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Explanations of accounting, taxes and audit in Uzbekistan. Articles not yet translated are shown in Uzbek.
Filling in the balance sheet (Form 1) line by line: which account balance goes on each line?
All lines of the balance sheet under Appendix 1 to the Regulation approved by Order No. 181: line code, the accounts in brackets and a plain explanation for each. Where depreciation, amortisation, the trade markup and the allowance for doubtful debts are deducted, which formula gives each total line, and how the appendix on overdue debts is prepared. At the end, a balance sheet filled in from the account balances of a small furniture workshop.
What are import and export: where do the words for "bringing in" and "taking out" come from, and who needs foreign trade?
The first lesson of the course: what import and export are in plain words, which Latin verbs both words come from, foreign trade using the example of dried apricots and a phone, why customs is needed, and who works in this field.
What is economics: a first step into the science of choosing between limited money and unlimited wants
The first lesson of the course: what economics is in plain words, why it is called «the science of choice», the meaning of the words «iqtisod» and «ekonomika», and a first economic decision using the example of 50 thousand soum in a student's purse.
What is statistics: how did a science of "affairs of state" turn into the language of numbers?
The first lesson of the course: what statistics is in plain words, which languages the word came from and why it is connected with «the state», the mean and the median using a barbershop's customers over one week, and who has contributed to this field.
What is a bank: from the money changer's table to the mobile app, and the broken bench in the word «bankrot» (bankrupt)
The first lesson of the course: what a bank is in plain words and how it earns money, which Italian word the word «bank» comes from, how it is connected with the word «bankrot» (bankrupt), and where banking services turn up in everyday life.
What is insurance: how do many people paying a little each cover one person's big loss?
The first lesson of the course: what insurance is in plain words, its core idea (spreading risk across many) shown with a hundred cafés, what the English word «insurance» means, and who has contributed to this field.
What is finance: from the family purse to the state treasury, the root of the word and a first step for beginners
The first lesson of the course: what finance is in plain words, how it differs from accounting, the roots of the Uzbek word «moliya» and the English word «finance», and a simple example of planning money in a family budget.
What is audit: what does a profession that began with "hearing" check today, and who needs it?
The first lesson of the course: what audit is in plain words, how it differs from a tax audit, which Latin verb the word comes from, and why a shop owner calls in an outside examiner.
What is a tax: the state's share hidden in the price of a coffee, and the word «tax» that came from "to assess"
The first lesson of the course: what a tax is in plain words, how it differs from a fine and from charity, which Latin verb the English word «tax» comes from, and how much VAT there is in the price of a cup of coffee.
What is accounting: where does the word meaning «book holder» come from, and who needs this record-keeping?
The first lesson of the course: what accounting is in plain words, which German word the Uzbek word «buxgalter» (accountant) comes from, what a notebook gives a café owner, and who has contributed to this field. For a reader who knows nothing yet.
The Zenon papyri: how did the manager of a large estate in Egypt keep accounts 2 300 years ago?
At the beginning of the 20th century, local diggers in the Faiyum oasis in Egypt found an archive of more than two thousand papyri. These were the letters, contracts and accounting records of Zenon, an agent who managed a large estate in the 3rd century BC. Short key points and an example of the receipts and issues of a grain store.
Two laws, twenty years: how has insurance legislation in Uzbekistan been renewed?
The 2002 Law "On Insurance Activities" was the main document of the insurance market for nearly twenty years, and from 2022 a new law took its place. Dates, the concepts introduced in the new law, and a hypothetical calculation of co-insurance.
The law on the Central Bank of Uzbekistan: what did the 1995 text and the new 2019 edition change?
The powers of the Central Bank are set by a law adopted in 1995 and its new edition approved in 2019. After the new edition the bank moved to an inflation targeting regime. Short key points, dates and an example of calculating the real interest rate.
Three stages, one goal: how has Uzbekistan's Tax Code changed from 1997 to today?
In Uzbekistan the tax rules are gathered in one book, and that book has been completely renewed twice: the texts of the Code that came into force in 1998, 2008 and 2020. Dates, the list of taxes in the current Code, and a practical table on which Code to read an old document with.
From the soum-coupon to the soum: how was Uzbekistan's national currency introduced?
In autumn 1993, wallets held both the old Soviet rouble and the new soum-coupon at the same time. Nearly eight months later, on 1 July 1994, the soum entered circulation. A step-by-step history of the national currency, the official dates, and an example of restating a shop's balance sheet in the new money.
Make it ourselves or buy it ready-made: which costs really matter for the decision?
The bread a restaurant bakes itself costs 3 383 soum at full cost, while ready-made bread costs 3 200 soum. So is buying cheaper? No: tandoor depreciation and the share of rent remain whatever the decision. If only the costs that differ are counted, baking it ourselves saves 900 thousand soum a month. But if the freed-up space can earn income, the answer changes again.
Moving average: when takings jump at weekends, how can you tell whether sales are really growing or not?
Sunday 7.7 million, Monday 4.1 million: takings "collapsed" by 47 percent in one day. In fact nothing collapsed, it is the ordinary weekly rhythm. A seven-day moving average removes this noise and shows that over three weeks average daily takings grew from 5.33 to 6.01 million soum. How to choose the window length and which mistakes to avoid.
Bonus-malus: when does claiming insurance for a small loss cost more than the future premium?
The insurer may cover 1.2 million soum of damage to a vehicle. But if the claim is paid, the discount built up for claim-free years is lost, and over the next five years the premium becomes 1.4 million soum more expensive in total. The logic of bonus-malus, a table of hypothetical coefficients and the threshold for the decision "pay it myself or claim on the insurance".
Why does a bank value your collateral below the market price, and how is the amount you can borrow calculated?
The market price of a warehouse, a truck and goods totals 1 150 million soum, but the bank counts them as 720 million and asks for 625 million of collateral for a 500 million loan. This is not unfair, it is protection against losses on a quick sale of the collateral. A full calculation with hypothetical coefficients, the difference between types of collateral and where collateral appears in the accounts.
A 13-week cash forecast: how can you see in advance when the money in the bank account will run out?
For three months more money comes into a furniture workshop than goes out. Even so, in week 4 the bank account goes into the minus, and in week 6 the gap reaches 135 million soum. A weekly cash forecast shows this problem in advance, and four simple decisions close the gap without changing the total.
Agreeing the terms of an audit engagement (ISA 210): what does the auditor check before accepting the work and what goes into the engagement letter?
Before the audit contract is signed, the auditor checks two preconditions and agrees responsibilities with management in writing. The mandatory content of the engagement letter, what to do in a recurring audit and when the terms change: 8 points and a checklist.
VAT base adjustment: what is done if goods are returned, the price changes or a service is cancelled?
When Article 257 of the Tax Code allows the VAT base to be reduced or increased, which document to use and in which month, what the one-year term means: a month-by-month calculation using the example of a print shop.
If a buyer is given a discount after the sale: how does account 9050 work and how is revenue reduced?
A wholesale furniture company gave a shop a volume bonus at the end of the quarter and cut the price for scratched tables for another buyer. How both cases are recorded through 9050, how it is closed at the end of the month and what net revenue comes out in the statements.
Temporary export (code 12): what conditions apply to goods taken out for an exhibition or a lease, and what happens if they are sold abroad?
A pump factory took a display unit to an exhibition in a neighbouring country, and someone there wants to buy it. Which goods cannot be exported temporarily, when the two-year term is extended and how the procedure is turned into export: 8 points and an example.
Re-export (code 11): if imported goods are returned to the supplier, how is the duty paid refunded and what is recorded in the accounts?
Part of the raw material did not match the contract and was sent back abroad unopened. The conditions of re-export, the two-year condition for refunding duty and taxes, the application to customs and the 10-working-day term, the claim entries in the books: the example of a packaging factory.
1% turnover tax for individual entrepreneurs: who does it apply to, and who not?
An individual entrepreneur (sole proprietor) who sells up to one billion soum during the year pays 1 percent tax on revenue. But this regime does not suit an entrepreneur who imports goods himself, sells alcohol at retail in a fixed trading outlet or sells jewellery. On the example of a toy shop selling through a marketplace: who gets 1 percent and who does not, when to report, and what happens if the threshold is exceeded.
François Quesnay and the "Economic Table" (1758): how did a court physician fit the economy into a single diagram?
Before Adam Smith there was a group of scholars in France who studied the economy as a whole system. Their leader was the king's physician François Quesnay. About what his 1758 "Economic Table" showed, the idea of the "net product", and where the physiocrats went wrong.
Florence Nightingale: how did a nurse change army hospitals with figures and a diagram?
Most people know her as the nurse holding a lamp. But Florence Nightingale was also one of the strongest statisticians of her time: the first female member of the Statistical Society of London and the author of the famous "rose diagram". About how figures became evidence for reform and the secret of drawing a circular diagram correctly.
"Around" the computer or "through" it: how did auditors turn the computer into an audit tool?
When accounting moved onto magnetic tape, auditors faced a difficult question: how do you check a record you cannot see? Short key points about the generalized audit programs and computer assisted audit techniques (CAAT) that appeared in the 1960s–1970s, and a hypothetical example.
The stamped paper tax (1765): how did a single tax rouse entire colonies?
Newspapers, contracts, even playing cards had to be on specially stamped paper. The "stamp duty" imposed by the British Parliament on the American colonies in 1765 did not survive even a year, but it started the debate about taxation and representation. Short key points and a hypothetical calculation of a fixed duty levied on documents.