Gradual reduction of the tax burden on economic entities will continue next year, together with easing taxation procedures, Finance Minister of Uzbekistan said Tuesday

Gradual reduction of the tax burden on economic entities will continue next year, together with easing taxation procedures, Finance Minister of Uzbekistan said Tuesday. Income (profit) tax for legal entities will be reduced from 18% to 15% in 2005, Saidahmad Rakhimov said, adding that tax for microfirms and small entities will be cut from 13% to 12%. State budget deficit for 2005 is planned at 1% of the GDP, and will be covered by non-inflation sources, the minister said in his report at the session of the Oliy Majlis Committee for Budget, Banking and Financial Issues. Speaking on the expected implementation of the state budget in 2004 and draft budget for 2005, Rakhimov said current revenues of the budget in the first nine months of this year increased 4.4% year-on-year, which will allow increasing expenses for social support by more than 10 billion soums. The minister went on to say that the government was planning measures aimed at further economic development of the country, strengthening national currency, increasing social support and optimising state expenditures next year. The particular attention will be given to implementation of the state school education development programme, improvement of healthcare and sports, and financing social allowances. Wages to employees of state structures and student stipends and social allowances may be increased, Rakhimov added. The deputies considered issues included in the agenda of the 16th Oliy Majlis session, which will start on 2 December, including draft law on saving pension provision and other issues within the committee’s competence.