EFFECTIVE TAXATION OF FINANCIAL INSTITUTIONS: INTERNATIONAL COMPARISON

Abstract

Most advanced and developing economies review and re-examine the relevance
of fiscal and banking policy regimes due to the systemic downturn in the global financial
crisis. The existing fiscal gap and financial market disorders led to the introduction of new
taxes and mandatory fees for banks for double-edged reasons – bridging the fiscal gap and
bank capital regulation. In a harsh economic condition, most banks required the governments
to rethink the taxation policy for financial institutions. Most policymakers and researchers
are devising diverse proposals on optimal taxation which meet the needs of both parties. This
paper studies the international bank taxation policies and recent development and examines
the opportunities for the introduction of optimal taxation for banks in the banking system
of Uzbekistan.