Tax Cashback: Should the Current Mechanism Be Maintained or Is It Time to Move to a New Stage?
In 2026, up to UZS 1.8 trillion is projected to be allocated from the State Budget to finance the 1% tax cashback program for consumers, representing a 2.2-fold increase compared to 2022. At the same time, in May 2026, 10.7% of all cashback payments were generated by purchases made at just 10 major retail chains.
With the widespread adoption of artificial intelligence, Big Data, online cash registers, and electronic invoices, is it still efficient to allocate substantial public funds to a system of mass financial incentives?
According to the Institute's experts, a gradual transition to risk-based control and targeted incentive mechanisms could reduce budget expenditures by nearly 20 times.
The article examines the current effectiveness of the tax cashback mechanism, reviews international experience, and presents proposals for aligning the system with the requirements of modern digital tax administration.
