How to Register a Sole Proprietorship (Соҳибкори инфиродӣ) in Tajikistan

Working as an independent contractor in Tajikistan offers flexibility, autonomy, and a straightforward way to operate legally without forming a company. Registering as a Соҳибкори инфиродӣ (СИ) (the official Tajik term for an individual entrepreneur) is relatively simple through one-stop registration desks at local tax offices.

While the process is manageable, challenges include navigating documents in Tajik or Russian, meeting social contribution requirements, and keeping up with evolving tax laws. The benefits include minimal startup costs, simple compliance, and full control over your work and income.

Disclaimer: This article is for informational purposes only and is not a substitute for legal advice. Please always check official sources or seek professional guidance before taking action.

What is a sole proprietorship in Tajikistan?

In Tajikistan, a sole proprietorship is officially called Соҳибкори инфиродӣ (СИ) in Tajik and Индивидуальный предприниматель (ИП) in Russian. Both refer to the same legal form — a self-employed individual legally operating a business without forming a separate entity.

Depending on context, it may also be described as:

• Sole trader
• Self-employed worker
• Independent contractor

All describe one person managing their own business and bearing full personal responsibility for its obligations.

How does a sole proprietorship (Соҳибкори инфиродӣ) work in Tajikistan?

Соҳибкори инфиродӣ vs. LLC or other business structures in Tajikistan

Entrepreneurs in Tajikistan can also establish other legal forms, such as a Limited Liability Company (Ҷамъияти дорои масъулияти маҳдуд / ҶДММ). Below is a comparison to help determine which option suits your business best.

Step-by-step guide: How to register a sole proprietorship in Tajikistan

Step 1: Check your eligibility

You must be a Tajik citizen or legal resident allowed to engage in business activity. Foreign nationals can register if they hold a residence permit or other authorization confirming their right to work.

Step 2: Choose your business name

You can operate under your personal name or register a trade name. The local tax office can check name availability during registration.

Step 3: Gather required documents

You will need:

• National ID or passport
• Proof of residence registration
• Completed application form (available at the local tax authority)
• Receipt confirming payment of the registration fee
• Taxpayer Identification Number (if not already assigned)

Step 4: Register with the tax authority

Submit your documents in person to your local branch of the State Tax Committee of the Republic of Tajikistan. The tax office is responsible for both business registration and tax registration for sole proprietors. Once your documents are verified, you’ll receive a certificate of registration confirming your legal status as a Соҳибкори инфиродӣ, along with your tax identification number (ИНН) if you don’t already have one.

Step 5: Pay registration fees and contributions

After approval, pay the official state registration fee (amounts vary by region). You must then register for social insurance and pension contributions. These are either based on your income or calculated using a fixed minimum base established annually by law. Payments are usually made monthly or quarterly.

Step 6: Complete post-registration obligations

Once registered, you must maintain proper accounting records, issue compliant invoices, and file tax returns on time. Notify the tax office of any business address or activity changes. If you decide to stop operating, submit a deregistration request, settle outstanding taxes, and close your social contribution accounts.

Financial and tax obligations for sole proprietors in Tajikistan

You are responsible for:

• Income (business-profit) tax: Most sole proprietors (Соҳибкорони инфиродӣ) use the simplified taxation regime, paying a flat 6 % of gross turnover. Those engaged in manufacturing, resource extraction, finance, or telecom follow sector-specific rates of 13% –20 %. Entrepreneurs who opt for the general system instead pay progressive 12%–20 % on net income.)
• VAT (Андози арзиши иловашуда or НДС): The standard VAT rate in Tajikistan is 14 % (temporarily reduced from 15 % under Article 264 of the Tax Code until 31 December 2026). Registration becomes mandatory once annual turnover exceeds TJS 1 million. Exports qualify for 0 %, and reduced rates of 5 %–7 % apply to specific sectors such as agriculture, education, construction, and hospitality.
• Social security and pension contributions: Sole proprietors must register with Tajikistan’s Social Insurance and Pension Fund and make regular contributions based on their declared income or a fixed minimum base. If you employ staff, you are also responsible for paying employer social contributions and withholding the employee’s share, as defined by current national regulations.
• Record-keeping: Maintain accurate records of invoices, receipts, and expenses. Documents must be stored for at least five years and made available during audits.
• Invoicing: Every invoice must include your taxpayer ID, business name (СИ), client details, service description, date, and applicable VAT (if registered). Invoices must be sequentially numbered and retained.

Launch your contracting career and stay compliant with Deel

Registering as a sole proprietor gives you independence, but it also means handling taxes, invoices, and records on your own. Deel’s all-in-one platform helps you manage obligations without the stress. With Deel, you can:

• Automate invoicing and expense tracking with essential Bookkeeping tools
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• Keep accurate records for tax season
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• Get paid through multiple payment and withdrawal methods
• Spend your earnings in USD with the Deel Card
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• Enjoy contractor perks from 150+ partners

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FAQs

What is the minimum capital required to start a Соҳибкори инфиродӣ in Tajikistan?
None. There is no minimum capital requirement.

Do Соҳибкорони инфиродӣ need to register for VAT?
Only if annual turnover exceeds TJS 1 million or if your business is engaged in VAT-liable activities.

How much are the social contributions?
They depend on your declared income or the fixed base amount set annually by the government. Rates may vary depending on your region, business activity, and whether you hire employees. Contributions are paid to the Agency of Social Insurance and Pensions of Tajikistan and are typically made on a monthly or quarterly basis as determined by local regulations.

Can a Соҳибкори инфиродӣ hire employees?
Yes. You must register employees, pay salary taxes, and make required social contributions.

How long does registration take?
Usually, 2–3 working days through the one-stop office.

Can foreign nationals register as a Соҳибкори инфиродӣ?
Yes, if they hold a valid residence permit and authorization for business activity.

Do Соҳибкорони инфиродӣ need a business bank account?
Not legally required, but recommended for bookkeeping and transparency.

What happens if I stop working as a Соҳибкори инфиродӣ?
You must file a deregistration notice, pay outstanding taxes, and close your social insurance account.

Are there incentives for new Соҳибкорони инфиродӣ?
Yes. Tajikistan offers reduced tax rates and incentives for specific sectors such as agriculture, tourism, and manufacturing.

Can I use Deel as a Соҳибкори инфиродӣ to get paid by international clients?
Yes. Deel enables you to receive payments globally in multiple currencies with transparent exchange rates.

Does Deel generate compliant invoices for Соҳибкорони инфиродӣ?
Yes. Deel automatically generates invoices that comply with Tajik tax requirements.

Can Deel help with taxes?
Deel provides downloadable tax reports and payment summaries for your filings.

Does Deel offer freelancer contracts?
Yes. Deel’s contract templates comply with Tajik law and protect both you and your clients.

Can I access benefits through Deel as a Соҳибкори инфиродӣ?
Yes. Deel offers optional perks such as health insurance, retirement savings plans, and freelancer benefits usually reserved for employees.