countryintel page main banner

Mercans CountryIntel ® Tajikistan Payroll And HR Insights

Mercans offers complete payroll, PEO and HR services in Tajikistan

A vibrant, thriving economy, Tajikistan’s growth in 2021 is the highest it has experienced in the last 17 years. This is due to an increase in investments, domestic trade turnover, agriculture and foreign trade. The country is endowed with rich hydropower resources and its hydropower potential ranks eighth in the world. Tajikistan continues to make advances in its economic infrastructure including transportation. To drive local and foreign investment and improve the tourism sector, a number of incentives have been established by the government.

Doing Business in Tajikistan

Foreign citizens may carry out entrepreneurial activities either as legal entities or as individual entrepreneurs. Some activities may require a license. The law provides permits for a few instances such as audit, employment or legal services, energy services, stock exchange brokers and more. Tajikistan has also improved its regulatory environment and strengthened its investment climate. However, due to a challenging and unpredictable environment which includes the threat of terrorism, travellers are asked to exercise increased caution.

Entity Registration and Incorporation Requirements

Setting up a new business or expanding an existing one in Tajikistan is straightforward. Choose how your company operates from a range of entity types that suit your individual circumstance.

Banking

Banking Hours: 8:00 am to 5:00 pm from Monday to Friday.

Working Week

The standard working week is from Monday to Friday from 8:00 am - 5:00 pm.

Labor Law

Under the Labor Code, employees are afforded protection and minimum employment conditions prescribed by law must be maintained.

Main Industries

Aluminum, cement, vegetable oil

GDP Growth

2.9%

Dates & Numbers

dd/mm/yyyy

Official State Name

Republic of Tajikistan

Population

9.89 million

Capital

Dushanbe

Major Languages

Tajik, Russian

Currency

Somoni

Internet Domain

.tj

International Dialing Code

+992

Tajikistan
Dushanbe, TJ
2:15 pm, December 2, 2022
5°C
mist

Payroll

Salary is an agreed upon item in an employment contract and depending on the conditions of work and location, allowances and premiums may apply. Overtime and night shifts also need to be compensated at multiple salary rates.

It is acceptable to provide employees with online payslips

Payslip

Employees receive paid annual leave of 24 days

Annual Leave

Employees receive paid sick leave of 3 days

Sick Leave

Employees are entitled to 20 weeks of paid maternity leave. However, there is no provision for paternity leave

Maternity & Paternity Leave

Employers are required to provide 20 days’ notice of termination of employment

Employee Termination

There are no provisions mandated by law regarding the 13th month salary

13th month salary

250 TJS per month

Minimum Wage

Overtime pay is calculated at an additional 72.5 TJS per hour.

Overtime

Employees paid monthly are entitled to 3 months’ pay for each year of employment served.

Severance Pay

Tax and Social Security

A new Tax Code has been in force since January 2022 affecting corporate income tax rates which the VAT rate decreased from 18% to 15%. Individuals are required to pay social tax which is 2% of their salary.

Tax

Non resident individuals are taxed on Tajikistan source income which is primarily administered through employer withholding.

15%

Corporate Income Tax

12%

Personal Income Tax

18%

Sales Tax

15%

VAT

Social Security

The employer is required to withhold and make social tax payments. Pension contributions are included in the social tax payments made.

25%

Social Security Rate

25%

Social Security Rate for Employers

1%

Social Security Rate for Employees

Employment Law

The law requires that employment contracts contain mandatory clauses on place of work, the employee’s responsibilities, contract term, remuneration and holidays.

Employment Agreement

Employment agreements may be either fixed term or open-ended. In general, the law requires the employer to offer an open-ended contract unless it can justify that the conclusion of such a contract was not possible. The difference between the two types is that fixed term contracts do not require severance pay as the contract expires naturally.

Working condition

Employees who work in hazardous conditions are entitled to a reduced week of 35 hours. For employees who work in shifts, each shift cannot exceed 12 hours.

Leaves

The Labor Code provides that women are granted maternity leave of 70 calendar days before delivery and 70 calendar days after delivery. There are also several modalities of child care leave available. Employees are entitled to a minimum of 24 calendar days of annual paid leave.

Employment termination

Termination of the contract by an employee is subject to two weeks notice. The Labor Code prohibits the termination of contracts of pregnant women, women with children up to the age of three and single mothers with disabled children up to the age of 16.

20 days

Minimum notice period for terminating an employee

10

Total number of public holidays

40

Working hours per week

2 days

Total number of days for Compassionate & Bereavement Leave

Immigration

To support and improve the investment climate and encourage more foreign direct investment, multi-entry five year visas are being issued to entrepreneurs who invest over $1 million in the Tajik economy. To facilitate the movement of Tajikistan-born compatriots who reside abroad, multi-entry three year visas are delivered to them. This has been supported by the introduction of electronic visas and a unilateral visa-free regime.

Residency permits

At present, commercial flights to and fro remain very limited and land border crossings are closed to travel. Certain countries may come under Tajikistan’s visa-free arrangement which covers single-entry stays of up to 30 days. Visas are still required for stays over 30 days or multiple entries. The length of visa provided may differ from the length applied for. Additionally, entry and exit conditions may change at short notice.

Work Permit Validity

3 months

Required Documents

A passport that has at least two blank pages and three months of validity

A signed employment contract with a company based in Tajikistan

A letter of invitation from the applicant’s employer.

Compliant, reliable, error-free and touchless payroll in Tajikistan

Build the best team and hire top talent compliantly in Tajikistan. Get in touch with Tajikistan payroll outsourcing & PEO specialists for a free consultation!

This document was prepared for informational purposes only. As local laws & regulations keeps on changing. Please consult your tax & legal advisors as well.
Tell us where you want to grow.
Our team regional experts are here to support you with global expansion plans.

    Learn how we can help you comply with Local labor law
    Discover the best-in-class Payroll solution