Simplified tax regime in Tajikistan: threshold, rates and reporting

The simplified tax regime for small businesses is governed by Chapter 52 of the Tax Code (Articles 374 to 381). Here is what a company choosing between the simplified and the general regime needs to know.

Who can use the simplified regime

The regime applies to businesses whose gross income for the last twelve consecutive calendar months has not exceeded 1 million somoni (Article 374(1)). Persons who started business activity during the calendar year are also covered (Article 375(1)).

The simplified regime does not apply (Article 375(2)), in particular, to:

• individual entrepreneurs operating under a patent;
• investment funds, professional securities market participants, insurance and credit institutions, microfinance organisations and pawnshops;
• users of natural resources, suppliers of primary aluminium, and producers and importers of excisable goods;
• persons acting as intermediaries under commission, agency and other intermediary agreements.

Which taxes it replaces

A simplified-regime taxpayer is not a payer of corporate income tax (except on income taxed by withholding at source) or of VAT (except import VAT and non-resident VAT withheld at source) (Article 374(5)). Other taxes established by the Code are paid in the usual way, and tax agent obligations remain (Article 374(6) and (7)).

Rates and calculation methods

The default option is 6% of gross income (Article 380(1)). Income is then determined on a cash basis (Article 376(3)). If goods, works or services supplied remain unpaid for more than 6 months, they are treated as paid for tax purposes (Article 377(2)).

The alternative is tax on income minus expenses at the rates of Article 183(4) (Article 380(2)). In 2026 this is 18% for most activities, including the production of goods: the 13% rate for production applied until 31 December 2025, and from 1 January 2026 the rate is 18% (Article 397(13)). A 20% rate is set for credit and financial institutions and mobile operators. The accrual method applies under this option (Article 376(4)).

To choose the alternative, the taxpayer files an application with the tax authority: a newly established company within 5 working days of state registration, an existing company by 31 December (Article 375(4)). For an existing company the new method applies from 1 January of the following year, and the chosen method must be kept until the end of the calendar year (Article 375(5) and (6)).

Reporting and payment

The tax period is the calendar year and the reporting period is a quarter (Article 379). The return is filed quarterly no later than the 15th day of the month following the reporting period, and the tax is paid by the same date to the local budget where the taxpayer is registered (Article 381).

When supplying goods, works or services to other businesses, a simplified-regime taxpayer must issue an electronic invoice unless the Code provides otherwise (Article 381(2) as amended by Law No. 2143 of 11 February 2025).

If income exceeds 1 million somoni

If gross income for no more than 12 consecutive calendar months exceeds 1 million somoni, the taxpayer must apply to switch to the general regime within 10 calendar days. The same deadline applies after voluntary VAT registration. If no application is filed, the tax authority transfers the taxpayer and notifies it (Article 375(3)).

A taxpayer may return to the simplified regime once income is again below the threshold and 36 calendar months have passed since the switch to the general regime (Article 375(3)).

Changes in the pipeline

The Government has approved and submitted to parliament draft amendments to the Tax Code (Resolution No. 441 of 26 June 2026). The draft would raise the income limit for the simplified regime to 7 million somoni, introduce rates of 6%, 4% and 3% depending on income, and extend the list of those who may not use the regime. As of 10 November 2026 the law has not been adopted and the rules described above apply. Read more: draft amendments to the Tax Code.

Questions and answers

ROMB Accounting teamProvisions checked against the official Adlia legal database.

This article is for information only and reflects the law as of the publication date. Before making decisions, check the current wording of the law or contact us for advice.