Uzbekistan, Republic of
WHT is to be withheld and remitted to the state budget by entities paying income to non-residents if these entities qualify under a tax agent definition (i.e. by [i] Uzbek legal entities and [ii] non-residents operating in Uzbekistan via PE).
Income of non-residents subject to WHT (including income in the form of dividends, interest, and royalties) is to be paid without withholding of WHT at source or with application of a reduced WHT rate as provided by the tax treaty (with certain exemptions), provided that there is a duly formalised tax certificate issued by a competent authority confirming that non-residents are registered for tax purposes in the state with which Uzbekistan has the effective tax treaty.
The domestic WHT rates are as follows:
|Dividends and interest to residents||5|
|Dividends and interest to non-residents||10|
|Insurance and reinsurance payments||10|
|Royalties, services (including management, consulting services), rents, other income||20|
Double taxation treaty (DTT) relief
Foreign legal entities that do not carry on activities in Uzbekistan through a PE are subject to WHT on income from sources in Uzbekistan, subject to the terms of a relevant DTT. Uzbekistan has enforced DTTs with 54 countries.
DTTs in force establish WHT rates as follows:
|Canada||5 (1)/15||10||5 (3, 4, 6)/10|
|Czech Republic||5 (8)/10||0 (9)/5||10|
|Finland||5 (1)/15||5||0 (6)/5 (5)/10 (4)|
|France||5 (2)/10||0 (7)/5||0|
|Georgia||5 (8)/15||0 (9)/10||10|
|Germany||5 (8)/15||0 (9)/5||3 (3, 5, 10)/5 (4)|
|India||10||0 (7a, 7b)/10||10|
|Japan||15||0 (7)/10||0 (4)/10 (3, 5, 6, 10)|
|Kazakhstan||10||0 (7a, 9)/10||10|
|Kuwait||5 (8)/10||0 (9)/8||20|
|Latvia||10||0 (7a, 7b)/10||10|
|Lithuania||10||0 (7a, 7b)/10||10|
|Luxembourg||5 (8)/15||0 (7d)/10||5|
|Moldova||5 (1)/15||0 (9)/10||15|
|(The) Netherlands||0 (13)/5 (8)/15||0 (14)/10||0 (14)/10|
|Oman||0 (9)/7||0 (9)/7||10|
|Poland||5 (11)/15||0 (7a)/10||10|
|Romania||10||0 (7a, 7b)/10||10|
|Russia||10||0 (7a, 7b, 7c)/10||0|
|South Korea||5 (8)/15||5||2 (10)/5|
|Spain||5 (8)/10||0 (7a, 7b)/5||5|
|Switzerland||5 (11)/15||0 (7)/5||5|
|Tajikistan||5 (17) 10||10||10|
|Thailand||10||0 (7a, 7b)/10 (12)/15||15|
|United Arab Emirates||0 (7a)/5 (8)/15||0 (7a)/10||10|
|United Kingdom||5 (1)/10||5||5|
|Vietnam||15||0 (7a, 7b)/10||15|
- Where the beneficial shareholder owns not less than 10% of the voting shares.
- Where the beneficial owner holds at least 10% of the capital of the paying entity.
- Where royalties are paid for patents, trademarks, know-how, etc.
- Where royalties are paid for copyrights on literature, cinema, musical works, etc.
- Where royalties are paid for secret formulas, processes, or know-how.
- Where royalties are paid for computer software, patents, designs, models, or plans.
- Where one of the following conditions is met:
- recipient is a local authority or corporate body constituted under public law, including the central bank of the state, or interest is paid by the local authorities or corporate bodies
- interest is paid in respect to debt claims or loans, guaranteed, insured, or aided by the state or on behalf of the state
- interest is paid in respect to credit sales of industrial, commercial, or scientific equipment, goods and merchandise, or provision of services by an enterprise to another enterprise, or
- interest is paid in respect to a loan of any kind granted by a bank.
- Where the beneficial shareholder owns no less than 25% of the capital of the paying entity.
- Where the recipients of the interest are governments of contracting states or any governmental body (such interest is exempt from WHT).
- Where royalties are paid in respect to use or the right to use industrial, commercial, or scientific equipment.
- Where the beneficial shareholder owns no less than 20% of the voting shares.
- Where the interest is received by any financial institution (including insurance companies).
- Under the provisions of the Netherlands’ Company Tax Act and the future amendments thereto, a company that is a resident of the Netherlands is not charged to Netherlands company tax with respect to dividends the company receives from a company that is a resident of Uzbekistan.
- If and as long as the Netherlands, under its national legislation, levies no WHT on interest or royalties paid to a resident of Uzbekistan, the WHT rate for interest and royalty income paid at source in Uzbekistan shall be reduced to 0%.
- Where the beneficial owner directly holds at least 25% of the property of the company paying the dividends throughout a 365 day period that includes the day of the payment of the dividend.
- If confirmation is not provided, the dividend income will be taxed at the rate of 15 percent, as provided by the Russian Tax Code.
- Where the beneficial shareholder owns not less than 25% of the capital of the paying entity.