The introduction of royalties on solid minerals will be postponed until 2029
At the 28th meeting of the Project Office for the Implementation of the Tax Code, chaired by Deputy Prime Minister and Minister of National Economy Serik Zhumangarin, issues of taxation of solid mineral extraction, as well as exemption from the personal income tax for individuals when writing off problem debt on loans and microloans, were discussed.
The Ministry of Industry and Construction proposed postponing the introduction of royalties on solid minerals. New provisions of the Tax Code stipulate that royalties will be payable from January 1, 2027, on the sale of mineral raw materials and solid minerals, including processed minerals, mined under licenses issued after December 31, 2026, in territories where subsoil use rights were not previously granted.
At the same time, determining the tax base for man-made mineral formations, administering royalties, and setting rates, taking into account the specifics of new licenses, the capital intensity of projects, and the profitability of associated components, require further consideration. According to the Ministry of Railways, these issues require cross-industry coordination and testing using enterprise financial and economic models.
Following the discussion, participants supported postponing the application of royalties on solid minerals from January 1, 2027, to January 1, 2029.
Personal Income Tax (PIT) when writing off problem loan
The Project Office meeting again considered the issue of exempting individuals from the personal income tax when writing off loan and microloan obligations.
Current tax legislation already provides mechanisms for corporate income tax for creditors when bad debts are forgiven, as well as for the personal income tax for certain categories of individuals.
At the same time, given the social significance of the issue, consideration is being given to further exempting certain categories of borrowers from the personal income tax on mortgage loans covered by the relevant National Bank program, as well as in cases where the loan obligations arose as a result of established fraudulent activity.
As a reminder, at the 25th meeting of the Project Office, this issue was submitted for further revision to conduct detailed calculations and determine a comprehensive list of life situations in which the personal income tax exemption may apply.
According to the Agency for Regulation and Development of the Financial Market, as of July 1, 2026, the total volume of problematic debt from individuals overdue for over 90 days to banks and microfinance organizations (MFIs) was approximately 2.5 trillion tenge. The number of problematic borrowers was 1.37 million.
In the banking sector alone, the volume of loans from individuals overdue for over 90 days amounted to 1.2 trillion tenge, or 4.8% of the total household loan portfolio.
The social significance of this issue is also demonstrated by the number of citizen inquiries. In June 2026, the Agency for Regulation and Development of the Financial Market reviewed 16,400 inquiries, 45% of which concerned loan debt settlement.
According to the Association of Financiers of Kazakhstan, banks have already considered the possibility of forgiving the debt of 2,401 borrowers, totaling 25 billion tenge. The tax effect is estimated at approximately 2.7 billion tenge.
The Association of Russian Federal Registers of Financial Institutions (ARFMR) proposed reinstating the previously existing procedure, which exempts debt forgiven by banks, organizations engaged in certain types of banking operations, and microfinance organizations from individual income subject to the personal income tax. This mechanism was in effect until January 1, 2026.
This is expected to expand the ability of banks and microfinance organizations to finally resolve bad debts without creating a new tax liability for the distressed borrower after the debt is written off.
Following the discussion, it was decided that the Association of Russian Federal Registers of Financial Institutions (ARFMR), together with the National Bank, interested government agencies, and financial institutions, will develop a procedure for exempting individuals from the personal income tax in such cases. Possible mechanisms being considered include providing a one-time targeted benefit to a citizen for clearly defined categories of borrowers, including those based on Digital Family Card data, or introducing a quantitative limit on the volume of loans.
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