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– vending machines. The Internet-show-window – is the advertising server rather. On a show-window spread information on goods which constantly update. Costs of its creation and administration can be quite low, and the practical advantage of such show-window is obvious. CONCLUSION Online stores – the lagging most behind segment of branch. If various thematic portals grow and develop, of the noticeable growth of Internet sales for the last years can brag unless www.torg.uz, however it is possible to call it a full-fledged platform of Internet trade only with great reserve. Certainly, there is also yarmarka.uz and elektronika.uz, and also korzinka.uz, but whether is small for the city with the three-million population, not to mention other territory of

REFERENCES

1. Decree of the President of the Republic of Uzbekistan №.1823 dated 23.07.97 "On measures on the reorganization and improvement of information systems management sphere." 2. Undp.org 3. www.websum.uz 4. Website http://press-service.uz 5. Website www.stat.uz 6. Website www.mitc.uz 7. Website www.e-gov.uz

ТHE WAYS OF INVOLVING INVESTMENTS INTO TELECOMMUNICATION MARKET IN UZBEKISTAN

1Radjabov Ozod Sattorovich, 2Sayfiev J. N.

Uzbekistan, , Tashkent university of information technologies, 1Head of Research Department; 23rd year student of TUIT

Abstract. The article provides structure of Uzbekistan telecommunication services market, the analyzing of telecommunication services market effectiveness and the benefits of developing telecommunication services market. Keywords: ICT, stability, telecommunication, integration, information technologies.

The («the government») regularly states that attracting foreign direct investment is a top priority, but in reality, it follows a very selective approach. The government generally welcomes investments that are in line with its import-substitution and export-oriented industrialization policy, and discourages investments in import-consuming sectors. In principle, existing legislation grants foreign direct investors a host of incentives on a case-by-case basis, including tax holidays, duty-free import of capital goods, and protection against expropriation. However, the requirements for obtaining these benefits are often ambiguous, the processes and procedures cumbersome, and the regulatory environment unpredictable. The lack of transparency and predictability has deterred many potential investors. Uzbek law provides a framework of rights and privileges for foreign investors, and calls upon the state to guarantee them. However, the legislation is ambiguous, contradictory and changeable. Some of these basic guaranteed rights, such as converting and repatriating profits and conducting business without government interference, are routinely violated by government actions. Difficulty in converting currency is cited by foreign firms as one of the greatest obstacles to normal investment operations. In principle, the judicial system upholds investor rights and the sanctity of contracts, and foreign investors often retain independent local counsel. The judiciary is not independent, however, and has favored state-owned or government-affiliated entities in commercial disputes. There have been a number of cases in which foreign companies were not able to enforce contracts with local partners. The government maintains controlling shares of key industries, including energy, telecommunications, airlines and mining, and controls investment and capital flows in the raw cotton

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International Scientific and Practical Conference “WORLD SCIENCE” ISSN 2413-1032 market. The government also controls all silk sold in the country, dampening foreign investment in the textile and rug-weaving industries. Partial state ownership and influence are common in many sectors of the economy. The government has announced plans to privatize some mid-sized and large state- owned companies and banks but this has been slow to take hold. A foreign investor may participate in a variety of legal forms of business, from partnerships to joint-stock companies to wholly-owned enterprises. Businesses with foreign investment must register with both the Ministry of Justice and regional governor‟s office. Depending on the extent of foreign participation, a business may be considered an “enterprise with foreign capital” (less that 30% foreign- owned) or receive special status as an “enterprise with foreign investment” (more than 30%, with a minimum charter capital). Foreign companies may also maintain a physical presence in Uzbekistan as “permanent establishments” without registering if they do not conduct commercial activities and only have representative functions. A permanent establishment is not required to open a bank account or pay taxes. Uzbekistan offers potentially attractive opportunities for investors. However, the lack of macroeconomic and structural reforms has exacerbated bureaucratic inefficiencies and contributed to widespread corruption. The government often exerts influence over the operations of companies, even those where foreign investors own over 50 percent. In many privatized enterprises, the government retains a minority share of approximately 25 percent, and workers own another 25 percent, thus limiting effective control by outside investors (table 1).

Table 1. The investment program of Uzbekistan in ICT in 2013. Name of the initiators of the project design capacity timeframe for implementation 1

A phased transition to digital television and Coverage of digital television for 2011-2015years coverage of television more than 90% of the population Modernization and expansion of long – distance switching centers on the technology Increase simultaneous connections Period 2011-2013 of next generation networks (NGN) The expansion of cellular IPP Ltd “unitel”( Increase capacity to 10million 2013 the next step) subscribers Technical and technological development of Providing 21 to 218 million 2013 mobile IP LLC “Koski” ( the next step) minutes of airtime Developments of mobile CDMA-450 Installation of additional base In 2013-2014 network in the stations Developments of optical networks based Construction of broadband In 2013-2014 broadband access FTTx networks FTTx Modernization of radio monitoring The set 2013

There are several official limits on foreign investment. Foreign ownership and control are prohibited for airlines, railways, power generation, and other sectors deemed to be related to national security. Foreign investment in media enterprises is limited to 30 percent. Consolidated Statement of targeted program of major investment projects to create new, modernization and reconstruction of existing facilities, implemented in 2013, approved by the Decree of the President of the Republic of Uzbekistan "On the investment program of the Republic of Uzbekistan for 2013" dated 21.11.2012, the number of PP-1855. In banking, foreign investors may operate only as joint venture partners with Uzbek firms, and banks with foreign participation face set charter funding requirements (10 million Euros for commercial banks, 5 million Euros for private banks), while the required size of the charter funds for Uzbek firms is set on a case-by-case basis. In the tourism sector, foreign ownership cannot exceed 49 percent. The government of Uzbekistan closely scrutinizes all foreign investment, with special emphasis on sectors of the economy that it considers strategic, including mining, cotton processing, oil and gas refining, and transportation. There is no standard and transparent screening mechanism, and the legal framework is designed to protect domestic industries and limit competition from abroad. Screening can be used to limit investment in certain industries and by certain countries, depending on Uzbekistan‟s current policy priorities. The government also uses licensing as a tool to control enterprises in several important sectors such as energy, telecommunications, retail sales, and tourism. Often licenses for business operations in these sectors are issued by agencies that themselves have commercial interests in the sector.

1 ICT news database

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A charter fund of an enterprise with foreign investment that comprises USD 20 million or more needs special government approval, usually in the form of a Cabinet of Ministers resolution, to register the enterprise. Smaller investments in certain sectors of the economy also require permission from government authorities, although there is no official list of what these sectors are and enforcement is perceived to be random. In any case, filing for a standard business license is mandatory. According to Uzbekistan law, foreign investors receive treatment equal to that afforded local investors in all sectors without exceptions. There is no requirement that Uzbek nationals own shares of businesses with foreign investments, or that the share of foreign equity be reduced over time. Uzbekistan subscribes in principle to institutional and economic reform, such as restructuring and privatization, but implementation has been limited, reflecting an incremental approach to economic reform in place since the country‟s independence from the Soviet Union in 1991. Many enterprises from the world, developed under the Soviet economic system need significant restructuring before they can be successfully privatized. The government to date has been unwilling to sell its controlling interest in the most attractive enterprises and often has demanded prices far in excess of what investors would be willing to pay. The main mechanisms for selling state assets are open tender and auction. In general, the process is transparent only at the initial stage. The government uses local or international financial consultants for privatization of large enterprises, and only after they evaluate an enterprise are foreign investors invited to participate. Many investors note a significant lack of transparency at the final stage of the bidding process, when the government begins conducting «direct negotiations» with the bidders before announcing the results. In some cases, the bidders are foreign-registered companies associated with influential Uzbek families, with a foreign address but tenuous ties to that country. There is no official discrimination policy against foreign investors. Certain incentives designated by presidential decree are granted on a case-by-case basis and can be disputed during the investment period. This issue is particularly acute regarding tax incentives and registration requirements. Presidential decrees on tax holidays are in practice easily overturned, and foreign companies have been detrimentally affected by the practice. Both foreign and local investors suffer from government interference in investments, and bureaucratic obstacles consume significant time and resources. International surveys and rankings routinely assign Uzbekistan low scores for corruption and economic freedom. For example, Transparency International (TI) ranked Uzbekistan 177 out of 183 countries for corruption. Heritage Economic Freedom Index placed Uzbekistan 163 out of 183, and the World Bank‟s Doing Business Index ranked Uzbekistan 166 out of 183.Uzbekistan introduced currency convertibility in October 2003, but in practice access to foreign currency is restricted. Two legal exchange rates exist: the commercial (wire-transfer) rate and the exchange booth rate, as well as an unofficial (black market) rate. All citizens have legal access to the exchange booth rate. Limitations to foreign exchange in 2011 resulted in severe lag times for current account convertibility both for imports and for raw materials and components related to manufacturing (three months to more than a year). These restrictions created the thriving currency black market. As of December 2011, the black market rate of 2,750 sums per U.S. dollar exceeded the official exchange booth rate of 1,780 by roughly 54 percent. Under current law foreign investors are legally guaranteed transfer of funds in foreign currency to and from the Republic of Uzbekistan without any limitations, provided they have paid taxes and other obligatory payments. Foreign individuals may also freely transfer foreign currency out of Uzbekistan only if an equivalent amount of foreign currency was previously transferred into Uzbekistan. The government reportedly issues banks confidential instructions regarding which orders are to be filled. During these delays in converting and remitting profits, the amount to be remitted is held by the Central Bank. Currently there is no legal private market in Uzbekistan for investors to remit funds. Small, private exchange booths provide services only to individuals and have limits for transactions in foreign currency, leaving investors at the mercy of the Central Bank for hard currency. These conversion delays are at least in part a result of the government‟s tight fiscal and monetary policies and are intended to prevent capital outflow and dampen imports. According to Uzbek law, 50 percent of foreign currency earned from exports must be exchanged for local currency through authorized banks at the official exchange rate. Exemptions to this requirement may be provided to some smaller companies or to majority foreign owned companies that export manufactured goods for not less than 60 percent of their total profit. The government may seize foreign investor assets for violation of local laws, breach of contract, failure to complete, or for such reasons as arbitrary reevaluation of assets and exercise of eminent domain. Although the government

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International Scientific and Practical Conference “WORLD SCIENCE” ISSN 2413-1032 can legally seize property only with fair market compensation, it has expropriated property of local businesses and joint ventures with foreign investment partners at lower than market value. According to the law, compensation for foreign partners must be made in a freely transferrable currency, but in most cases is given in local currency only. Large, seemingly lucrative foreign businesses are more at risk for expropriation, but smaller companies are also vulnerable. U.S. owned Newmont Mining and the telecommunications company MCT both faced pressure from the Uzbek government to sell their shares in joint ventures in 2006; both agreed to sell after lengthy legal disputes and have not returned to Uzbekistan. Historically, expropriations involving U.S. investors have occurred in the trading, food processing, mining, telecommunications, gaming, and tourism sectors. Local and non-U.S. foreign companies have also faced expropriation in the agriculture, mining and retail sectors. The important role in achieving success play the reforms carried out in the field of property, the basis of which is large-scale privatization carried out in the country - effective transfer of state property into the hands of real owners. At the result of implementation of measures aimed at attracting investments into the economy of Uzbekistan, including one of its most dynamic sectors - telecommunications, of the Republic of Uzbekistan adopted a number of legislative acts, such as the Laws «On telecommunications», «On foreign investments», «On guarantees and measures for protection of the rights of foreign investors» creating a favorable investment climate in the Republic, which defines the rights and guarantees of foreign investors, as well as a number of benefits for enterprises with foreign investments, including: – Guarantee of property retention, use and transfer of funds of foreign investors, refund in case of termination of investment activity; – A number of tax benefits, such as exemption from income tax for the period of first seven years from the date of registration of industrial enterprises with foreign investments, making investments in the projects included in the investment program of the Republic of Uzbekistan and others. «Uzbektelecom» JSC now has licenses for all telecommunications activities including mobile, long distance and international calls for up to 15 years. «Uzbektelecom»„s network covers the whole territory of the Republic of Uzbekistan. Local telecommunications network of the company includes more than 2 thousand EDS with the capacity of more than 1.9 million numbers, 90% of which are digital. Digitalization of local telecommunications network significantly improved the quality of functioning of telecommunications networks, provided the subscribers of the network with new services, as well as organized high-speed dial-up Internet for wide range of users. The company employs more than 14,000 highly skilled employees. Great importance is given to young specialists. At the result of efforts to change the structure and functions of the management, its staff consists of young professional and energetic managers. Fundamental decisions relating to internal and external restructuring of the company have been adopted and realized, the work on development and implementation of new approaches to financial management and business processes in general is being made. Potential investors have a unique opportunity to purchase a 49% shareholding in «Uzbektelecom» JSC, leading telecommunication operator in the most populated and geopolitically important Central Asian country. We are happy to provide information about the company. Information technology is continually developing and in the last few years, there has been a rapid growth in electronic telecommunications to provide Internet and other network-based services. Interest in using telecommunications to provide services to the public is growing, with a number of pilot services being set up across the country to explore market potential and/or stimulate demand. CONCLUSION AND SUGGESTIONS Efficient, high quality telecommunication services are an essential component of modern life. Happily, this industry and these services are inherently profitable, and can be put into place with private sector financing. The payoff in terms of economic, social and cultural development can be very substantial. The advantages are greatest in the rural and remote areas, which have traditionally been the areas that have been worst served, in terms of access to telecommunication services. In this way Uzbektelecom, a leading telecommunications operator in Uzbekistan, carried out a number of major investment projects last year for the development of telecommunications networks and the introduction of modern services. This was announced at a press conference held in Tashkent.

REFERENCES

1. The constitution of Uzbekistan. Tashkent, 2011. 2. The law “About Connection” The Republic of Uzbekistan. 1992.

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3. The law about “Activity of investment”. The collection of law documents of republic of Uzbekistan. number 52. 2008 y. 4. The law about foreign investments of Republic of Uzbekistan. The collection of law documents of The Republic of Uzbekistan. Number 52, 2008 y. 5. The law about guarantee of protection of foreign investments of Uzbekistan. The collection of law documents of republic of Uzbekistan. Number 52, 2008y. 6. The Law “About Informative” of The Republic of Uzbekistan. Tashkent, 12 December, 2003y. 7. The Law “about Telecommunications”. Tashkent 20 august, 1999y. 8. The president of Uzbekistan‟order about investment program of republic of Uzbekistan. 9. I.A Karimov. “Modernize our country and continue renew it-the order of period”. Xalq suzi 14 February 2009 y. 10. I.A Karimov. “Our main function – develop our country and improve it”. Tashkent, Uzbekistan, 2010. 11. I.A Karimov‟lecture about the end of 2012 year and development program for 2013y. Xalq suzi, 19 January 2013.

МЕТОДОЛОГІЯ ОЦІНКИ ПОДАТКОВОГО ПОТЕНЦІАЛУ РЕГІОНУ

к. е. н. Абрамова А. С.

Україна, Чернівці, Чернівецький національний університет імені Юрія Федьковича, факультет фінансів, підприємництва та обліку, кафедра обліку і оподаткування

Abstract. Presented is the economical reserve of the potash potential. The method of assessing the taxpayers 'potential to regulate loans is carried out on the basis of demonstration of economical income, by the incentive of representative representations of the tax system, for the giving of taxpayers' information on the amount of actual payments that are received from the taxpayer to the levies of the informal entry. Passed the transference of that niggas of vicarage of the methodical. It is established that the cost of the assessment of the present potential of the region in Ukraine is effective in the process of settling the tax rate on the basis of the gross regional product. Keywords: taxes and fees, tax base, tax system, tax potential, the gross regional product

В сучасних умовах основною ланкою економічного механізму саморозвитку території є важелі і стимули, які сприяють зростанню доходів суб‟єктів господарювання, забезпечують розширення податкової бази та ефективну віддачу від експлуатації природних ресурсів. Завдання регіонів, які прагнуть до саморозвитку, полягає не в дослідженні способів перекачування коштів з державного бюджету і пошуку багатих інвесторів, а в реалізації та розвитку власного економічного потенціалу, зокрема податкового. Великого значення набуває потреба в обліку податкового потенціалу та оцінки економічної самодостатності території. Беручи до уваги існуючі методологічні дослідження в галузі оцінки податкового потенціалу, слід констатувати, що основна увага в них приділена структурній характеристиці податкової бази, як основного індикатора можливих податкових доходів бюджетної системи. При цьому практично не знаходять відображення науково-методологічні принципи, моделі, методи та інструменти оцінки ймовірності реалізації податкового потенціалу з урахуванням сформованих регіональних податкових можливостей. На тлі процедури оцінки за багатьма критеріями, обґрунтованим є використання системного підходу, що дозволяє через свої особливості повно розкрити і охарактеризувати податковий потенціал. Оцінка податкового потенціалу регіону може здійснюватися у напрямку оцінки граничних потенційних податкових можливостей регіону та реалізованого податкового потенціалу території. 1. Оцінка граничних потенційних податкових можливостей регіону являє собою комплексний підхід, який дозволяє визначити логічну залежність показників: нарахованих податків і податкових витрат. Середні доходи на душу населення – це найбільш проста міра оцінки податкового потенціалу.

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