Article 3521. Recognition of debt for payment of customs duties as irrecoverable

Debt on customs payments that cannot be collected due to termination of the obligation pursuant to a court decision, or as a result of the debtorʼs insolvency, liquidation, or death, shall be recognized as bad debt.

By decision of the customs authorities, debt to pay customs duties is recognized as irrecoverable in the following cases:

1) liquidation of a legal entity - in terms of its debt to pay customs duties, not repaid due to the insufficiency of the legal entityʼs property and (or) the impossibility of its repayment by the founders (participants) of this legal entity within the limits and procedure established by law;

2) declaring an individual entrepreneur bankrupt - in terms of debt on payment of customs duties that has not been repaid due to the insufficiency of the debtorʼs property;

3) in the event of the death of an individual, declaration of an individual as deceased, or recognition of an individual as bankrupt — with respect to the outstanding part of the debt on customs payments that remains unpaid due to insufficiency of his or her property, including where the inherited property has passed into state ownership;

4) deregistration of a foreign legal entity with the tax authority — in terms of its debt to pay customs duties, not repaid due to the insufficiency of the property of a permanent establishment and the impossibility of its repayment on the part of a non-resident legal entity of the Republic of Uzbekistan within the limits and manner established by law. The specified debt, recognized as irrecoverable, is subject to restoration upon re-registration of this foreign legal entity with the tax authority.

The procedure for writing off debt for customs payments recognized as irrecoverable, and the list of documents confirming the circumstances provided for in part two of this article, are approved by the State Customs Committee of the Republic of Uzbekistan.