Kazakhstan: Amendments to tax law support business and entrepreneurial activities

Amendments establish certain tax measures to support business and to stimulate entrepreneurial activities.

Tax measures to support business and to stimulate entrepreneurial activities

Changes to the tax code and related legislation were signed into law in June 2021. The amendments establish certain tax measures to support business and to stimulate entrepreneurial activities. These changes concern:

  • The deadline for submission (including legalization) of foreign tax residency certificates for 2019 and 2020 (effective from 1 January 2021)
  • Tax obligations assessed via electronic messages (effective from 1 July 2021)
  • Suspended bank account transactions if outstanding tax liabilities exceed a certain amount (effective from 1 July 2021)
  • Deductibility of sanitary and anti-epidemic expenses that an employer incurs for its employees (effective from 1 July 2021)
  • Additional input VAT against turnover related to sales of manufactured products for newly created enterprises in the processing industry (except for the metallurgical industry) (effective from 1 July 2021)
  • Bank account transactions as the taxpayer settles the outstanding tax liabilities (effective from 1 January 2022)
  • Supporting document for the deduction of expenses from value added tax (VAT) non-payers (effective from 1 January 2022)
  • Interest expenses related to loans from parent companies (effective from 1 January 2022)
  • Taxable income by the cost of an acquisition or construction of buildings for production purposes (effective from 1 January 2022)
  • Electronic invoicing obligation on sales of imported goods or goods from the Virtual Warehouse Mode (effective from 1 January 2022)
  • Customs value of certain goods imported from member states of Eurasian Economic Union (effective from 1 January 2022)
  • New mandatory payment for digital mining (effective from 1 January 2022)
  • New special mobile application tax regime (effective from 1 January 2022)
  • Tax benefits to social entrepreneurship (effective from 1 January 2022)
  • Special retail tax regime (effective from 1 January 2023 to 1 January 2025)

Read an August 2021 report prepared by the KPMG member firm in Kazakhstan

 

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