THE IMPACT OF TAXES ON TOURISM BUSINESS (IN THE EXAMPLE OF SAMARKAND, UZBEKISTAN)

Abstract

This study aims to analyze the impact of taxes on tourism business entities in Samarkand region, Uzbekistan. Taxes play major role in the redistribution of income in all sectors of economy including tourism. Previous researches illustrated that tax rates significantly affected competitiveness of destination and thereby impacted long-term development of tourism destinations. We analyzed the performance of 30 tourism companies and found out that the volume of own capital and tax burden significantly affected the entities’ profitability. Also, we investigated seasonal dynamics of prices and number of tourist visits in the example of a relatively competent hotel and found that taxes had no significant effect on profit loss.