Government introduces tax compliance mechanisms for artists starting 2027

Starting January 1, 2027, income tax will be mandatory for artists in Uzbekistan. This was announced today, April 1, during a press conference at the Agency of Information and Mass Communications (AOKA) by Mubin Mirzaev, First Deputy Chairperson of the Tax Committee.

Mirzaev noted that many artists are currently not paying income tax. To address this issue, mechanisms for tax collection are being developed. Under the current regulations, artists are required to fill out declarations, disclose their incomes, and pay taxes accordingly.

“We must admit that many of our artists are not complying with this requirement. They are not fully declaring their incomes, and taxes are not being collected from these revenues. Currently, we are preparing a decision draft within the framework of combating the shadow economy,” Mirzaev stated.

According to Mirzaev, a grace period will be offered during 2025 and 2026, allowing artists to correct and submit their income declarations without penalties. Starting January 1, 2027, however, if artists fail to fully disclose their incomes or attempt tax evasion, tax compliance inspections will be carried out, and taxes will be calculated and collected.

“From January 1, 2027, no artist or individual will have the option to avoid declaring their income or evading taxes,” Mirzaev emphasized.

Currently, Uzbekistan has over 18 million income taxpayers. Additionally, the country has active unpaid tax debts amounting to 8.5 trillion UZS.