New Paradigm of Digital Fiscal Governance Through The Rating System: The Experience of Russia and Uzbekistan

Abstract

The digital transformation of fiscal governance worldwide has led to the development of rating systems as new tools that can support better tax compliance, minimize administrative risk, and contribute to greater efficiency. The Russian tax authorities established a methodology that assesses legal entities comprehensively, using financial, legal, and behavioral criteria, to classify them by level of risk and dependability. Relying on the Russian model, Uzbekistan created a sustainability rating system in 2024. Currently, its indicators are not comprehensive enough in scope or impact. While there is much international interest in risk-based tax administration, research on the practical and theoretical integration of rating systems in transitional economies, especially regarding indicator choice, digital integration, and social and economic outcomes, remains sp The study sets out to analyze how Russia has implemented its rating system and to suggest a rating methodology grounded in science and able to be effectively applied in Uzbekistan’s unique fiscal setting. The analysis results in a 30-point rating model that includes 22 primary and eight supplementary indicators for evaluating financial stability, tax compliance, labor trends, legal clarity, and institutional security.. The model enables differentiated treatment of taxpayers and supports digital monitoring, contributing to increased voluntary compliance and administrative targeting. The research integrates Russian tax practice with Uzbekistan's emerging reforms to propose a unified, scalable digital fiscal management model. The findings support the use of comprehensive taxpayer ratings as a strategic instrument for tax policy segmentation, incentive allocation, and fostering a transparent, competitive business environment. Further research is recommended to evaluate implementation outcomes, enhance predictive analytics, and tailor models for broader regional application.