Mechanism for Increasing Tax Collection Efficiency through the Introduction of Automatic Electronic Notifications on Tax Arrears Based on YAIDXP

This is an urgent task facing the economy of Uzbekistan aimed at ensuring the fiscal stability and sustainable growth of state budget revenues. In this regard, one of the priorities is to enhance effective tax collection by digitifization of tax administration. This work explores the mechanism and efficiency of the automatic electronic notification system on the tax arrears implementation through the Unified Interactive Public Services Portal (YAIDXP). Using the official statistical data and analytical calculations as the starting point, the study considers the target population of YAIDXP among the economically active population and employees of enterprises, estimates the size of the ecosystem of potential tax liabilities that could be accessed via digital notifications, and analyzes the expected fiscal and administrative impact. Results indicate that around 80 percent of those who make up the economically active population are users of YAIDXP — including nearly 594,612 employees who have tax debts on land and property worth a total of 661.2 billion soums. Based on international practice and scenario-based calculations, the early implementation of automated notifications will achieve a decrease in tax arrears in the range of 8–10 % and additional annual budget revenues in the range of 53–66.12 billion soums. In addition to this, due to electronic notices, tax authorities are able to avoid considerable expenses on postal services and printing (which amounts to 5.05-5.95 billion soums annually). The results show that the automatic electronic notification system based on YAIDXP is an efficient and affordable digital tax solution for strengthening tax discipline and increasing tax collection, reducing administrative costs, and speeding up the digital transformation of tax administration in Uzbekistan