1. Small businesses
First of all, it is essential to know what legal and physical entities can be defined as small businesses. According to Article 5 of the Law of the Republic of Uzbekistan "On guarantees of freedom of entrepreneurship"
Small businesses are:
1) individual entrepreneurs ;
2) microcompanies with annual average number of workers employed in manufacturing industries - not more than twenty people , services and other non-manufacturing sectors - not more than ten people in the wholesale and retail trade and catering - not more than five people;
3) small businesses with annual average number of workers employed in industries:
light and food industry, metal processing and instrumentation, woodworking, furniture industry, building materials, and other industrial production spheres prescribed by law - not more than a hundred people;
engineering, metallurgy, energy and chemical industries, production and processing of agricultural products, construction and other industrial production spheresprescribed by the law - not more than fifty people;
science and scientific services, transportation , communications, services (excluding insurance companies) , trade and catering and other non-production sphere - not more than twenty five people.
2. Privileges and preferences
To date, the legislation establishes the following privileges and preferences for small businesses:
Planned inspections of financial and economic activities of small businesses are made not more than once every four years.
Financial and economic activities of the newly established small businesses cannot be subject to planned inspections during the first three yearsfrom the date of their registration. Exceptions are newly created small enterprises producing excisable goods, as well as those, which financial and economic activities associated with targeted use of budgetary and centralized funds and resources. Financial and economic activities of those entities are not subject to planned inspections during the first two years from the date of their registration.
Dates of inspections of small businesses should not exceed thirty calendar days and this period cannot be extended.
Small businesses may apply simplified taxation. Exceptions are microcompanies and small enterprises:
- engaged in the production of excisable products and mining taxable for subsoil use, except for microcompanies and small enterprises producing burnt brick on the basis of energy saving technologies using special ovens;
- with activities to provide for the payment of the single land tax in accordance with Chapter 57 of the Tax Code of the Republic of Uzbekistan and the flat tax in accordance with Chapter 58 of the Tax Code of the Republic of Uzbekistan;
- participants Product Sharing Agreements (PSAs)
While contacting the court within ongoing business entities of small business and entrepreneurship pay the state fee of 50 percent of the established rate .
In addition, the following guarantees for small businessesare established by the legislation of the country:
funding as a priority at the expense of attracted foreign loans shall be predominantly investment projects involving the production of competitive and export-oriented products and services through the further development of existing and new small joint ventures for the production of consumer goods, deep processing of agricultural products , as well as infrastructure development, primarily, in rural areas;
the aggregate amount of fees authorized banks of the Republic of Uzbekistan in the redistribution of foreign credit lines for investment projects of small businesses, including farms and farmers, should not exceed 0.15 per cent per annum of the sub-loan;
maturity of loans obtained in foreign credit lines, cannot be reduced by more than 3 months at their redistribution in subloan.
Diplomat Law Firm
|Оценка статьи :|