Question 2

Who can use the simplified tax system?

Accepted Answer

The STS is available to sole traders and LLCs whose annual turnover does not exceed the established limit (the threshold is periodically updated in the Tax Code of Uzbekistan). If the limit is exceeded, the business switches to the general system with VAT and profit tax. Some activities (banks, insurance companies, excise goods production) cannot use the STS.

Question 3

What is the difference between turnover tax and VAT?

Accepted Answer

VAT is an indirect tax added to the price of goods and paid by the buyer. Turnover tax is a direct tax that the entrepreneur pays from their own income. Under STS, the entrepreneur is not a VAT payer (except for imports), so they do not add VAT to their prices and cannot claim VAT deductions.

Question 4

How often is turnover tax paid?

Accepted Answer

Turnover tax is paid quarterly. A declaration is submitted at the end of each quarter. Some taxpayer categories are required to make advance payments monthly. The exact procedure is determined by the Tax Code of the Republic of Uzbekistan.

Question 5

Is VAT included in the turnover amount for tax calculation?

Accepted Answer

STS payers are not VAT payers, so their revenue does not include VAT — they work without VAT. If another party issued an invoice with VAT for your goods or service, that is the seller's outgoing VAT, which does not relate to your turnover.

Business Type	Rate
Trade (wholesale and retail)	4%
Manufacturing	4%
Services (most types)	6%
Construction	6%
Catering	8%

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Turnover Tax in Uzbekistan: 2025 Rates

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