Moratorium on inspections, economic amnesty, and the presumption of innocence - experts on the reliefs granted to business
A 3-year moratorium on auditing small businesses has been announced. When an entrepreneur hires a private audit on their own initiative, the tax authority will recognize the auditor's conclusion. Within the framework of the economic amnesty, an opportunity was provided to settle tax debts without penalties. The presumption of the entrepreneur's innocence, meanwhile, strengthens the position of business in relations with state bodies.
Moratorium on inspections, economic amnesty, and the presumption of innocence — experts on the relief granted to businesses
Tax consultants Murod Muhammadjonov and Nodirbek Khojabekov, in an interview with Kun.uz, commented on the innovations in the decree signed following the head of state's meeting with entrepreneurs.
Murod Muhammadjonov:
Speaking about the general philosophy of Presidential Decree No. 175, many perceive it as another series of privileges. In fact, this is not a series of privileges, but rather, we can say that a new perspective on the relationship between the state and business is being formed.
The decree contains the idea of not punishing an entrepreneur if they voluntarily correct their mistake. If the implementation of the decision is established, there will be a drastic change in the relations between the state and business.
Murod Muhammadjonov:
One of the clauses in this decree is currently a very big piece of news for many. This is the declaration of a three-year moratorium on inspections of small businesses.
It is important to note: the moratorium does not apply to medium and large businesses, but only to small businesses. In our country, small business refers to enterprises with a turnover of up to 10 billion soums. These are individual entrepreneurs, those working under the turnover tax, and in general, entrepreneurs whose turnover does not exceed 10 billion soums, even if they have transitioned to value-added tax.
Here, "inspections" specifically refers to tax audits. Desk (cameral) tax audits are not included in this. Desk audits must take place. This also needs to be explained to entrepreneurs: it does not mean "That's it, they won't inspect me" and they can work however they want. Only tax audits will not be conducted, but desk control will remain.
In addition, if an entrepreneur wants to get a refund of value-added tax, an inspection within the framework of VAT will certainly be conducted. For example, they have goods worth 10 billion soums. If they say, "I want to get a refund of 1.2 billion soums of VAT from this," the tax authority must go and inspect according to the procedure: are these goods worth 10 billion soums really in stock or not? Is the VAT calculated on these goods worth 10 billion soums correct or not — these will be checked. This cannot be left uncontrolled.