Improving Tax Administration in a Business Environment: Fiscal Sustainability

This research paper examines the ongoing reforms and challenges in improving tax administration within Uzbekistan’s evolving business environment. Over the past decade, Uzbekistan has undertaken significant steps to modernize its tax system, streamline administrative procedures, and enhance transparency to support private sector development. The study analyzes key reform initiatives such as digitalization of tax services, simplification of tax reporting, alignment with international practices, and the introduction of incentive mechanisms to encourage compliance. It also highlights persisting issues, including administrative inefficiencies, gaps in taxpayer awareness, and the need to further reduce the shadow economy. By evaluating these developments, the research provides insights into how improved tax administration can contribute to a more favorable business climate, increased investment attractiveness, and sustainable economic growth. The findings emphasize the importance of continuous institutional modernization, capacity building, and digital transformation to ensure effective and equitable tax governance in Uzbekistan.