• Nargiza Yakubova Tashkent Institute of Finance
Keywords: Business Tax, Tax Incentives, Investment, Subsidies.


The purpose of this paper is to analyze the effects of the use of tax incentives on business investment performance in developing and transitional countries based in best international practices and some empirical evidence. The reasons are overviewed and, the costs and benefits of introduction of tax incentives are examined. The empirical evidence of effectiveness of tax investment incentives is studied in countries such as China, India, Russia, Uzbekistan. The conclusions are drawn, and recommendations are given on further implication of tax investment incentives in countries with transition economy. 


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