FREE ECONOMIC ZONES
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For the purposes of formation of favorable conditions for attracting foreign and local investments for creation of modern high-tech productions , providing for the production of competitive products with high added value , as well as for complex and effective use of production and resource potential of the country ’ s regions , 7 Free Economic Zones ( FEZ ) have been established by the Decrees of the President of the Republic of Uzbekistan , such as “ Navoi ” ( Navoi region ), “ Angren ” ( Tashkent region ), “ Jizzakh ” ( Jizzakh region ), “ Urgut ” ( Samarkand region ), “ Gijduvan ” ( Bukhara region ), “ Qoqand ” ( Ferghana region ) and “ Hazarasp ” ( Khorezm region ).
The period of functioning of Free Economic Zones makes up 30 years with the possibility of subsequent extension . The participants of the FEZ will be exempt from paying a number of taxes , customs duties and mandatory payments for imported equipment and raw materials for production needs .
Special tax regime . Enterprises in Free economic zones are exempted from land tax , property tax , profit tax , tax on improvement and development of social infrastructure , single tax payment ( for small businesses ),
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as well as obligatory deductions to nonbudget funds . The above-mentioned privileges are granted for the period of 3 - 10 years depending on the amount of investments made , including those equivalent to : - from 300 thousand US Dollars to 3 million US Dollars – for 3 years ; - from 3 million US Dollars to 5 million US Dollars – for 5 years ; - from 5 million US Dollars to 10 million US Dollars – for 7 years ; - over 10 million US Dollars – for 10 years , while profit and uniform tax rates for the next five years are established at 50 percent below the current rates .
In respect of business entities registered in Free economic zones the acts of tax legislation of the Republic of Uzbekistan , worsening the situation of the taxpayer do not apply , with the exception of acts regulating the taxation of excisable goods .
Special custom s regim e . Enterprises registered in Free economic zones are exempted from customs payments for imported equipment as well as raw materials , materials and component products for production of products for export for the entire period of free industrial economic zone functioning .
Uzbekistan profile | January - 2017