Half-built Ismoili Somoni Hotel enjoys tax breaks again

The endorsed national budget for 2020 notes that the hotel is exempted from paying VAT, profit tax and road tax next year.     

A long lasting construction of a 5-star “Ismoili Somoni” Hotel, which will have 350 rooms, was expected to be completed before the end of 2018 and to be put in commission this year.  Ismoili Somoni Hotel is being constructed for already thirteen years, and the company constructing the hotel has enjoyed tax breaks all these years being exempted from paying VAT and custom duties.

The construction of Ismoili Somoni Hotel officially commenced in Dushanbe on March 15, 2006.  Speaking at a groundbreaking ceremony for the hotel, Tajik President Emomali Rahmon expressed hope that it would be finished in accordance with schedule in one and a half years.

In 2006, the budget for construction of the hotel was reportedly estimated at 30 million U.S. dollars. 

Until the end of this year, the hotel every year has been exempted from paying VAT and customs duties.   Ismoili Somoni Hotel is being built on orders from the President’s Executive Office by a company called Ismoili Somoni-21st Century.

Recall, fire broke out at the half-built hotel in the morning of November 4 am during construction work.  The fire, which covered approximately 200 square meters, was reportedly caused by misuse of electricity by builders.  Twelve fire engines participated in extinguishing the fire and it was extinguished at the earliest possible time.