Government again asks parliament to exempt construction of National Theater and Ismoili Somoni Hotel from paying taxes

Asia-Plus

A draft law on the national budget for 2019 that was sent for consideration to the Majlisi Namoyandagon (Tajikistan’s lower chamber of parliament) this week reportedly provides for tax incentives for some companies.

The government has again asked the parliament to exempt companies constructing the National Theater of Tajikistan and a 5-star “Ismoili Somoni” Hotel from paying value added tax (VAT) and income tax in 2019, a source in the Tajik government told Asia-Plus in an interview.  

Recall, construction of what the Tajik president's official website boasts will be “Central Asia's largest theater” began in March 2015.  President Emomali Rahmon laid the theater’s cornerstone on March 17, 2015.  The five-story building will abut the National Museum in the flagpole area.

The Directorate for Construction of Government Facilities at President’s Executive Office controls the construction works.

About 680 million somoni have reportedly been allocated for construction of the new theater. 

Under amendments made to the country’s law on the national budget for 2018 the company constructing the National Theater of Tajikistan was exempted from paying value added tax (VAT) and income tax in 2018.  However, construction of the National Theater has been temporarily suspended for financial reasons.

Due to suspension of the construction works the National Theater is expected to be finished in 2021, according to the source. 

The building will include three large concert halls. The largest is reportedly projected to have a seating capacity of 2,400 and possess necessary world-class features.  The two other halls will have seating capacities of 1,200 and 1000 respectively.

A total space of the theater will be 7,480 square meters.  The theater that will have exhibit and art rooms is expected to host various cultural events.

Once completed, it will expand a list of ambitious projects implemented in Dushanbe.  Earlier projects include what was briefly the world’s tallest flagpole, completed in 2011.  Tajikistan also claims to have Central Asia’s largest library (completed in 2012), biggest museum (2013) and largest teahouse (2014).

Meanwhile, some experts say Tajikistan does not appear to have an abundance of theatregoers, nor does it need more theaters.

Thus, the 500-seat hall of Dushanbe’s Abulqosim Lohouti Academic Theater is reportedly often nearly empty.  Only when school groups come, it is half full.  It is a similar story at other theatres in Dushanbe.

Theatre lovers reportedly say that the end of state subsidies after the fall of the Soviet Union left drama troupes and art schools underfunded.

As far as a long lasting construction of a 5-star “Ismoili Somoni” Hotel in Dushanbe is concerned, it has been exempted from paying VAT and customs duties for the umpteenth time.  The hotel is being constructed by the Ismoili Somoni – 21st Century Company, which is headed by Rahmatullo Sadulloyev, the brother of the Orienbonk head Hasan Asadullozoda and brother-in-law (wife’s brother) of President Emomali Rahmon.

The Ismoili Somoni Hotel is having been constructed in Dushanbe for already more than twelve years.

The construction of the “Ismoili Somoni” Hotel officially commenced in Dushanbe on March 15, 2006.

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