Tajikistan’s lower house (Majlisi Namoyandagon) of parliament has endorsed a draft new Tax Code.
A regular sitting of the Majlisi Namoyandagon, presided over by its head, Mahmadtoir Zokirzoda, took place on November 3.
Presenting the draft new Tax Code to lawmakers, Finance Minister Faiziddin Qahhorzoda noted that the new Tax Code provided for reducing the number of taxes from 10 to 7 and cutting the income tax rate from 13 percent to 12 percent.
Besides, the rate of the value added tax (VAT), VAT, the share of which in the total volume of the tax revenues in the country’s budget is more than 40 percent, will be cut from 18 percent to 15 percent beginning on January 1, 2022.
Starting from 2023, the rate of VAT will be cut to 14 percent, and beginning on January 1, 2027, VAT rate will be cut to 13 percent.
The minister further noted that the new Tax Code contains many other innovations, but not all of them will work after the adoption of the new tax legislation.
New norms of the Code will be implemented in stages, Qahhorzoda noted.
Recall, developed by the working group in cooperation with international and local experts, the draft new Tax Code of Tajikistan was posted on www.itcmf.tj/kodeks on February 8, 2021 and it was available for public consultations until February 26, 2021.
Citizens of Tajikistan might send their comments and proposals on the draft Tax Code to the Tax Committee through the abovementioned website.
President Emomali Rahmon initiated development of the new Tax Code in late May 2019. He ordered to take into consideration interests of business entities and citizens of the country while developing the new Tax Code.
The Minister of Finance Faiziddin Qahhorzoda told reporters in Dushanbe in February last year members of the working group for development of the new tax code also included specialists of the World Bank and the working group had taken into consideration proposals of tax payers and representatives of the private sector while developing the new Tax Code.
