Uzbekistan Tax Committee Responds to Central Bank's Concerns Regarding P2P Transfers

Position on P2P Transfers

Legislation allows tax authorities to receive bank client data in cases stipulated by law, and the Tax Code establishes banks' obligations to transmit such information. However, the Tax Committee stressed that P2P transfers between individuals themselves are not subject to taxation. Representatives of the agency stated that this is not about comprehensive monitoring of citizens' personal transactions.

Developing an Interaction Format

According to the committee, the developing draft aims to create a secure, understandable format for interaction with banks that complies with international standards. Public discussion of this draft has already concluded, and all received comments, including the opinion of the Central Bank, will be analyzed to make appropriate decisions.

Central Bank's Arguments

Previously, Deputy Chairman of the Central Bank Aborkhuja Turdaliyev stated that the proposed regulation regarding the transmission of information about large card-to-card transfers to tax authorities contradicts Article 41 of the Constitution. The Central Bank also pointed out the potential non-compliance of the draft resolution with the Law 'On Banking Secrecy.' In the regulator's view, implementing this rule could lead to violations of citizens' constitutional rights, stimulate the use of cash, increase the shadow economy, and cause capital outflow from the banking system.

Project Details and Criticism

The CB also noted that it has no information regarding the selection of the threshold at 500 basic calculation units per month, which is equivalent to 206 million soms for data transmission. At the end of June, the Tax Committee presented a draft resolution requiring financial institutions to report P2P transfers of individuals to tax authorities if their monthly volume exceeded the specified amount. Exceptions were intended for transfers between close relatives and between one person's own cards. This draft sparked criticism during public hearings, as users pointed to the threat of violating banking secrecy and reducing confidence in the banking sector.

Clarifications and Previous Experience

Later, the Tax Committee clarified that this initiative does not abolish banking secrecy nor grant tax authorities unlimited access to citizens' accounts. The issue of monitoring P2P transfers was raised previously: in May 2023, the Central Bank had already objected to the transmission of information concerning banking secrecy to tax authorities. Furthermore, in April 2026, Central Bank Chairman Timur Ishmetov emphasized the necessity of implementing any decisions in this area while adhering to banking secrecy requirements.