With the creation of a new independent state Turkmenistan has been endowed with a modern fiscal system altogether
inspired with ana-logous rules in force in the states with a market economy, according anyway a particularly advantageous tax treatment to foreign com-panies investing in the country.
system in force is based on some indirect taxes and on so-me direct taxes.
The main indirect tax in force is the value-added tax, imposed with a rate of taxation of 20% on the goods with
a free market price and with a rate of taxation of 16,67% on the goods subject to controlled prices. According to rules in force, the amount of the value-added tax has to be mentioned in the book-keeping system
separately from the taxable value. Foreign companies which carry on productive or commercial activities within the territory of Turkmenistan are also subject to the payment of the value-added tax.
indirect taxes also capital levy is important. Its taxable value is constituted essentially by the assets owned in the country, on the value of which an annual rate of taxation of 1% is imposed.
The companies operating in the mining sector are also subject to tax for the exploitment of subsoil, the taxable value of which is con-stituited by the profits resulting from the activity carried on in that specific
field. In this case the rate of taxation in force is 22% for companies operating in the sector of gas and 10% for companies operating in the sector of petroleum.
The main direct tax for companies is the income tax,
which is impo-sed with a rate of taxation of 25% for ordinary companies, with a rate of taxation of 30% for banks and with a rate of taxation of 35% for companies operating in the field of brokerage and exchange. Capital gains
resulting from stock or bond investments, with the exception of the government bonds, are subject to a separated taxation with a ra-te of 15%. Foreign companies operating in the country are subject, as regards the income tax,
to a reduced tax treatment, providing the application of a rate of taxation of 15% with the obligation of taxa-tion at source. Moreover, it is provided a reduced tax treatment also for little companies.