President announces stricter measures against secret salaries

Control over entrepreneurs operating secretly and paying salaries "in envelopes" will be tightened in Uzbekistan. This was announced today, February 7, at a videoconference meeting chaired by President Shavkat Mirziyoyev to discuss key tasks for the development of the service sector.

It was reported that two years ago, the social tax for enterprises in the trade and services sector was set at 1 percent. Over the past period, the number of enterprises increased by 1.5 times, and the number of employees in them increased by 220 thousand.

As many enterprises came out of the "shadow" and switched to accurate payroll reporting, wages increased by 3.2 times, and an additional 2.1 trillion soums in taxes were collected.

It was reported that many entrepreneurs are requesting an extension of the grace period for another three years. This proposal was approved, and it was determined that the benefit will now apply to employees of service enterprises under the age of 30 who receive a salary of at least 3 million soums.

Conversely, control over entrepreneurs who operate secretly and pay salaries "in an envelope" will be strengthened.

Additionally, construction, trade, and catering enterprises will be allowed to conclude short-term, simplified (day-by-day, work-by-day) employment contracts with employees.