In the sewing industry of Kyrgyzstan, payments for workers have been reduced

Ирэн Орлонская Economy
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In the garment industry of Kyrgyzstan, payments for workers have been reduced
Photo from the internet. Reduction of tax payments in the garment industry

In the garment industry of Kyrgyzstan, there has been a reduction in mandatory tax payments for workers. This was reported by Kubanychbek Ysabekov, Deputy Chairman of the Tax Service, on the air of "Birinchi Radio".

According to him, previously garment enterprises faced a high tax burden, which was associated not with a single tax rate, but with income tax and insurance contributions, leading to payments ranging from 5,500 to 9,500 soms depending on the category of workers.

“Considering that these amounts were too high, we combined all categories and reduced the payment to 2,500 soms. This allows for a reduction in payments by three to four times. After this, representatives of the sector expressed their readiness for open work and official accounting of workers,” noted Ysabekov.

He also reminded that in 2022, a single tax rate of 0.25 percent was introduced for the garment industry, which is the lowest rate among production sectors.

For other types of production, the rates are significantly higher: they are 4 percent for cash transactions and 2 percent for non-cash.

In addition, some small enterprises retain the option to operate under a patent. For small garment workshops with 10 sewing machines, a payment of 2,000 soms is provided, and for every additional 10 machines — 1,000 soms. However, the turnover for each patent must not exceed 8 million soms.

Kubanychbek Ysabekov emphasized that the garment industry has important social significance, as thousands of people are employed in it. The state is interested in creating conditions for the legal and stable operation of businesses.
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