On October 25, the President Shavkat Mirziyoyev signed the Measures to provide the population and sectors of the economy with natural and liquefied gas decree.
According to the decree, from October 1, 2021, the excise tax rate for the sale of natural gas imported by legal entities to Uzbekistan will be zeroed.
While, from January 1, 2022, liquefied gas sold by manufacturing enterprises will not be subjected to excise tax.
Businesses shall be entitled for a deferral (installment plan) of VAT payment when importing natural and liquefied gas to Uzbekistan for up to 120 days without accruing interest and the requirement to ensure its payment.
The decree established that natural and liquefied gas shall be sold to the population at regulated tariffs (prices). When they are sold to the population at a price lower than the purchase price (prime cost), taxes shall be calculated based on the price determined by the authorized bodies in the manner prescribed by legislative acts.
The purpose of the decree is the stable supply of gas to the population and sectors of the economy, prevention of a sharp rise in prices for these resources, as well as increasing the investment attractiveness of this area.
From October 1, a zero rate of excise tax on gas exports has been established, and when it is imported into Uzbekistan, companies shall be waived from customs duties. In the future, it is planned to reduce tax rates for the use of subsoil for oil and gas, gold and other metals, as well as introduce a tax on rental income for subsoil users.
