About 40 companies was deprived of IT Park Uz resident status

20 July, 2022

 

About 40 companies have been deprived of IT Park Uzbekistan resident status due to non-compliance with their obligations. In particular, an IT Park resident can operate only in those areas that it initially indicated in its business plan, as well as conduct an audit of its finances and submit a report on a quarterly basis. 

Residents who violate the Regulation's requirements will lose their status and their tax benefits will be revoked. Moreover, the company will have to pay the taxes from which it was previously exempted. 

IT Park resident status confers certain benefits. For example, resident companies are exempt from all types of taxes and mandatory contributions to state trust funds, as well as social tax for the period until 1 January 2028. At the same time, income from wages is subject to personal income tax at a flat rate of 7.5%.

In addition, the following preferences are granted to residents

— payments of dividends in foreign currency to foreign founders – 5%;

— payments of wages in foreign currencies for foreign employees;

— use of the Virtual Office service under contract with the IT Park Directorate;

— no work permit is required for foreign employees;

— to export services without having an export contract;

— residents' contributions to IT Park are reduced from 1% to 0.5% on annual exports over 20,000,000 USD.

To date, the number of IT Park residents is 707 IT companies.

Source: IT Park Uz