Regulations for
the appointment of thematic tax audits in relation to small and microenterprises during the period of the moratorium
Chapter 1. General provisions
The Order of the Minister of Finance of the Republic of Kazakhstan dated 01.06.21 №001-КГД/15765-вн approved the regulations for the appointment of thematic tax audits in relation to small and microenterprises during the moratorium period. This regulation has been developed for the purpose of uniform application by state revenue bodies of subparagraph 1) of paragraph 1 of Decree of the President of the Republic of Kazakhstan No. 229 dated December 26, 2019 "On the introduction of a moratorium on inspections and preventive control, and supervision with visits in the Republic of Kazakhstan".
- In accordance with subparagraph 5) of paragraph 1 of Article 18 of the Code of the Republic of Kazakhstan "On Taxes and Other mandatory Payments to the Budget", the task of state revenue bodies is, inter alia, to ensure the economic security of the Republic of Kazakhstan within the competence.
According to paragraph 2 of the Decree, on the basis of the decision of the first head of the central state body, inspections can be carried out aimed at preventing or eliminating violations that potentially pose a direct or immediate threat to national security.
According to subparagraph 11) of paragraph 1 of Article 6 of the Law of the Republic of Kazakhstan "On National Security in the Republic of Kazakhstan", one of the types of threats to national security is damage to the economic security of the state, including uncontrolled export of capital and goods outside the country, as well as the growth of the shadow economy.
The growth of the shadow economy is facilitated by the issuance of fictitious invoices without the actual performance of work, the provision of services, the shipment of goods, which is a tool for tax evasion to the budget.
Chapter 2. The procedure for assigning thematic checks
Thematic tax audits are appointed in respect of small business entities, including microenterprise entities that have made mutual settlements with contractors-suppliers, for which a pre-trial investigation is conducted on the fact of actions on issuing invoices without actually performing work, rendering services, shipping goods in accordance with Article 216 of the Criminal Code of the Republic of Kazakhstan.
- Thematic tax audits provided for in paragraph 3 of these Regulations are appointed on the issue of determining the tax liability for mutual settlements with the taxpayer, in respect of whom a pre-trial investigation is being conducted on the fact of actions on issuing invoices without actually performing works, rendering services, shipping goods (subparagraph 3-1) of paragraph 1 of Article 142 of the Tax Code).
- Responsible person of the State Revenue Committee of the Ministry of Finance of the Republic of Kazakhstan based on the results of receiving information from the Financial Monitoring Agency of the Republic of Kazakhstan about persons who are subject to a pre-trial investigation under Article 216 of the Criminal Code of the Republic of Kazakhstan, within 5 working days, it analyzes them on the following issues:
* presence / absence at the location;
* registration / de-registration for VAT;
* timely submission of tax reports;
* availability / absence of labor resources, fixed assets;
* the ability to supply goods, perform work, and provide services from suppliers of the first and subsequent levels.
- When confirming the totality of the above information about the impossibility of delivering goods, performing works, providing services by a person in respect of whom a pre-trial investigation is being conducted, the responsible person of the Committee determines the list of contractors-buyers who have made mutual settlements with the specified person for the amount of turnover without VAT in the aggregate equal to or exceeding twenty thousand times the monthly calculation index established by the law on the republican budget and effective as of January 1 of the financial year in which the analysis is carried out.
- Prior to the appointment of a tax audit, in accordance with the provisions of Article 96 of the Tax Code, a notification on the elimination of violations identified by state revenue bodies based on the results of desk control (hereinafter referred to as the Notification) is issued to the designated counterparties-buyers (hereinafter referred to as the Notification) upon the commission of transactions with persons for whom a pre – trial investigation is being conducted under Article 216 of the Criminal Code of the Republic of Kazakhstan.
- The notification is issued within 5 working days from the day following the day when the responsible person of the Committee provides information to the relevant structural subdivision of the Committee.
- In relation to the contracting parties-buyers who have fulfilled the Notification by submitting an explanation of the violations identified, the Committee analyzes the validity of the explanations provided.
- In case of non-confirmation of the validity of the taxpayer's arguments on the basis of the decision of the Minister of Finance of the Republic of Kazakhstan, the Committee shall issue an order on the appointment of a thematic tax audit.
- An order on the appointment of a thematic tax audit within 1 working day from the date of its issuance is sent to the territorial departments of state revenue bodies for its execution.