In Uzbekistan, individuals with official salaries typically have Personal Income Tax (PIT) withheld at a rate of 12% each month. However, certain income categories are fully or partially exempt from this tax. Even better, if the tax has already been paid on these amounts, you can legally claim a portion of it back.
01Key PIT Exemptions and Benefits
- Education expenses: tuition fees for yourself, spouse, or children (up to 26 years old) at higher education institutions in Uzbekistan, including educational loans and their interest
- Private schools and kindergartens: parents or adoptive parents can exempt up to 3 million UZS per month per child for educational services at non-state preschools and schools
- Mortgage interest: amounts paid towards mortgage loans and their accrued interest, up to 80 times the Minimum Rate of Old-Age Pension (MROT) annually, where the property was acquired with a budget subsidy
- Pension savings: salary amounts voluntarily directed to Individual Accumulative Pension Accounts (INPS) at the People's Bank
- Investment accounts: salary directed to individual investment accounts for purchasing shares, up to 100 times the MROT annually (funds locked for 12 months)
- Employer-provided benefits: certain material assistance, medical compensation, children's camp vouchers, and non-cash gifts within prescribed limits
02How to Claim Your PIT Refund
There are two primary ways to utilise these benefits: either through a direct exemption via a tripartite agreement with your employer, or by claiming an annual refund for overpaid PIT. The annual refund process can be completed entirely online.
Step 1: Submit Your Annual Income Declaration
- When: by April 1st of the year following the reporting year (e.g., for 2024 income, declare by April 1, 2025)
- Where: electronically via my3.soliq.uz using your Electronic Digital Signature (EDS)
- Required: income statements from all workplaces, scanned copies of relevant contracts (university, private school, or mortgage agreement), and payment receipts
- In the "Tax benefits" section, select the appropriate benefit category and attach supporting documents — the system will automatically calculate your refundable amount
Step 2: Submit Your Refund Application
- When: after your declaration has been successfully submitted and processed
- Where: via my3.soliq.uz or my.soliq.uz
- Enter your bank card number, transit account, and bank MFO for the refund transfer
- Your refund will typically be transferred to your specified bank card within 15 days
Navigating tax benefits can be complex, but understanding these exemptions can lead to significant savings. If you need assistance with preparing your declaration, understanding your eligibility, or ensuring compliance, Advizen's experts are here to help.