12.01.2019
On taxes and other obligatory payments to the budget (Tax Code)
Unofficial translation
Footnote. The table of contents is excluded by the Law of the Republic of Kazakhstan dated 24.06. 2021 No. 53-VII (shall be enforced ten calendar days after the day of its first official publication).
Footnote. Throughout the text, the words "agreements on the settlement of insolvency", "procedures for resolving insolvency", "agreement on the settlement of insolvency" are replaced respectively by the words "agreements on debt restructuring", "debt restructuring procedures", "agreement on debt restructuring" in accordance with the Law of the Republic of Kazakhstan dated December 27, 2019 No. 290-VІ (shall be enforced upon expiry of ten calendar days after the day of its first official publication).
the words “oralman” and “oralmans” are replaced by the words “kandas” and “kandases”, respectively, in accordance with the Law of the Republic of Kazakhstan dated 10.12.2020 No. 382-VI (effective from 01.01.2021).
This Code establishes basic principles of taxation, regulates the government-directed imposition, introduction, change, abolition of taxes, procedure for calculation and payment of taxes and other obligatory payments to the budget, as well as relations pertaining to the fulfillment of tax obligations.
1. GENERAL PART SECTION 1. GENERAL PROVISIONS
Chapter 1.BASIC PROVISIONS
Article 1. Basic definitions used in this Code
1. Basic definitions used in this Code for tax purposes are as follows:
1) information processing services – services for the collection and generalization of information, systematization of bulk information (data) and making the outcome of information processing available to the user;
2) special tax regime –special procedure for the calculation and payment of certain types of taxes and other obligatory payments to the budget, as well as filing tax returns on them by certain types of taxpayers;
2-1) organization of the body of the ASTANA International Financial Center - a legal entity registered in accordance with the current law of the ASTANA International Financial Center, whose 50 or more percent of the participation interest (voting shares) directly or indirectly belongs to the body of the ASTANA International Financial Center.
Indirect ownership means ownership by the body of the ASTANA International Financial Center through another legal entity that directly belongs to the body of the ASTANA International Financial Center;
This wording of subparagraph 3) is in effect until 01.01.2023 according to Law of the Republic of Kazakhstan № 121-VI as of 25.12.2017 (for the suspended wording, refer to the archival version of the Tax Code of the Republic of Kazakhstan as of 25.12.2017).
3) social welfare payments – mandatory pension contributions, mandatory professional pension contributions paid in accordance with the legislation of the Republic of Kazakhstan on pension protection, social contributions paid in accordance with the Law of the Republic of Kazakhstan “On Compulsory Social Insurance”, contributions for compulsory social health insurance paid in accordance with the Law of the Republic of Kazakhstan “On compulsory social health insurance”;
4) securities – shares, debt securities, depositary receipts, shares of mutual funds, Islamic securities;
5) arrears - calculated, accrued and overdue amounts of taxes and payments to the budget, including advance and (or) current payments on them, except for the amounts reflected in the audit findings report, the notice on the horizontal monitoring findings during the period of appeals in accordance with the procedure established by the legislation of the Republic of Kazakhstan in the part that is being appealed;
6) debt securities – government issue-grade securities, bonds and other securities recognized as debt securities in accordance with the legislation of the Republic of Kazakhstan;
7) discount on debt securities (hereinafter referred to as discount) - difference between nominal value and that of primary placement (exclusive of a coupon) or purchase price (exclusive of a coupon) of debt securities;
8) coupon on debt securities (hereinafter referred to as coupon) - amount payable (due) by the issuer in excess of the nominal value of debt securities in accordance with the terms of issue;
9) premium on debt securities - difference between the value of primary placement (exclusive of a coupon) or the purchase price (exclusive of a coupon) and the nominal value of debt securities, the terms of issue of which provide for payment on a coupon;
10) other obligatory payments to the budget (hereinafter referred to as payments to the budget) - mandatory money contributions to the budget in the form of fees, allowances, duties, except for customs payments effected in the amount and in cases set forth in this Code;
11) market exchange rate - the rate of the tenge to a foreign currency set in accordance with the procedure prescribed by the National Bank of the Republic of Kazakhstan together with the authorized state body regulating the activity in the field of accounting and financial reporting;
12) web application – a customized website of the authorized body protected from unauthorized access, designed to enable taxpayers to receive electronic tax services and fulfill their tax obligations;
13) grant – non-repayable assets for the achievement of certain goals (tasks) provided by:
states, governments of states to the Republic of Kazakhstan, the Government of the Republic of Kazakhstan, both individuals and legal entities;
international and state organizations, foreign and Kazakhstani non-governmental public organizations and foundations, whose activities are of charitable and (or) international nature and not contrary to the Constitution of the Republic of Kazakhstan, entered into the list fixed by the Government of the Republic of Kazakhstan following state bodies’ resolutions, to the Republic of Kazakhstan, the Government of the Republic of Kazakhstan, both individuals and legal entities;
foreigners and stateless persons to the Republic of Kazakhstan and the Government of the Republic of Kazakhstan;
14) humanitarian aid – property provided on a non-reimbursable basis to the Republic of Kazakhstan in the form of food products, consumer goods, machinery, equipment, medicinal productsmedicines and devices, other assets sent by foreign countries and international organizations to improve living and welfare conditions of the population, and also to prevent and recover emergency situations of military, ecological, natural and man-made nature, which are distributed by the Government of the Republic of Kazakhstan through authorized organizations;
15) sponsorship – assets provided on a non-reimbursable basis to disseminate information on a person rendering this assistance:
among individuals in the form of financial (except for social) support for their participation in competitions, contests, exhibitions, festivals and for the development of creative, scientific, scientific and technical, inventive activity, to boost the level of education and sportsmanship;
among non-commercial organizations to enable them to achieve their statutory goals;
16) dividends are income:
in the form of net income or part thereof that is payable on shares, including underlying assets of depositary receipts;
payable on shares of a mutual fund, except for income on shares repurchased by a fund management company;
in the form of net income or part thereof distributed by a legal entity among its founders, participants;
from the distribution of assets in case of liquidation of a legal entity or reduction of its charter capital, and also from the repurchase of a participatory interest in a legal entity or part thereof from its founder, participant by this legal entity, the repurchase of shares from a shareholder by a legal entity that issued those shares;
payable on Islamic participation certificates;
received by a shareholder, participant, founder or their related party from a legal entity in the form of:
positive difference between the market price of goods, works, services and the price at which such goods, works, services are sold to a shareholder, participant, founder or their related party;
negative difference between the market price of goods, works, services and the price at which such goods, works, services are purchased from a shareholder, participant, founder or their related party;
the cost of expenses or obligations, not related to the entrepreneurial activity of a legal entity, arising for its shareholder, participant, founder or their related party to a third party, which the legal entity recovers without receiving compensation from a shareholder, founder, participant or their related party;
any assets and material benefit provided by a legal entity to its shareholder, participant, founder or their related party, except for the income specified in Articles 322-324 of this Code, and that from the sale of goods, works, services.
Income from the distribution of assets specified in this subparagraph shall be calculated as follows:
I = Vr – Ap,
where:
I – income from the distribution of assets;
Vr – the book value of assets (to be) received by a shareholder, participant, founder upon the distribution of assets, including those (to be) received in return for earlier contributed ones, at the date of transfer, (to be) stated in the accounting records of the transferring party, without revaluation and depreciation;
Ap:
the amount of paid-up charter capital attributable to the number of shares for which the assets are distributed;
the amount of the paid authorized capital attributable to the participation share to which the property is distributed, but not more than the initial value of such participation share, determined as prescribed in paragraph 7 of Article 228 of this Code, for the participant in whose favor the property is distributed.
The positive or negative difference specified in this subparagraph is calculated when adjusting taxable items. Taxable items are adjusted in the cases and in accordance with the procedure established by the legislation of the Republic of Kazakhstan on transfer pricing. For the purposes of this subparagraph, related parties are defined in accordance with paragraph 2 of this article;
17) design services - services for designing artistic forms, the appearance of products, facades of buildings, interiors of premises; artistic design;
18) standard procedure for taxation – a procedure for calculating, paying taxes and payments to the budget, filing tax returns on them, which is set forth in the Special Part of this Code, except for the procedure prescribed by Section 20 of this Code;
19) private practice owner - a private notary, private law enforcement officer, lawyer, professional mediator;
20) social support of an individual – compensation-free transfer, within a year, by a tax agent of assets worth up to 647 times of the Monthly Calculation Index established by the law on the republican budget and effective as of the start of a relevant financial year to an individual eligible for social support in accordance with the legislation of the Republic of Kazakhstan.
The list of categories of persons covered by this subparagraph shall be approved by the central authorized body for state planning in coordination with the authorized body;
21) personal property of an individual - tangible items of personal property that are owned by him/her or are his/her share in common property, provided all of the following requirements are met:
they are not used by an individual for business purposes;
they are not subject to the imposition of a self-assessed individual income tax;
22) subsoil use contract - an agreement between a competent authority or an authorized body for exploration and use of subsurface resources or a local executive body of a region, a city of national significance, the capital within their competence established by the legislation of the Republic of Kazakhstan on subsoil and subsoil use, and an individual and (or) a legal entity on the exploration, extraction, combined exploration and extraction of mineral resources, or construction and (or) operation of underground facilities not related to exploration and (or) extraction, or for national geological study of subsurface resources.
For the purposes of this Code, a subsoil use contract shall also stand forsubsoil use licenses and other forms of granting rights to subsoil use and (or) water use in accordance with the legislation of the Republic of Kazakhstan.
Given this, the terms “exploration contract”, “extraction contract”, “contract for combined exploration and extraction” and “exploration or extraction license” used in this Code are identical to the term “subsoil use contract”, the term “exploration and extraction contract” is identical to that of “combined exploration and extraction contract”;
23) subsoil use operations - works related to the geological study of subsoil, exploration and (or) extraction of mineral resources, including those connected with the exploration and production of groundwater, therapeutic muds, subsoil exploration for wastewater discharge, and also for construction and (or) operation of underground facilities not related to exploration and (or) extraction;
24) subsoil users - individuals and legal entities entitled to conduct subsoil use operations, including oil ones, and (or) water use operations in the territory of the Republic of Kazakhstan in accordance with the laws of the Republic of Kazakhstan;
25) employee:
an individual who is in labor relations with an employer and performs work under an employment agreement (contract);
a civil servant;
a member of board of directors or another management body of a taxpayer that is not asupreme management body, except for civil servants;
a foreigner or a stateless person assigned for work under an outstaffing contract by a non-resident whose activity does not constitute a permanent establishment in accordance with the provisions of paragraph 7 of Article 220 of this Code to a resident or another non-resident operating in the Republic of Kazakhstan through a permanent establishment;
26) structural unit of a legal entity - branch, representative office;
27) investment gold - gold, which meets the following requirements:
to gold coins:
such gold coins shall have no numismatic value;
the purity of gold coins shall be equal to or greater than 900/1000 of gross mass (which is equivalent to 900 fineness, 900 promille, 90.0 percent, or 21.6 karat).
A gold coin is recognized as that of numismatic value in case one of the following requirements is met:
it was minted before 1800;
it was minted using the technology ensuring a mirror-like surface, “proof” quality;
the mintage is not more than 1000 copies;
its market price exceeds the value of gold contained in the coin by more than 80 percent.
The value of gold contained in a coin is determined by way of multiplying a.m. gold fix (price quotation) set by the London Bullion Market Association as of the date of sale of the gold coin by the market exchange rate set on the previous business day of the date specified.
As to other gold:
such gold is affined (the purity of such gold is equal to or greater than 995/1000 of the total mass (which is equivalent to 995 fineness, 995 promille, 99.5 percent, or 23.88 karat);
such gold is up to the national or international standard, shall be manufactured in the shape of a measured or standard ingot and/or plate and carry the following marks:
as to a standard ingot and (or) plate:
serial number (may include a year of manufacture);
the trademark of a manufacturer;
gold purity (content);
year of manufacture, if not included in the serial number;
for a measured ingot:
type of metal;
the trademark of a manufacturer;
gold purity (content);
mass of an ingot;
28) engineering services - engineering and consulting services, research, design, calculation and analysis, development of feasibility studies of projects, elaboration of recommendations in the field of production management and administration, sales of products;
29) online marketplace – information system in the Internet providing intermediary services for the organization of e-commerce;
30) online store – information system in the Internet for the sale of goods through one’s own website;
31) Islamic securities – Islamic lease certificates and Islamic participation certificates;
32) professional mediator - a mediator who carries out his/her activity on a professional basis as required by the Law of the Republic of Kazakhstan “On Mediation”;
33) arithmetic-mean market exchange rate for the period – the rate calculated using the following formula:
R = (R1 + R2 + … + Rn)/n,
where:
R – arithmetic-mean market exchange rate for the period;
R1, R2.., Rn – the daily market exchange rate of a relevant currency set on the previous business day of each day of the period;
n – the number of calendar days in the period;
34) non-contract activity - any other activity of a subsoil user that is not expressly set out in a subsoil use contract;
35) contract activity - activity of a subsoil user carried out in compliance with the provisions of a subsoil use contract;
36) consulting services – services for providing explanations, recommendations, advice and other forms of consultation, including identification and (or) evaluation of problems and (or) possibilities of a person, in order to address managerial, economic, financial and investment issues, as well as those of strategic planning, organization and implementation of entrepreneurial activities, personnel management;
37) oil treatment - a set of technological processes for the treatment of oil, including its gathering, delivery for treatment, inflow of borehole fluid into measuring units, degassing, dehydration, desalination, stabilization, demercaptanization;
38) charitable assistance - assets provided on a non-reimbursable basis:
in the form of sponsorship;
in the form of social support of an individual;
to a non-commercial organization to support its statutory activity;
to an organization operating in the social sphere to enable it to implement the types of activity specified in paragraph 2 of Article 290 of this Code;
to an organization operating in the social sphere and meeting the requirements specified in paragraph 3 of Article 290 of this Code;
39) participatory interest - share participation of an individual and (or) legal entity in a joint activity, the charter capital of a legal entity, except for joint-stock companies and mutual funds;
40) non-disclosure agreement - a contract (agreement) between a subsoil user and the authorized body for the exploration and use of mineral resources, used as a basis for the disclosure of geological information. A contract (agreement) for acquisition of information is also among such contracts (agreements);
41) heated tobacco product - a type of tobacco product consisting of raw tobacco with or without the addition of tobacco product ingredients, intended for use in a tobacco heating system;
42) marketing services - services associated with research, analysis, planning and forecasting in the sphere of production and circulation of goods, works, services for the purposes of identifying steps to create better economic conditions for the production and circulation of goods, works, services, including characteristics of goods, works, services, elaboration of pricing and advertising strategies;
43) recipient on behalf of the state (state authorized recipient) - a legal entity assigned by the Government of the Republic of Kazakhstan and acting on behalf of the state as a recipient of mineral resources transferred in kind by a subsoil user for the fulfillment of his/her/its tax obligation stipulated by the tax legislation of the Republic of Kazakhstan and (or) production sharing agreements (contracts), a subsoil use contract approved by the President of the Republic of Kazakhstan,which are provided for by Article 722 of this Code and;
44) state revenue authority - a state authority ensuring, within its competence, revenues from taxes and payments to the budget, customs regulation in the Republic of Kazakhstan, exercising powers to prevent, detect, suppress, clear up and investigate administrative offences, which the legislation of the Republic of Kazakhstan places under the jurisdiction of this authority, and also exercising other powers provided by the legislation of the Republic of Kazakhstan;
45) mineral raw materials – part of subsoil extracted to the surface (rock, ore raw materials and others) containing mineral (minerals);
46) primary processing (enrichment) of mineral raw materials - a mining activity that includes on-site gathering, crushing or grinding, classifying (sorting), briquetting, agglomeration and enrichment by physicochemical methods (without qualitative changes in the mineral forms of minerals, their aggregate-phase state, crystallochemical structure) and may also include processing technologies that are special types of mining operations (underground gasification and smelting, chemical and bacterial leaching, and mining of alluvial deposits by dredging and hydraulicking);
47) oil operations - works on exploration, production of hydrocarbons, construction and (or) operation of necessary technological and production facilities;
48) operator - a legal entity that is set up or assigned in accordance with the laws of the Republic of Kazakhstan by subsoil users carrying out subsoil use operations within a simple partnership (consortium) under a production sharing agreement (contract);
49) mining - the whole scope of works (operations) relating to the extraction of minerals from the subsoil to the surface, including the removal of groundwater, as well as from technogenic mineral formations, including primary processing and temporary storage of mineral raw materials;
49-1) recovered reserves - the volume of mineral reserves extracted and written off from the state balance sheet, including actual losses generated in the extraction process;
50) realization - shipment and (or) transfer of goods or other assets, performance of works, rendering of services for the purpose of sale, exchange, gratuitous transfer, transfer of assets under a lease agreement, as well as transfer of pledged goods to a pledgee if a debtor fails to fulfill apledge-secured obligation;
51) minerals - natural mineral formations, hydrocarbons and groundwater contained in the bowels of the earth, as well as natural mineral formations and organic substances containing useful components, the chemical composition and physical properties of which allow their use in the sphere of material production and (or) consumption and (or) for other needs, as they are or after their processing;
52) royalty - payment for:
the right to use mineral resources in the process of extraction of minerals and processing of technogenic formations;
use or the right to use copyrights, software, drawings or models, except for the full or partial realization of property (exclusive) rights to an intellectual property item; use or right to use patents, trademarks or other similar types of rights;
the use of or the right to use industrial equipment, including seagoing vessels leased under bareboat-charter or demise-charter agreements and aircraft leased under demise-charter agreements, as well as commercial or scientific-research equipment; the use of know-how; the use of or the right to use movies, video films, sound recordings or other recording media;
53) tax agent - an individual entrepreneur, a private practice owner, a legal entity, including its structural units, as well as a non-resident legal entity, that are assigned the duty to calculate, withhold and transfer taxes withheld at the source of payment in accordance with this Code;
54) tax regime – set of regulations of the tax legislation of the Republic of Kazakhstan applied by a taxpayer to calculate all tax obligations for the payment of taxes and payments to the budget established by this Code;
55) taxes – obligatory monetary payments to the budget legally established by the state on a unilateral basis, except for cases provided for by this Code, made in certain amounts, which are non-returnable and unrequited;
56) tax audit report – an opinion drawn up pursuant to tax audit findings in accordance with the legislation of the Republic of Kazakhstan;
57) taxpayer - a person and (or) a structural unit of a legal entity that is a payer of taxes and payments to the budget;
57-1) taxpayer passport - an information card of a business entity that is not a tax secret and is contained in a barcode generated by a tax authority;
58) personal account of a taxpayer (tax agent) - a document, also in electronic form, for the accounting of calculated, assessed (reduced), transferred and paid (including offset and refunded) amounts of taxes and payments to the budget, social welfare payments, and also amounts of penalties and fines;
59) electronic document of a taxpayer - an electronic document transmitted in the established electronic format, certified with an electronic digital signature of the taxpayer, after its acceptance and confirmation of authenticity;
60) electronic digital signature of a taxpayer - a set of electronic digital symbols created by means of an electronic digital signature and confirming the authenticity of an electronic document, its belonging to the taxpayer and the invariability of its content, obtained in accordance with the legislation of the Republic of Kazakhstan on an electronic document and electronic digital signature;
61) tax debt - the amount of arrears, as well as unpaid amounts of penalties and fines. The tax debt shall not include the amount of penalties reflected in the audit findings report, notice on the horizontal monitoring findings, as well as the amount of fines reflected in the resolution to impose an administrative sanction during an appeal period in the manner prescribed by the legislation of the Republic of Kazakhstan with regard to the disputed amount;
61-1) tax mobile application - a software product installed and launched on a cellular subscriber device and providing access to electronic services for taxpayers;
62) remuneration - all payments:
related to a loan (loan, microloan), with the exception of the received (issued) amount of the loan (loan, microloan), commissions for transferring money by second-tier banks and other payments to a person who is not a lender for the borrower, an interconnected party;
related to a loan (loan, microloan), the right of claim under which is assigned to a legal entity specified in the laws of the Republic of Kazakhstan "On Banks and Banking Activities in the Republic of Kazakhstan" and " On Microfinance Activities ", with the exception of the received (issued) amount of the loan (loan, microloan ), commissions for money transfer and other payments to a person who is not a lender for the borrower, an interconnected party;
related to the transfer of property under a financial lease agreement, including payments related to such an agreement to a related party, except for:
the cost at which such property was received (transferred);
payments in connection with a change in the amount of lease payments when the coefficient (index) is applied in accordance with the terms of the financial lease agreement;
payments to a person who is not a lessor or a related party for the lessee;
on deposits, except for the amount of the deposit, as well as payments to a person who is not, for the party that accepted the deposit, a depositor, an interrelated party;
related to the accumulative insurance contract, with the exception of the amount of the insured amount, payments to a person who is not an insurer for the policyholder, an interconnected party;
for debt securities in the form of a discount or coupon (taking into account the discount or premium from the cost of the initial offering and (or) the cost of acquisition), payment to the person who is for the person paying the fee, the holder of his/her debt securities, an interrelated party;
on a bill, with the exception of the amount specified in the bill, payments to a person who is not the holder of his/her bills for the drawer, an interconnected party;
for repo transactions - in the form of the difference between the closing price and the opening price of the repo;
on Islamic lease certificates.
For the purposes of this sub-paragraph, remuneration shall be also recognized as remuneration paid under bank account agreements;
63) an accompanying waybill for goods - a document drawn up in electronic form in the cases, in the manner, in the form and within the time limits established by this Code;
64) import of goods - importation of goods into the customs territory of the Eurasian Economic Union in accordance with the customs legislation of the Eurasian Economic Union and (or) the customs legislation of the Republic of Kazakhstan, as well as importation of goods into the territory of the Republic of Kazakhstan from the territory of another member state of the Eurasian Economic Union;
65) e-commerce - business activity for the sale of goods to individuals carried out using information technologies through an online store and (or) an online marketplace provided all of the following requirements are met:
transactions for the sale of goods are registered in electronic form;
goods are paid for by bank transfer;
existence of an own service of goods delivery to acustomer (recipient) or contracts with persons providing services for the carriage of goods, performing courier and (or) postal activities;
66) tour operator services - services of an individual entrepreneur and a legal entity having a license for tourism operator activity (tour operator activity) in accordance with the legislation of the Republic of Kazakhstan on tourism activity, for the sale of a tourism product created by them to travel agents and tourists;
67) a person - an individual and a legal entity; an individual - a citizen of the Republic of Kazakhstan, a foreign national or a stateless person; legal entity - an organization established in accordance with the legislation of the Republic of Kazakhstan or a foreign state (non-resident legal entity). For the purposes of this Code, a non-resident legal entity shall mean a company, partnership, organization or other corporate entity established in accordance with the laws of a foreign state, which are considered as independent legal entities, regardless of whether they have the status of a legal entity of a foreign state where they were created;
67-1) registering authorities - state authorities and the State Corporation "Government for Citizens", conducting registration of information and issuance of documents with an identification number;
68) an authorized legal entity - a legal entity assigned by an authorized body to sell the property of a taxpayer (tax agent) and (or) a third party, which has restrictions on the title to it and (or) is pledged in accordance with this Code;
69) authorized state bodies - state bodies of the Republic of Kazakhstan, except for tax authorities and local executive bodies authorized by the Government of the Republic of Kazakhstan to calculate and (or) collect payments to the budget, and also to interact with tax authorities in accordance with this Code within their competence established by the legislation of the Republic of Kazakhstan;
70) authorized body - a state body in charge of ensuring revenues from taxes and payments to the budget;
71) an authorized person - a person who is entrusted with the obligation to submit to the authorized body the information he has on individuals in accordance with Article 26 of this Code within his competence, established by the legislation of the Republic of Kazakhstan;
72) winnings - any types of income in kind and in cash received by taxpayers at contests, competitions (olympiads), festivals, lotteries, drawings, including drawings on deposits and debt securities, as well as income in the form of material benefit obtained through gambling and (or) betting;
72-1) three-component integrated system - an integrated system consisting of a cash register with fixing and transmitting data function, a system (device) for receiving cashless payments, as well as equipment (device) equipped with an automation system for managing trade, rendering services, performing work and accounting of goods, or a hardware-software complex that replaces all three components of an integrated system.
The requirements for three-component integrated system and its accounting, the procedure for its installation and application shall be established by the authorized agency by agreement with the central state authority in the field of state planning, the authorized state authority implementing the state policy in the field of communications, and the National Bank of the Republic of Kazakhstan
73) electronic taxpayer - a taxpayer interacting with tax authorities electronically in accordance with the legislation of the Republic of Kazakhstan on electronic documents and electronic digital signatures;
74) electronic cigarettes - tobacco-free devices that electronically heat a nicotine-containing liquid (in cartridges, tanks and other containers used in electronic cigarettes) and thereby produce aerosol for inhaling;
74-1) nicotine-containing liquid for use in electronic consumption systems - a liquid containing nicotine, or a liquid without nicotine content, intended for use in electronic consumption systems (in cartridges, tanks and other containers), in the heating of which an aerosol (vapor) is formed, intended for inhalation;
75) electronic invoicing system - information system of the authorized body for receiving, processing, registering, transferring and storing invoices issued in electronic form.
2. For the purposes of this Code, individuals and (or) legal entities shall be recognized related parties if their relationships meet at least one of the following requirements:
1) one person is recognized an affiliated person of the other in accordance with the laws of the Republic of Kazakhstan;
2) one person is a major participant in the other;
3) persons are bound by an agreement under which one of them is entitled to influence decisions taken by the other;
4) a legal entity is under control of a major participant or executive officer of the other legal entity;
5) a large shareholder, a major participant or an executive officer of one legal entity is a major shareholder, a major participant or an executive officer of the other legal entity;
6) both legal entities are under control of a third party;
7) a person and his/her affiliated persons jointly own, use, dispose of 10 or more percent of participatory interests of a legal entity or legal entities specified in subparagraphs 2)-6) of this paragraph;
8) an individual is an executive officer of a legal entity specified in subparagraphs 2)-7) of this paragraph, except for non-executive director of a joint-stock company;
9) an individual is a close relative or an in-law relative (brother, sister, parent, son or daughter of the spouse) of a major participant or executive officer of a legal entity.
For the purposes of this paragraph, a large participant shall be understood to mean a participant whose share in the assets of a legal entity, except for joint-stock companies, is equal to or greater than 10 percent.
Control over a legal entity shall be understood to mean a possibility to influence decisions made by this legal entity.
2-1. For the purposes of this Code, the regulations provided for second-tier banks, insurance (reinsurance) companies, insurance brokers shall apply to branches of non-residents banks of the Republic of Kazakhstan, branches of insurance (reinsurance) non-resident companies of the Republic of Kazakhstan, branches of non-resident insurance brokers of the Republic of Kazakhstan, open on the territory of the Republic of Kazakhstan and operating on the basis of a license from the authorized body for regulation, control and supervision of the financial market and financial organizations.
3. Other special concepts and definitions of the tax legislation of the Republic of Kazakhstan are used in the meanings defined in relevant articles of this Code.
4. The concepts of civil and other branches of the legislation of the Republic of Kazakhstan used in this Code shall have the meanings in which they are used in these branches of the legislation of the Republic of Kazakhstan, unless otherwise provided for by this Code.
Footnote. Article 1 as amended by the Law of the Republic of Kazakhstan dated 26.12.2018 No. 203-VI (shall be enforced from 01.01.2019); dated 28.12.2018 No. 210-VI (shall be enforced from 01.01.2019); dated 28.12.2018 No. 211-VI (shall be enforced upon expiry of ten calendar days after its first official publication); dated 02.04.2019 No. 241-VI (enforcement see Article 2); No. 262-VI dated 03.07.2019 (shall be enforced since 01.01.2020); dated 10.12.2020 No 382-VI (enforcement Art 2 ); dated 20.12.2021 No. 85-VII (see Article 2 for the procedure of enactment).
Article 2. The tax legislation of the Republic of Kazakhstan
1. The tax legislation of the Republic of Kazakhstan is based upon the Constitution of the Republic of Kazakhstan, consists of this Code, as well as regulatory legal acts, the adoption of which is provided for by this Code.
2. No one shall be liable to pay taxes and payments to the budget not provided for by this Code.
3. Where a contradiction exists between this Code and other laws of the Republic of Kazakhstan, for tax purposes, the provisions of this Code shall apply.
4. It is prohibited to include rules regulating tax relations in the non-tax legislation of the Republic of Kazakhstan, except for cases provided for by this Code.
5. Where an international treaty ratified by the Republic of Kazakhstan establishes rules other than those contained in this Code, the rules of the said treaty shall apply.
Article 3. Operation of the tax legislation of the Republic of Kazakhstan
1. The tax legislation of the Republic of Kazakhstan shall be valid throughout the territory of the Republic of Kazakhstan and apply to all individuals, legal entities and their structural subdivisions, which are determined by this Code as payers of taxes and payments to the budget, and also as participants in relevant tax and other procedures for collection and administration of taxes and payments to the budget.
2. The laws of the Republic of Kazakhstan, making changes and additions to this Code in terms of establishing a new tax and (or) payment to the budget, increasing the rate, changing the item of taxation and (or) the tax base, increasing the categories of taxpayers (tax agents), canceling or reducing deductions or benefits for paying taxes and payments to the budget may be accepted no more than once a year no later than July 1 of the current year and entered into force not earlier than January 1 of the year following the year of their adoption
3. Laws that introduce amendments and additions to this Code on tax administration, specifics of establishing tax reporting, improvement of the position of a taxpayer (tax agent) may be adopted no later than December 1 of the current year.
4. Introduction of amendments and (or) additions to this Code made by a law that does not provide for the introduction of amendments and additions to other legislative acts of the Republic of Kazakhstan, excepting the Law of the Republic of Kazakhstan on the enforcement of this Code.
Alongside this, when making changes and (or) additions to this Code in the manner of a legislative initiative of the Government of the Republic of Kazakhstan, a draft of such a law shall be developed by the authorized tax policy body.
5. The provisions of the laws of the Republic of Kazakhstan that establish new types of taxes and (or) payments to the budget, increase rates, establish new obligations, and also worsen the position of the taxpayer (tax agent), shall not be retroactive.
Footnote. Article 3 as amended by laws of the Republic of Kazakhstan No. 210-VI dated 28.12.2018 (shall be enforced since 01.01.2019); No. 291-VІ dated 27.12.2019 (shall be enforced since 01.01.2020); dated 10.12.2020 No 382-VI (enforcement Art 2).
Article 4. Principles of taxation
1. The tax legislation of the Republic of Kazakhstan rests on the principles of taxation established by this Code.
The principles of taxation include those of obligatory nature of taxation, definiteness of taxation, fairness of taxation, taxpayer’s conscientiousness, unity of the tax system and publicity of the tax legislation of the Republic of Kazakhstan.
The provisions of the tax legislation of the Republic of Kazakhstan shall not be contrary to the principles of taxation.
2. Where contradictions are revealed between the provisions of the tax legislation of the Republic of Kazakhstan and the principles of taxation, such provisions shall not apply, if contradictions are revealed in the course of consideration of complaints about audit findings reports, the latter shall be subject to revision.
Article 5. The principle of obligatory nature of taxation
A taxpayer is obliged to fulfill a tax obligation, a tax agent - to calculate, withhold and transfer taxes in full and on time in accordance with the tax legislation of the Republic of Kazakhstan.
Article 6. The principle of definiteness of taxation
Taxes and payments to the budget of the Republic of Kazakhstan shall be well-defined. The definiteness of taxation means the establishment by the tax legislation of the Republic of Kazakhstan of all the grounds and procedures for the commencement, fulfillment and termination of a taxpayer’s tax obligation, the duty of a tax agent to calculate, withhold and transfer taxes.
Article 7. The principle of fairness of taxation
1. Taxation in the Republic of Kazakhstan is universal and obligatory.
2. It is prohibited to grant tax reliefs on a case-by-case basis.
3. No one may be subject to reimposition of the same type of tax, the same type of payment to the budget for the same taxable item over the same time period.
Article 8. The principle of the taxpayer’s conscientiousness
1. A taxpayer (tax agent) is assumed to perform actions (inaction) to fulfill his/her/its tax obligation in good faith.
2. A taxpayer (tax agent) may not benefit from his/her/its illegal actions in order to obtain tax benefits (tax savings) and reduce tax payments.
3. If a tax obligation fulfilled by a taxpayer (tax agent) in compliance with previously received individual written explanation from a tax authority, later withdrawn, is found to be wrong or a new, different, explanation was delivered, the tax obligation is subject to adjustment (correction) in the course of consideration of a complaint about an audit findings report without charging fines and penalties to the taxpayer.
4. Violation of the tax legislation of the Republic of Kazakhstan by a taxpayer (tax agent) shall be described in the course of tax audits. Tax authorities are obliged to support arguments and disclose circumstances providing evidence of the fact of violation of the tax legislation of the Republic of Kazakhstan.
5. When considering a complaint about an audit findings report, all uncertainties and open issues of the tax legislation of the Republic of Kazakhstan shall be construed in favor of a taxpayer (tax agent).
Article 9. The principle of the unity of the tax system
The tax system of the Republic of Kazakhstan is uniform throughout the territory of the Republic of Kazakhstan in respect of all taxpayers (tax agents).
Article 10. The principle of publicity of the tax legislation of the Republic of Kazakhstan
Regulatory legal acts regulating taxation issues are subject to mandatory official publication.
Article 11. Tax policy
Tax policy is a set of measures to establish new and abolish current taxes and payments to the budget, to change rates, taxable and tax-related items, to alter the tax base for taxes and payments to the budget in order to satisfy financial needs of the state through the harmonization of economic interests of the state and taxpayers.
The authorized body in the field of tax policy shall analyze the effectiveness of the application of tax benefits in accordance with the procedure determined by the Government of the Republic of Kazakhstan.
Article 12. Advisory Council on taxation issues
1. The Government of the Republic of Kazakhstan is entitled to set up Advisory Council on taxation issues for the purposes of eliminating ambiguities, inaccuracies and contradictions that may arise in the course of fulfillment of tax obligations, and also for suppressing possible schemes to evade the payment of taxes and payments to the budget.
2. Provisions on the Advisory Council and its membership shall be approved by the Government of the Republic of Kazakhstan.
Chapter 2. THE RIGHTS AND OBLIGATIONS OF A TAXPAYER AND A TAX AGENT. REPRESENTATION IN TAX RELATIONS
Article 13. The rights and obligations of a taxpayer
1. A taxpayer has the right:
1) to receive from tax authorities information on current taxes and payments to the budget, on amendments to the tax legislation of the Republic of Kazakhstan, clarification how to apply the tax legislation of the Republic of Kazakhstan;
2) to represent his/her/its interests in relations governed by the tax legislation of the Republic of Kazakhstan, either personally or through a legal or authorized representative in accordance with Article 16 of this Code, or involving a tax consultant;
3) to conclude a tax audit contract in accordance with the legislation of the Republic of Kazakhstan;
4) to obtain the results of tax control in the cases specified by this Code;
5) to receive from a tax authority free forms of standard tax applications and (or) software necessary for filing tax returns and applications in electronic form;
6) appeal against the audit findings report, the notice of horizontal monitoring findings, notification of the outcome of review of the complaint of the taxpayer (tax agent) against the audit findings report, as well as actions (inaction) of tax officials and authorities;
7) not to submit information and documents not relating to taxable and/or tax-related items, except for information and documents, which submission is provided for by the tax legislation of the Republic of Kazakhstan, the legislation of the Republic of Kazakhstan on transfer pricing, as well as the legislation of the Republic of Kazakhstan regulating the production and turnover of certain types of excisable goods, aviation fuel, biofuels and fuel oil;
8) receive information about the integrity and due diligence of the counterparty from the information system specified in paragraph 15 of Article 22 of this Code.
2. The taxpayer has the right to submit to the tax authority information about his telephone numbers and e-mail addresses for the purpose of informing about the presence of tax liabilities.
3. A taxpayer is obliged:
1) to timely and fully fulfill tax obligations;
2) to submit, at the request of tax authorities, a tax audit contract and a tax audit report in case of conclusion of such a contract;
3) to submit information and documents provided for by the tax legislation of the Republic of Kazakhstan, the legislation of the Republic of Kazakhstan on transfer pricing, and also the legislation of the Republic of Kazakhstan regulating the production and turnover of certain types of excisable goods, aviation fuel, biofuels and fuel oil;
4) to comply with the requirements for the use of cash registers;
5) for five years from the date of printing or complete filling, to keep shift reports, cash and commodity check books, as well as checks of cancellation, refund and checks of cash registers that were cancelled and refunded.
4. A taxpayer has other rights and performs other duties established by the tax legislation of the Republic of Kazakhstan.
Footnote. Article 13 as amended by the Law of the Republic of Kazakhstan dated December 10, 2020 No. 382-VI (enforcement, Article 2); dated 24.06. 2021 No. 53-VII (shall be enforced from 01.07.2021).
Article 14. The rights and obligations of a tax agent
A tax agent has the same rights and fulfills the same obligations as a taxpayer, except for the cases provided for by this Code.
Article 15. Ensuring and protection of rights of a taxpayer (tax agent)
1. A taxpayer (tax agent) shall be guaranteed the protection of his/her/its rights and legitimate interests.
2. Protection of the rights and legitimate interests of a taxpayer (tax agent) is carried out in accordance with the procedure prescribed by this Code and other laws of the Republic of Kazakhstan.
3. Tax authorities, their officials and employees are prohibited from requiring taxpayers to perform duties not provided for by the tax legislation of the Republic of Kazakhstan.
Article 16. Representation in tax relations regulated by this Code
1. A taxpayer (tax agent) has the right to participate in relations regulated by the tax legislation of the Republic of Kazakhstan via a legal or authorized representative, unless otherwise provided for by this paragraph.
The provision of this paragraph shall not apply in the case of filing:
1) VAT returns by a taxpayer that was VAT deregistered by the decision of a tax authority in accordance with paragraph 4 of Article 85 of this Code;
2) a tax application forVAT registration.
2. A person authorized to represent a taxpayer (tax agent) in accordance with the laws of the Republic of Kazakhstan is recognized as a legal representative of a taxpayer (tax agent).
3. An individual or legal entity authorized by a taxpayer (tax agent) to represent his/her/its interests in relations with tax authorities, other participants of the relations regulated by the tax legislation of the Republic of Kazakhstan is recognized as an authorized representative of a taxpayer (tax agent).
An authorized representative of a taxpayer (tax agent) who is an individual, including an individual entrepreneur, acts on the basis of a notarized power of attorney or that equated to it, issued in accordance with the civil legislation of the Republic of Kazakhstan, which specifies relevant powers of the representative.
An authorized representative of a taxpayer (tax agent) who is a legal entity or its structural unit acts on the basis of constituent documents and (or) a power of attorney issued in accordance with the civil legislation of the Republic of Kazakhstan, which specifies relevant powers of the representative.
4. Personal participation of a taxpayer (tax agent) in relations regulated by the tax legislation of the Republic of Kazakhstan does not deprive him/her/it of the right to have a representative, nor does the participation of a representative deprive the taxpayer (tax agent) of the right to personal participation in the said relations.
5. Actions (inaction) of an authorized representative of a taxpayer (tax agent) committed on behalf of a taxpayer (tax agent) are recognized as actions (inaction) of the taxpayer (tax agent).
6. Actions (inaction) of a legal representative of an individual committed on behalf of that individual are recognized as actions (inaction) of the legal representative of the individual.
Article 17. Participation in tax relations via an operator in conducting subsoil use operations under a production sharing agreement (contract)
1. Subsoil users conducting subsoil use operations within a simple partnership (consortium) under a production sharing agreement (contract) have the right to participate in relations regulated by the tax legislation of the Republic of Kazakhstan via an operator.
2. Powers of an operator in relations regulated by the tax legislation of the Republic of Kazakhstan shall be determined in accordance with a production sharing agreement (contract) to the extent consistent with this Code.
3. Fulfilling tax obligations in accordance with subparagraph 2) of paragraph 3 of Article 722 of this Code, an operator has all the rights and obligations provided for by this Code for taxpayers (tax agents), and the tax administration procedure provided for by this Code for taxpayers (tax agents) is applied to the operator.
4. Actions (inaction) of an operator committed on behalf and (or) instructions of subsoil users, in connection with the participation of these subsoil users in relations regulated by the tax legislation of the Republic of Kazakhstan, are recognized as actions (inaction) of such subsoil users and the operator acting on their behalf and (or) instructions.
Chapter 3.TAX AUTHORITIES. INTERACTION OF TAX AUTHORITIES WITH AUTHORIZED STATE BODIES AND OTHER PERSONS
Article 18. Tax authorities, their tasks and system
1. Tax authorities are national revenue agencies that perform the tasks of:
1) ensuring the compliance with the tax legislation of the Republic of Kazakhstan;
2) ensuring full and timely revenues from taxes and payments to the budget;
3) ensuring full and timely calculation, withholding and transfer of social welfare payments in accordance with the legislation of the Republic of Kazakhstan and this Code;
4) involvement in implementation of the tax policy of the Republic of Kazakhstan;
5) ensuring, within their competence, economic security of the Republic of Kazakhstan;
6) creating, supporting the development of information and communication infrastructure and accessibility of electronic services for taxpayers;
7) performance of other tasks provided for by the legislation of the Republic of Kazakhstan.
2. The system of tax authorities consist of the authorized agency and its territorial subdivisions by regions, cities of republican significance and capital, by districts, cities and districts in cities, as well as inter-district territorial subdivisions. In case of creation of special economic zones, the territorial subdivisions of the authorized agency may be set up in the territories of these zones.
Tax authorities have codes approved by the authorized body.
3. The authorized body is in charge of tax authorities.
4. Tax authorities have a symbol, the description and procedure for the use of which shall be approved by the authorized body.
Footnote. Article 18 as amended by the Law of the Republic of Kazakhstan dated 28.12.2018 No. 210-VI (shall be enforced from 01.01.2019).
Article 19. The rights and obligations of tax authorities
1. Tax authorities are entitled:
1) within their competence, to develop and approve regulatory legal acts provided for by this Code;
2) to carry out international cooperation on taxation issues, including the exchange of information, with authorized bodies of foreign states;
3) in the course of tax control, to require of a taxpayer (tax agent) thegranting rightof access to software data for the automation of book-keeping and tax accounting and (or) an information system containing data on primary accounting documents, accounting registers, information on taxable and (or) tax-related items, where a taxpayer (tax agent) uses such software and (or) information system, except for the access to software data and (or) information system of second-tier banks and organizations carrying out certain types of banking operations, which contain information constituting a bank secret in accordance with the Laws of the Republic of Kazakhstan.
The exception set forth in part one of this Subparagraph shall not apply to tax authorities’ requirements presented in the course of implementation of horizontal monitoring and a tax audit in respect of income and expenses;
4) to require of a taxpayer (tax agent):
the submission of documents confirming the accuracy of calculation and duly payment (withholding and transfer) of taxes and payments to the budget, complete and timely calculation, withholding and transfer of social welfare payments;
written explanations about tax forms drawn up by a taxpayer (tax agent), as well as financial statements of a taxpayer (tax agent), including consolidated financial statements of a resident taxpayer (tax agent), as well as financial statements of its subsidiaries, located outside the Republic of Kazakhstan, together with an audit report in the event that the laws of the Republic of Kazakhstan prescribe a mandatory audit for such a person;
5) to receive information, the submission of which shall be provided by Subparagraphs 1), 2), 3) and 6) of Article 24 and Article 27 of this Code, from second-tier banks and organizations carrying out certain types of banking operations, custodians, central depository, brokers and (or) dealers entitled to maintain clients’ accounts as nominee holders of securities, investment portfolio managers, as well as insurance organizations;
6) to receive from second-tier banks and organizations carrying out certain types of banking operations information on the existence and numbers of bank accounts, on the balances and movements of money in these accounts, in compliance with the requirements set by the laws of the Republic of Kazakhstan for disclosure of information constituting commercial, banking and other law-protected secrets, with regard to persons specified in subparagraph 13) of Article 24 of this Code;
7) in the course of a tax audit, in accordance with the procedure prescribed by the Code on Administrative Offences of the Republic of Kazakhstan, to seize documents of a taxpayer (tax agent) indicative of administrative offences;
8) in the course of a tax audit of an individual, who, in accordance with this Code, is under the obligation to submit a declaration of assets and liabilities, to verify the accuracy of information about the property reflected in the said declaration, subject to state or other registration, as well as property, on which rights and (or) transactions are subject to state or other registration;
9) to involve specialists in tax audits;
10) to bring to court claims for declaring transactions invalid, for liquidation of a legal entity on the grounds set forth in subparagraphs 1), 2), 3) and 4) of paragraph 2 of Article 49 of the Civil Code of the Republic of Kazakhstan, and also other claims within their competence and consistent with the tasks set by the legislation of the Republic of Kazakhstan.
2. Tax authorities shall:
1) observe the rights of a taxpayer (tax agent);
2) protect interests of the state;
3) provide a taxpayer (tax agent) with information on current taxes and payments to the budget, amendments to the tax legislation of the Republic of Kazakhstan, clarify issues concerning the application of the tax legislation of the Republic of Kazakhstan;
4) within their competence, explain and comment on the commencement, fulfillment and termination of a tax obligation.
For taxpayers who are on horizontal monitoring, the explanations and comments provided by part one of this Subparagraph shall be carried out by the authorized agency. At the same time, for such taxpayers, the authorized agency also provides preliminary explanations and comments regarding the planned transactions (operations);
5) ensure, within a limitation period, the safety of the data confirming the payment of taxes and payments to the budget;
6) give access to tax authorities’ information system to the authorized state body that carries out financial monitoring and takes other measures to counteract money laundering in accordance with the legislation of the Republic of Kazakhstan;
7) in accordance with the procedure and in cases specified by this Code, place on the website of the authorized body information on taxpayers (tax agents) who:
have tax debt;
are recognized as inactive in accordance with the tax legislation of the Republic of Kazakhstan;
have registration declared invalid pursuant to a final and binding court judgment;
8) provide a taxpayer (tax agent) with free forms of standard tax applications and (or) software required for filing tax returns and applications in electronic form;
9) consider a complaint of a taxpayer (tax agent) about actions (inaction) of officials of tax authorities;
10) annually, at the request of the National Chamber of Entrepreneurs of the Republic of Kazakhstan, submit information on the names and identification numbers of business entities, which total annual income meets the criteria set by the Law of the Republic of Kazakhstan “On the National Chamber of Entrepreneurs of the Republic of Kazakhstan”;
11) apply methods of ensuring the fulfillment of a tax obligation and forcibly collect tax debt from a taxpayer (tax agent);
12) control the compliance with the procedure for recording, storing, valuing, further use and realization of property transferred into state ownership, for its complete and timely transfer to an appropriate authorized state body in accordance with the legislation of the Republic of Kazakhstan, as well as full and timely receipt of money by the budget in case of its sale;
13) monitor activities of authorized state bodies and local executive bodies in terms of accuracy of calculation, fullness of collection and timely transfer of taxes and payments to the budget;
14) pursuant to a tax application of a taxpayer (tax agent), produce a statement on the amount of income received by a non-resident from sources in the Republic of Kazakhstan and on taxes withheld (paid) in accordance with the procedure and within the time limits established by this Code,
15) post on the authorized body’s website the information on the individual identification number of individuals who have submitted:
assets and liabilities declarations;
income and property declarations;
16) provide access for the national security authorities of the Republic of Kazakhstan to the tax authorities’ information system for the purposes and in the manner prescribed by the Law of the Republic of Kazakhstan "On the National Security Bodies of the Republic of Kazakhstan";
17) in the course of a thematic tax audit on conformity of the name, quantity (volume) of goods with the information indicated in the accompanying invoices for goods when carrying out international road transportation from the territory of one member state of the Eurasian Economic Union to the territory of another member state of the Eurasian Economic Union through the territory of the Republic of Kazakhstan, to withdraw documents, goods and articles that testify to the committed administrative offenses, in the manner prescribed by the Code of the Republic of Kazakhstan on Administrative Infractions.
3. Tax authorities have other rights and perform other duties established by the legislation of the Republic of Kazakhstan.
4. If in the course of a tax audit the facts of tax evasion and payments to the budget, as well as deliberate bankruptcy, indicating signs of a criminal offense, are revealed, the tax authorities shall send the materials related to their jurisdiction to the relevant law enforcement agencies for making a procedural decision in accordance with the laws Republic of Kazakhstan.
Footnote. Article 19 as amended by the Law of the Republic of Kazakhstan dated 02.07.2018 No. 166-VI (shall be enforced from 01.01.2019); No. 290-VІ dated December 27, 2019 (shall be enforced upon expiry of ten calendar days after the day of its first official publication); dated 10.12.2020 No. 382-VI (effective from 01.01.2021).
Article 20. Material support, legal and social protection of tax officials
1. Performing his/her official duties, an official of tax authorities shall be protected by law.
2. Failure to comply with lawful requirements of an official of tax authorities, insult, threat, violence or encroachment on the life, health, property of an official of tax authorities or his/her family members in connection with his/her official activities, other actions that prevent an official of tax authorities from performing official duties, entail responsibility established by the laws of the Republic of Kazakhstan.
3. In case of average-severity damage to health in connection with the performance of official activities, an official of tax authorities is paid one-time subsidy equal to five monthly salaries from the budget.
4. In case of a serious injury to health, in connection with the performance of official duties, disabling a tax official from further performance of professional activities, he/she is paid one-time subsidy equal to five years’ earnings from the budget, as well as the difference between his/her salary and pension (for a lifetime).
5. In the event of the death of an official of tax authorities during the performance of his/her official duties, the family of the deceased or his/her dependants (heirs):
1) are paid one-time subsidy from the budget equal to ten years’ earnings for the position last held by the deceased;
2) are granted a state social allowance due to the loss of a breadwinner, the amount of which and procedure for which are established by the legislation of the Republic of Kazakhstan on state social allowances due to disability, loss of bread-winner and old age in the Republic of Kazakhstan.
6. Damage to the health and property of an official of tax authorities, as well as damage to the health and property of family members and close relatives of an official of tax authorities in connection with the performance of his/her official duties, is subject to compensation in accordance with the legislation of the Republic of Kazakhstan.
Article 21. Powers of local executive bodies
1. Akims of towns of district significance, settlements, villages, rural districts (hereinafter referred to as akims) organize collection of taxes on property, vehicles, land to be paid by a taxpayer that is an individual.
2. The collection of taxes specified in paragraph 1 of this article shall be carried out on the basis of a receipt that is a document of strict reporting. The form of a receipt is approved by the authorized body.
3. Organizing the collection of taxes specified in paragraph 1 of this article, akims shall ensure:
1) delivery of a notice of tax amount to a taxpayer that is an individual within five business days from its receipt from tax authorities;
2) issuance of a payment receipt to a taxpayer that is an individual if the latter paid taxes in cash;
3) transfer of tax amounts to a second-tier bank or an organization carrying out certain types of banking operations, on a daily basis, not later than the next business day after the money was received, for its further transfer to the budget. If daily cash receipts are less than 10 times the monthly calculated index established by the law on the republican budget and effective as of January 1 of a relevant financial year, and if there is no second-tier bank or organization carrying out certain types of banking operations in a populated locality, the money is transferred once in three business days;
4) accurate completion and safety of receipts;
5) submission to a tax authority of reports on the use of receipts and also on the transfer of tax amounts to a second-tier bank or an organization carrying out certain types of banking operations, in accordance with the procedure and within the time limits established by the authorized body.
Article 22. Interaction of tax authorities with authorized state bodies, local executive bodies and other persons
1. Tax authorities interact with authorized state and local executive bodies, develop and adopt joint control measures in accordance with the legislation of the Republic of Kazakhstan, provide mutual exchange of information.
2. Authorized state and local executive bodies are obliged to assist tax authorities in the performance of tasks related to implementation of tax control.
3. The authorized state body in the field of environmental protection and its territorial bodies are required to submit, in accordance with the procedure set forth in paragraph 3 of Article 573 of this Code, information on the results of their checks of compliance with the environmental legislation of the Republic of Kazakhstan (state environmental control).
4. Authorized state bodies are obliged to submit to the authorized body information on individuals included in the list in accordance with the procedure and within the time limits set forth in Article 26 of this Code.
5. Tax authorities and local executive bodies shall interact with each other for implementation of tax collection in accordance with the procedure set forth in Article 21 of this Code.
6. The powers of authorized state and local executive bodies to collect payments to the budget and provide information on them are determined by the Special Part of this Code.
7. Tax authorities have the right to interact with authorized state bodies, local executive bodies and other persons electronically in accordance with the procedure established by this Code.
8. In the course of a tax audit, tax authorities shall interact with the authorized body for regulation, control and supervision of the financial market and financial organizations to obtain an opinion in respect of the audited taxpayer on the compliance of the amount of insurance reserves for unearned premiums, non- incurred losses, declared but unsettled losses that have occurred, but undeclared losses to the requirements established by the legislation of the Republic of Kazakhstan on insurance and insurance activities.
The authorized body for regulation, control and supervision of the financial market and financial organizations, upon the request of the authorized body, shall submit such a conclusion in the manner determined by the authorized body jointly with the authorized body for regulation, control and supervision of financial market and financial organizations.
9. The authorized body, the National Bank of the Republic of Kazakhstan and the authorized body for regulation, control and supervision of the financial market and financial organizations shall develop and take joint control measures, in accordance with the legislation of the Republic of Kazakhstan, ensure the mutual exchange of information.
The authorized agency assists the National Bank of the Republic of Kazakhstan in performing tasks related to currency control.
The authorized body shall have the right to carry out information interaction with the National Bank of the Republic of Kazakhstan and the authorized body for regulation, control and supervision of the financial market and financial organizations electronically. The procedure for interaction of the authorized body with the National Bank of the Republic of Kazakhstan and the authorized body for regulation, control and supervision of the financial market and financial organizations shall be determined by joint acts.
10. The National Bank of the Republic of Kazakhstan provides the authorized agency with information received from authorized banks on payments and (or) money transfers from the Republic of Kazakhstan and to the Republic of Kazakhstan of an individual (to an individual), legal entity (to a legal entity), as well as a structural unit (to a structural unit) of a legal entity in currency transactions in the amount of more than 50 000 US dollars in equivalent, conducted through second-tier banks and organizations carrying out certain types of banks operations on transactions (contracts), including fictitious sale operations.
The information specified in part one of this Paragraph shall be sent in the manner, in the form and within the time limits established by jointly-authored document of the authorized agency and the National Bank of the Republic of Kazakhstan.
11. Quarterly, tax authorities provide the authorized state body in the field of environmental protection with information on manufacturers, indicating their legal addresses, volumes and types of products (goods) manufactured in the territory of the Republic of Kazakhstan which are subject to extended obligations of manufacturers (importers).
12. Authorized state bodies granting subsoil use rights and local executive bodies shall submit to a tax authority copies of subsoil use contracts and (or) non-disclosure agreements concluded with subsoil users and (or) minutes of the State Commission on mineral reserves of the Republic of Kazakhstan ofthe approval of reserves of useful fossils and entry of mineral reserves in the state balance sheet, as well as additions and amendments to them within five business days from their conclusion or introduction of additions and amendments to them, also by way of automated exchange of information.
13. Local executive bodies submit information to local tax authorities on the use of tickets by taxpayers with regard to urban public transportation services in the form approved by the authorized body.
14. Persons who avail of information about violations in the use of a till and cash register equipment (device) intended for accepting payments using payment cards, shall have the right to report to the tax authority about the facts of violations known to them, confirmed by video recording.
A person who has reported the facts of violation in the use of a till and cash register equipment (device) intended for accepting payments using payment cards, if such a fact is proven, shall be rewarded in the manner determined by the Government of the Republic of Kazakhstan.
The provisions of part two of this paragraph shall not apply to persons who knowingly provided false information about the facts of offenses committed. Furthermore, persons who knowingly provided false information shall bear responsibility established by the laws of the Republic of Kazakhstan.
15. The authorized body shall interact with the authorized state bodies and the National Chamber of Entrepreneurs of the Republic of Kazakhstan in order to maintain an information system for independent verification by the taxpayer of counterparties based on indices calculated according to the methodology approved by the authorized body in agreement with the National Chamber of Entrepreneurs of the Republic of Kazakhstan. The interaction procedure is determined by the authorized body.
Footnote. Article 22 as amended by the Law of the Republic of Kazakhstan dated 01.01.2019 No. 215-VI (shall be enforced upon expiry of three months after the day its first official publication); No. 262-VI dated 03.07.2019 (shall be enforced since 01.01.2020); dated 10.12.2020 No. 382-VI (effective from 01.01.2021).
Article 23. Interaction of the authorized body with military administration bodies
1. Local military administration bodies shall submit information to the authorized body on individuals called up for obligated military service and discharged from compulsory military service within the following terms:
1) no later than July 31 of the year in which in April – June the individuals were:
called up for compulsory military service;
discharged from compulsory military service;
2) no later than January 31 of the year following the year in which in October – December the individuals were:
called up for compulsory military service;
discharged from compulsory service.
2. The Ministry of Defense of the Republic of Kazakhstan shall submit to the authorized body, in the manner prescribed by the legislation of the Republic of Kazakhstan, the list of local military administration bodies within the following terms:
1) no later than January 1 of the year specified in subparagraph 2) of paragraph 1 of this article;
2) no later than July 1 of the year specified in subparagraph 1) of paragraph 1 of this article.
Article 24. Responsibilities of second-tier banks and organizations carrying out certain types of banking operations
Second-tier banks and organizations carrying out certain types of banking operations are obliged:
1) when opening bank accounts for a taxpayer - a legal entity, including a non-resident, its structural units, an individual registered as an individual entrepreneur or professionals with a private practice, foreigners and stateless persons or when changing a personal identification code of a bank account,in the cases provided by Articles 60-1, 61-2, 61-11, 61-12 of the Law of the Republic of Kazakhstan "On Banks and Banking Activity in the Republic of Kazakhstan", to notify the authorized agencyof opening or change of these accounts via telecommunications networks ensuring guaranteed message delivery, within one working day following the day of their opening or change, indicating the identification number.
Notification shall not be required on bank accounts intended for holding pension assets of the unified accumulative pension fund and voluntary accumulative pension funds, assets of the social health insurance fund, assets of the State Social Insurance Fund, assets that are collateral for the issue of bonds of a special financial company, and assets of an investment fund, savings accounts of non-resident legal entities, foreign nationals and stateless persons, correspondent accounts of foreign correspondent banks, bank accounts intended for receiving benefits and social payments paid from the state budget and (or) the State Social Insurance Fund, current accounts intended for crediting money on the terms of a notary’s deposit, a current account of a private bailiff intended to store the collected amounts in favor of collectors, escrow accounts, bank accounts under an educational savings deposit concluded in accordance with the Law of the Republic of Kazakhstan "On the State Educational Savings System".
Information on taxpayers, including individuals registered as individual entrepreneurs or private practice owners, is provided to second-tier banks and organizations carrying out certain types of banking operations to enable them to fulfill their obligations under this subparagraph and subparagraphs 4), 6), 8), 11), 13) and 15) of this article, in accordance with the procedure established by the authorized body in coordination with the National Bank of the Republic of Kazakhstan.
If it is impossible to notify of the opening or change of these accounts via a telecommunications network due to technical problems, the notice shall be sent to the tax authority at the taxpayer’s location (place of residence) in hard copy within three business days;
2) in accordance with the international treaty of the Republic of Kazakhstan on the exchange of information, to provide information on the existence of bank accounts and their numbers, on the balance of money in these accounts, as well as information on the existence, type and value of other assets, including those placed on metal accounts or managed by non-resident individuals, non-resident legal entities, as well as legal entities, whose beneficial owners are non-residents, in accordance with the procedure and within the time limits established by the authorized body in coordination with the National Bank of the Republic of Kazakhstan;
3) provide information at the authorized body’s request on the availability of bank accounts and their numbers, on the balances and cash flow on these accounts, other information related to the agreement concluded between an individual or legal entity and a second-tier bank, an organization carrying out certain types of banking operations, an agreement providing for the provision of banking services, as well as information on the availability, type and cost of other property, including those placed on metals accounts or managed by individuals and legal entities specified in the request of a foreign state’s authorized body sent in accordance with an international treaty of the Republic of Kazakhstan;
4) when accepting payment documents for the payment of taxes and payments to the budget, social welfare payments, to verify the identification number in accordance with the rules for identification number creation.
If an identification number indicated in a payment document differs from the data of the authorized state body in charge of creation of identification numbers and maintenance of national registers of identification numbers or does not exist, second-tier banks or organizations carrying out certain types of banking operations shall refuse to execute such a payment document.
The provisions of parts one and two of this subparagraph shall not apply to making payments to the budget, provided for by subparagraph 2) of paragraph 1 of Article 189 of this Code, by a foreigner and stateless person;
5) to refuse to execute a payment document for tax on vehicles of individuals in case of discrepancy of the identification number of cars and trucks, buses indicated in the payment document with the data submitted by the authorized body for road safety.
If there is no vehicle identification number in the data submitted by the authorized body for road safety, second-tier banks or organizations carrying out certain types of banking operations may not refuse to execute a payment document for tax on vehicles of individuals;
6) upon closing bank accounts of a taxpayer specified in subparagraph 1) of this article, to notify the authorized body of their closure via telecommunications network ensuring guaranteed message delivery, within one business day following the closing day, indicating the identification number.
If it is impossible to notify of the closure of these accounts via telecommunications network due to technical problems, the notice shall be sent to the tax authority at the location (place of residence) of the taxpayer in hard copy within three business days;
7) upon termination of recognition of income in the form of remuneration for a granted credit (loan) by suspending the payment of such remuneration to an individual registered as an individual entrepreneur or to a legal entity, to notify the authorized body thereof on or before March 31 of a year following the tax accounting period determined in accordance with Article 314 of this Code, in which such recognition was terminated, in the form established by the authorized body;
8) if there is enough money in bank accounts of a client to satisfy all demands made on him/her/it, to execute the taxpayer’s payment orders for taxes and payments to the budget from his/her/its bank account as a matter of priority. Likewise, to execute collection orders of tax authorities on the recovery of tax debt within one business day following the receipt of tax authorities’ instructions.
If money in bank accounts is insufficient to satisfy all demands made on a client, a second-tier bank withdraws money to pay off tax debt in the order of priority set by the Civil Code of the Republic of Kazakhstan;
9) to transfer the amounts of taxes, payments to the budget and social welfare payments:
on the day of their initiation by a taxpayer, except for cases where payment is made using a payment card;
not later than one business day from writing off money from a taxpayer’s bank account in cases where payment is made using a payment card;
during a business day, but not later than the next business day of the payment at cash departments of second-tier banks or organizations carrying out certain types of banking operations, or payment in cash through point-of-sale terminals of second-tier banks or organizations carrying out certain types of banking operations;
10) ensure access of an official of tax authorities to checks of the availability of money and transactions in bank accounts of an audited individual registered as an individual entrepreneur or a private practice owner or a legal person, given a relevant order;
11) upon the decision of a tax authority, in cases provided for by this Code, to suspend all debit transactions in bank accounts, except for correspondent ones, of an individual registered as an individual entrepreneur or a private practice owner, a legal entity, a structural unit of a legal entity or structural unit of a non-resident legal entity operating in the Republic of Kazakhstan through a permanent establishment, in accordance with the procedure established by
the laws of the Republic of Kazakhstan, with due regard to paragraph 2 of Article 118 of this Code;
12) in accordance with the civil legislation of the Republic of Kazakhstan, upon termination of obligations for credits (loans) granted to a borrower, who is an individual registered as an individual entrepreneur or a legal entity as of the date of termination of an obligation, within thirty calendar days, to notify the tax authority at the location (place of residence) of the borrower of the amount of the terminated obligation.
The provisions of part one of this subparagraph shall not apply if an obligation is terminated due to its execution;
13) within ten business days from the receipt of a tax authority’s request, to submit information on the existence of bank accounts and their numbers, on the balances and movements of money in these accounts:
of a legal entity and (or) its structural unit audited for tax-related issues;
an individual whose obligation to submit a declaration of assets and liabilities arouse;
of an individual registered as an individual entrepreneur or a private practice owner audited for tax-related issues;
of an individual entrepreneur, a private practice owner, a legal entity subject to special considerations in the performance of a tax obligation when the activity is terminated in accordance with Articles 59 and 66 of this Code;
of an individual registered as an individual entrepreneur or a private practice owner, a legal entity and (or) its structural unit, whose actual absence from the place of location is confirmed by the procedure set forth in Article 70 of this Code, and who failed to submit tax returns within six months after the deadline for their filing set by this Code, except for its extension in cases provided for by this Code;
of an individual deregistered as an individual entrepreneur in accordance with Article 67 of this Code for a time period not exceeding the limitation period set in paragraph 2 of Article 48 of this Code;
of a legal entity, a structural unit of a legal entity, an individual registered as an individual entrepreneur having unpaid tax debt within four months from the date of its emergence, which exceeds 10000 times the monthly calculated index established by the law on the republican budget and effective as of January 1 of a relevant financial year;
of an inactive individual registered as an individual entrepreneur, a legal entity in accordance with the procedure prescribed by the authorized body in coordination with the National Bank of the Republic of Kazakhstan;
of a person registered in accordance with the procedure established by the law of the Republic of Kazakhstan as a candidate for President of the Republic of Kazakhstan, as a deputy of the Parliament of the Republic of Kazakhstan and maslikhat, as well as a member of local self-government bodies and his/her spouse;
of a person who is a candidate for public office or for a position related to the performance of state functions or those equated to them, and his/her spouse;
of a person holding a public office, during the period of his/her being in office, and his/her spouse during the same period;
of a person released on parole from serving a sentence.
14) submit, within ten working days from the date of receiving the tax authority's request, information on granted loans to an individual who is under obligation to submit a declaration of assets and liabilities, indicating the repayment amounts, including remuneration.
The information provided for in subparagraph 13) of part one of this article, with the exception of paragraph eight, shall be submitted in the form established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan. The information provided for by part one of this subparagraph shall be submitted in the form established by the authorized body in agreement with the authorized body for regulation, control and supervision of the financial market and financial organizations;
15) to refuse to open bank accounts, except for correspondent accounts, as well as bank accounts intended for receiving allowances and social payments from the state budget and the State Social Insurance Fund, pensions from the state budget and (or) the unified accumulative pension fund, and (or) the voluntary accumulative pension fund, alimony (money intended for maintenance of minors and disabled adult children), as well as bank accounts under an educational accumulation deposit agreement concluded in accordance with the Law Republic of Kazakhstan “On State Educational Accumulation System”, to:
a taxpayer recognized inactive in accordance with the procedure set forth in Article 91 of this Code;
a taxpayer who has an open bank account with this second-tier bank, which is subject to collection orders or orders to suspend debit operations in the taxpayer’s bank accounts issued by tax authorities;
a taxpayer who has tax debt, debts on social payments.
The provisions of part one of this Subparagraph shall not apply:
in case of opening bank accounts by a parent bank in lieu of bank accounts transferred by a second-tier bank within operations for simultaneous transfer of assets and liabilities of second-tier banks in accordance with the legislation of the Republic of Kazakhstan on banks and banking activity and bank accounts opened by a successor bank in lieu of those transferred by a second-tier bank in case of its incorporation within their reorganization;
upon opening bank accounts by a taxpayer, in respect of whom a court decision has entered into force on declaring it bankrupt and liquidating with the initiation of bankruptcy proceedings;
in case of paying the amount of debt by a taxpayer provided by Sub-paragraph four of part one of this Subparagraph on the day of contacting a second-tier bank or organization carrying out certain types of banking operations to open a bank account;
16) provide information on taxpayers engaged in collection activities under agreements containing the conditions for the transfer of rights (claims) to the tax authority at the location of the said taxpayers no later than the 25th day of the month following the quarter, in the form established by the authorized body in agreement with the authorized body regulation, control and supervision of the financial market and financial organizations;
17) to submit information on the existence of bank accounts and their numbers, on the balances and movements of money in these accounts of taxpayers registered for the activity provided for by subparagraph 10) of paragraph 1 of Article 88 of this Code, in accordance with the procedure and within the time limits established by the authorized body in coordination with the National Bank of the Republic of Kazakhstan.;
18) excluded, in accordance with the Law of the Republic of Kazakhstan dated 20.12.2021 No. 85-VII (shall be enforced from 01.01.2022);
19) at the request of the authorized body, provide the taxpayers - individual registered as an individual entrepreneur or a person engaged in private practice, a legal entity with information on the total amounts of payments for the calendar year received on the current account through the use of equipment (device), intended for making payments using payment cards and mobile payments.
The categories of taxpayers, the procedure, form and terms for submitting information are established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan.
20) submit information and (or) documents to the authorized body in accordance with the rules for withdrawing cash from bank accounts by business entities, approved by a joint act of the National Bank of the Republic of Kazakhstan, the authorized body and the authorized body for regulation, control and supervision of the financial market and financial organizations;
21) submit to the authorized body for taxpayers - individuals registered as individual entrepreneurs, applying certain special tax regimes and being users of a special mobile application, information on the total amounts of payments received on the account for entrepreneurial activities for the calendar month, except for the amounts of payments, information on which is received in a special mobile application by checks of such an app in accordance with the provisions of paragraph 4 of Article 686-1 of this Code.
The procedure, form and terms for submitting information are established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan;
22) provide the authorized body with information on the total amounts of payments and transfers for the calendar year made in favor of and in the context of foreign companies specified in paragraphs 1 and 2 of Article 779 of this Code no later than the 15th day of the second month following the reporting year.
In order to obtain information, the authorized body sends to second-tier banks and organizations engaged in certain types of banking operations the information specified in subparagraph 4-1) of paragraph 1 of Article 778 of this Code no later than the 10th day of the month following the reporting year.
The information and data specified in parts one and two of this subparagraph are provided in the manner, in the form and within the time limits established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan;
Subparagraph 23) is suspended from 01.01.2022 to 01.01.2023 by the Law of the Republic of Kazakhstan dated 25.12.2017 No. 121-VI and during the period of suspension this paragraph is valid in the following edition.
23) when identifying transactions that have signs of receiving income from entrepreneurial activities according to certain criteria established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan, provide information on the following individuals:
persons holding a responsible public position and their spouses;
persons authorized to perform state functions and their spouses;
persons equated to persons authorized to perform state functions and their spouses;
persons who are obligated to submit a declaration in accordance with the Constitutional Law of the Republic of Kazakhstan "On Elections in the Republic of Kazakhstan" and the laws of the Republic of Kazakhstan "On Combating Corruption", "On Banks and Banking Activities in the Republic of Kazakhstan", "On Insurance Activities", "On the securities market".
The criteria for classifying transactions carried out on bank accounts of individuals as transactions that have signs of receiving income from entrepreneurial activities, the procedure, form and terms for submitting information are established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan.
For the purposes of this article, accounts of state institutions opened with the central authorized body for budget execution are treated as bank accounts, and the central authorized body for budget execution is treated as an organization carrying out certain types of banking operations.
Reports and information provided for in subparagraphs 7), 12), 13) and 16) of part one of this article shall be submitted via a telecommunications network. In case of impossibility of their submission via a telecommunications network due to technical problems, these reports and information shall be sent in hard copy.
Information provided by second-tier banks and organizations carrying out certain types of banking operations in accordance with this Code is used by tax authorities in accordance with the procedure established by the authorized body.
Footnote. Article 24 as amended by the Law of the Republic of Kazakhstan dated 02.07.2018 No. 168-VІ (shall be enforced from 01.01.2019); dated 21.01.2019 No. 217-VI (shall be enforced upon expiry of ten calendar days after its first official publication);dated 02.04.2019 No. 241-VI (enforcement see Article 2); No. 262-VI dated 03.07.2019 (shall be enforced since 01.01.2020); No. 290-VІ dated December 27, 2019 (shall be enforced upon expiry of ten calendar days after the day of its first official publication); dated 02.07.2020 No. 354-VI (effective from 01.01.2021); dated 10.12.2020 No. 382-VI (effective from 01.01.2021); dated 20.12.2021 No. 85-VII (see Article 2 for the procedure for enactment).
Article 24-1. Obligation of payment organizations to provide information to the authorized body
Payment organizations are obliged to provide the authorized body with information on the total amounts of payments and transfers for the calendar year made in favor of and in the context of foreign companies specified in paragraphs 1 and 2 of Article 779 of this Code no later than the 15th day of the second month following the reporting year.
In order to obtain information, the authorized body sends to payment organizations the information specified in subparagraph 4-1) of paragraph 1 of Article 778 of this Code no later than the 10th day of the month following the reporting year.
The information and data specified in parts one and two of this article are provided in the manner, in the form and within the time limits established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan.
Footnote. The law is supplemented by Article 24-1, in accordance with the Law of the Republic of Kazakhstan dated 20.12.2021 No. 85-VII (shall be enforced from 01.01.2022).
Article 25. Cooperation of authorized state agencies and the State Corporation "Government for Citizens" for implementation of tax administration
Footnote. Heading of Article 25 as amended by the Law of the Republic of Kazakhstan dated 24.05.2018 No. 156-VI (shall be enforced upon expiry of ten calendar days after its first official publication).
For implementation of tax administration, tax authorities interact with the following authorized state agencies and the State Corporation “Government for Citizens”:
1) performing state registration, reregistration of legal entities, state registration of termination of the activity of legal entities, registration, reregistration, deregistration of structural units;
2) in the field of state statistics;
3) performing accounting and (or) registration of taxable and tax-related items, including:
state registration of rights to real estate;
state registration of pledge of movables and ship mortgage, as well as state registration of irrevocable authority for deregistration and exportation of an aircraft;
state registration of radio electronic means and high-frequency devices;
state registration of space objects and rights to them;
state registration of vehicles;
state registration of medicinal products and medical devices;
state registration of rights to works and objects of related rights, license agreements on the use of works and objects of related rights;
registration of mass media;
4) issuing licenses, certificates or other licensing and registration documents;
5) registering individuals at their place of residence in the Republic of Kazakhstan;
6) registering vital statistics acts;
7) performing notarial acts;
8) forguardianship and trusteeship;
9) fortransport and communications;
10) carrying out state regulation in the field of subsoil use in accordance with the legislation of the Republic of Kazakhstan on subsoil and subsoil use;
11) carrying out foreign policy activity;
12) other authorized state bodies determined by the Government of the Republic of Kazakhstan.
Footnote. Article 25 as amended by the Law of the Republic of Kazakhstan dated 24.05.2018 No. 156-VI (shall be enforced upon expiry of ten calendar days after its first official publication); dated 28.12.2018 No. 211-VI (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 26. Duties of authorized state bodies, the National Bank of the Republic of Kazakhstan, an authorized body for regulation, control and supervision of the financial market and financial organizations, local executive bodies, organizations and authorized persons in interaction with tax authorities
Footnote. The title of Article 26 as amended by laws of the Republic of Kazakhstan No. 241-VI dated 02.04.2019 (shall be enforced since 01.01.2019); No. 262-VI dated 03.07.2019 (shall be enforced since 01.01.2020).
1. Authorized state bodies performing state registration, reregistration of legal entities, state registration of termination of the activity of legal entities, registration, reregistration, deregistration of structural units are required, within three business days from the day of state registration, reregistration of a legal entity, state registration of termination of the activity of legal entities, registration, reregistration, deregistration of a structural unit, to submit information in electronic form on state registration, reregistration of a legal entity, state registration of termination of the activity of legal entities, registration, reregistration, deregistration of a structural unit to a tax authority, second-tier banks or organizations carrying out certain types of banking operations.
2. Unless otherwise provided for by this article, authorized state bodies issuing licenses, certificates or other licensing and registration documents are required to submit to tax authorities at their location information on taxpayers to whom licenses and annex (annexes) thereto were issued (terminated), as well as certificates or other licensing and registration documents, and also on items taxed with payments to the budget in accordance with the procedure and within the time limits established by Section 18 of this Code, and in the forms established by the authorized body.
Internal affairs bodies issuing permits to a labor immigrant are required to submit to tax authorities at their location information on taxpayers who received labor immigrant permits in accordance with the procedure, within the time limits and in the form established by the authorized body.
3. Authorized state agenciesand the State Corporation “Government for Citizens” responsible for the record and (or) registration of taxable and (or) tax-related items shall be required to provide information on taxpayers owning taxable and (or) tax-related items, as well as on taxable and (or) tax-related items to tax authorities in accordance with the procedure, within the time limits and in the form established by the authorized agency.
4. Authorized state agenciesand the State Corporation “Government for Citizens” collecting payments to the budget, recording and (or) registering taxable and (or) tax-related items shall be required to indicate a taxpayer identification number in submitted information, except for individuals using specially protected natural areas for scientific, environmental-educational, tourist, recreational and limited economic purposes.
5. The authorized state body responsible for registering the arrival (departure) of foreigners is obliged to submit information on foreign incomers indicating the purpose, place and duration of their stay to a tax authority, within ten business days after the registration of their arrival (departure) in accordance with the procedure established by the authorized body.
6. The authorized body for investments shall be obliged to submit to the authorized body information on investment contracts concluded in accordance with the legislation of the Republic of Kazakhstan in the field of entrepreneurship and providing for the implementation of investment priority projects, as well as information on the termination of these investment contracts and other information in the manner, terms and according to the forms that are established by the authorized body in agreement with the authorized investment body.
6-1. The authorized body in the field of state support for industrial activities shall provide information to the authorized body on legal entities engaged in the collection (procurement), storage, processing and sale of scrap and waste of non-ferrous and ferrous metals, and persons engaged in the sale of such scrap and waste, in the manner, terms and in the form established by the authorized body in the field of state support for industrial activities in coordination with the authorized body.
7. Authorized state and local executive bodies exercising state regulation within their competence in the field of subsoil use in accordance with the legislation of the Republic of Kazakhstan on subsoil and subsoil use are required to submit to a tax authority at their location information on participants and details of a transaction for which tax obligations arise in accordance with Article 650 of this Code, including information on a non-resident who is a tax agent, within ten business days from the date of transactions on purchase and sale of participatory interests in the form established by the authorized body.
8. The Ministry of Foreign Affairs of the Republic of Kazakhstan is required to submit to a tax authority at the location of a diplomatic mission or equivalent representative office of a foreign country accredited in the Republic of Kazakhstan documents confirming the accreditation and location of such a diplomatic mission and equivalent representative office, within ten business days from their accreditation.
9. The authorized body for regulation, control and supervision of the financial market and financial organizations, upon the request of the authorized body during a tax audit in relation to the audited taxpayer, shall submit an opinion on the compliance of the amount of insurance reserves for unearned premiums, non- incurred losses, declared but unsettled losses that have occurred, but undeclared losses to the requirements established by the legislation of the Republic of Kazakhstan on insurance and insurance activities, in the manner determined by the authorized body jointly with the authorized body for regulation, control and supervision of the financial market and financial organizations.
10. The National Bank of the Republic of Kazakhstan shall be obliged, no later than the 25th day of the month following the quarter, to submit to the authorized body information on contracts containing the conditions for the transfer of rights (claims) in respect of a taxpayer carrying out collection activities, in the form established by the authorized body in agreement with the National The Bank of the Republic of Kazakhstan and the authorized body for regulation, control and supervision of the financial market and financial organizations.
11. The territorial subdivisions of the National Bank of the Republic of Kazakhstan shall be obliged, no later than the 25th day of the month following the quarter, to provide the tax authorities with information on exchange offices of legal entities operating exclusively through exchange offices on the basis of a license of the National Bank of the Republic of Kazakhstan for exchange operations with foreign currency in cash, in the form established by the authorized body in agreement with the National Bank of the Republic of Kazakhstan.
12. Valid until 01.01.2021 in accordance with the Law of the Republic of Kazakhstan dated 25.12.2017 No. 121-VI.
13. Notaries shall be obliged to submit to the authorized body the following information on individuals about (on):
1) transactions and agreements on property subject to state or other registration, as well as property on which rights and (or) transactions are subject to state or other registration;
2) issued certificates on inheritance right;
3) other transactions and agreements not specified in this paragraph, if the price stipulated by the transaction (agreement) exceeds 2000 times the monthly calculation index established by the law on the republican budget and effective as of January 1 of the corresponding financial year, with the exception of contracts specified in subparagraphs 4) and 5) of this paragraph;
4) loan agreements concluded between individuals;
5) other agreements on the transfer of property not subject to state or other registration.
The form, procedure and terms for submitting the information specified in part one of this paragraph shall be established by the authorized body in agreement with the Ministry of Justice of the Republic of Kazakhstan.
14. An organization that maintains a system of registers of securities holders shall submit, within thirty working days from the date of receipt of a request from a tax authority, the available information on individuals holding securities, as well as on transactions of individuals with securities in the manner and according to form, established by the authorized body in agreement with the authorized body for regulation, control and supervision of the financial market and financial organizations.
15. Brokers shall submit information, within thirty working days from the date of receipt of a request from the tax authority, on transactions of individuals with securities, while commodity exchanges shall submit information on transactions of individuals with exchange commodities sold on a commodity exchange, in the manner and in the form established by the authorized body in agreement with the authorized body for the regulation, control and supervision of the financial market and financial organizations and the authorized body in the trading activities regulation.
15-1. The authorized trading activity regulation body shall provide information on transactions of individuals with exchange commodities in the manner, terms and in the form established by the authorized body.
16. A legal entity established by the resolution of the Government of the Republic of Kazakhstan, which ensures, in accordance with the legislation of the Republic of Kazakhstan, the accounting for pension contributions, social contributions and social payments, contributions and deductions for compulsory social health insurance, shall submit to the authorized body the available information about individuals in the manner , terms and in the form established by the authorized body in agreement with the authorized body in public services rendering.
17. Within thirty working days from the date of receiving the tax authority’s request, the insurance (reinsurance) companies, insurance brokers shall submit information on insurance contracts concluded by individuals in the form and in the manner determined by the authorized body in agreement with the authorized body for regulation, control and supervision of the financial market and financial organizations.
18. Educational organizations shall, within thirty working days from the date of receiving the tax authority's request to confirm education expenses incurred by individuals in the territory of the Republic of Kazakhstan, submit information in the manner prescribed by Article 112 of this Code.
19. Healthcare subjects shall, within thirty working days from the date of receiving the tax authority's request to confirm the medical expenses incurred by individuals in the territory of the Republic of Kazakhstan, submit information in the manner prescribed by Article 112 of this Code.
19-1. The authorized body in the field of equity participation in housing construction shall, in the manner, terms and in the form established by the authorized body, submit information to the tax authorities on individuals who have entered into an agreement on equity participation in housing construction, as well as on individuals who have concluded a claim assignment agreement on them.
19-2. The authorized state body for labor shall provide information on individuals who are unemployed, on issued permits to attract foreign labor to carry out labor activities in the manner, terms and in the form established by the authorized body
19-3. The authorized civil service affairs body shall provide information on political and administrative civil servants from a single automated database (information system) on civil service personnel in the manner, terms and in the form established by the authorized body in agreement with the authorized civil service affairs body.
19-4. The authorized body in the field of culture shall provide information on individuals who own material cultural values that are of particular importance for the history and culture of the country and are included in the State Register of national cultural heritage objects, in the manner determined by the authorized body.
19-5. The authorized state statistics body shall submit administrative data recorded in the household accounting register in the manner, terms and in the form established by the authorized body.
19-6. The central executive body that exercises management, and also, within the limits provided for by the legislation of the Republic of Kazakhstan, cross-sectoral coordination in the social protection of the population, shall provide information on persons receiving social benefits and on the amount of benefits paid to them, on persons receiving pension payments, and their amounts, with the exception of pension payments from insurance organizations, in the manner, terms and in the form established by the authorized body.
20. Submission of information on taxpayers, taxable items (items subject to taxation (collection of) with payments to the budget) and (or) tax-related items in electronic form using appropriate software intended for automated interaction of tax authorities and authorized state agenciesand the State Corporation “Government for Citizens” shall be performed within ten working days in accordance with the procedure and in the forms established by the authorized agency.
In case of submission of information by the authorized state agenciesand the State Corporation “Government for Citizens” on taxpayers, taxable items (items subject to taxation (collection of) with payments to the budget) and (or) tax-related items shall be submitted in electronic form, authorized state agenciesand the State Corporation “Government for Citizens” shall not be required to submitthis information in hard copy.
21. The authorized body for road traffic safety, when submitting information on the state registration of vehicles, ensures the submission of information on the day of primary importation into the territory of the Republic of Kazakhstan, as well as on the country of origin of such a vehicle.
22. Local executive bodies shall, on or before the 20th day of a month following a reporting quarter, submit to tax authorities at their location a report on the use of tickets by taxpayers with regard to urban public transportation services in the form approved by the authorized body.
Paragraph 23 shall remain in force 01.01.2029 in accordance with the Law of the Republic of Kazakhstan dated 26.12.2018 No. 203-VI.
23. The authorized agency in the field of informatization shall be obliged to submit information about the participants of the Astana Hub international technology park to the tax authorities in the manner, terms, and in the form established by the authorized agency in agreement with the authorized agency in the field of informatization.
24. Organizations providing water supply, wastewater, sewage, gas, electricity, heat, waste collection (waste disposal) services, elevator services and (or) transportation services shall submit information to the tax authorities on the services provided to third parties.
This information shall be used by the tax authorities to carry out tax administration in cases provided by this Code.
The procedure for submission of information shall be determined by the authorized agency.
25. The authorized state body authorized by the Government of the Republic of Kazakhstan to conclude an investment agreement shall submit information to the authorized body on concluded investment agreements and termination of such agreements, as well as other information in the manner, terms and in the forms established by the authorized body upon agreement with the authorized investment body.
Footnote. Article 26 as amended by the Law of the Republic of Kazakhstan dated 24.05.2018 No. 156-VI (shall be enforced upon expiry of ten calendar days after its first official publication); dated 26.12.2018 No. 203-VI (shall be enforced from 01.01.2019); dated 02.04.2019 No. 241-VI (enforcement see Article 2); dated 03.07.2019 No. 262-VI (effective from 01.01.2020); dated 26.12, 2019 No. 284-VІ (effective upon expiry of ten calendar days after the date of its first official publication); dated 10.12.2020 No. 382-VI (effective from 01.01.2021).
Article 27. Obligations of custodians, a single registrar, brokers and (or) dealers entitled to maintain clients’ accounts as nominal holders of securities, investment portfolio managers, as well as insurance organizations in their interaction with tax authorities
Footnote. Heading is in the wording of the Law of the Republic of Kazakhstan dated 02.07.2018 No. 166-VI (shall be enforced from 01.01.2019).
1. Custodians, a single registrar, brokers and (or) dealers entitled to maintain clients’ accounts as nominal holders of securities shall be obliged to:
1) submit information on the existence of securities accounts opened for non-resident individuals, non-resident legal entities, legal entities whose beneficial owners are non-residents, as well as on the balances and movements of securities in these accounts;
2) provide information at the authorized body’s request on the availability of personal accounts for accounting for securities opened by individuals and legal entities indicated in the request of a foreign state’s authorized body, sent in accordance with an international treaty of the Republic of Kazakhstan, and also on the balances and movement of securities on these accounts and other information related to the concluded agreement between an individual or legal entity and custodians, central depository, brokers and (or) dealers entitled to maintain customer accounts as nominee holders of securities.
2. Custodians managing an investment portfolio are required to:
1) submit information on the existence of other assets, except for securities owned by non-resident individuals, non-resident legal entities, as well as legal entities whose beneficial owners are non-residents, to the authorized body via a telecommunications network;
2) provide information at the authorized body’s request on the presence of other assets, with the exception of those specified in paragraph 1 of this article, held by individuals and legal entities specified in the request of a foreign state’s authorized body, sent in accordance with an international treaty of the Republic of Kazakhstan, and also other information, relating to an agreement between an individual or legal entity and custodians managing an investment portfolio.
3. Insurance organizations carrying out the activity in the field of “life insurance” are obliged to:
1) submit information on concluded accumulative insurance agreements, beneficiaries of which are non-resident individuals, to the authorized body via a telecommunications network;
2) provide information at the authorized body’s request on concluded accumulative insurance contracts, whose beneficiaries are individuals specified in the request of a foreign state’s authorized body, sent in accordance with an international treaty of the Republic of Kazakhstan, and also other information related to these concluded insurance contracts.
4. The information provided for in paragraphs 1, 2 and 3 of this article shall be submitted in accordance with the international treaty of the Republic of Kazakhstan on the exchange of information in the manner and terms established by the authorized body in agreement with the authorized body for regulation, control and supervision of the financial market and financial organizations.
Footnote. Article 27 as amended by the Law of the Republic of Kazakhstan dated 02.07.2018 No. 166-VI (shall be enforced from 01.01.2019); No. 262-VI dated 03.07.2019 (shall be enforced since 01.01.2020); dated 10.12.2020 No. 382-VI (effective from 01.01.2021).
Article 28. Obligations of collection agencies and taxpayers engaged in e-commerce related activity
1. Collection agencies shall be obliged to submit information on contracts containing the conditions for the transfer of rights (requirements) to a collection agency to the tax authority at their location no later than the 25th day of the month following the quarter, in the form established by the authorized body in agreement with the authorized regulatory body, control and supervision of the financial market and financial organizations.
2. Persons engaged in e-commerce and applying rules of the tax legislation of the Republic of Kazakhstan in terms of reducing the calculated amount of corporate income tax, reducing the taxable income of an individual entrepreneur by the taxable income of an individual entrepreneur, reducing the taxable income of an individual by the taxable income of an individual entrepreneur, are obliged to submit information on such an activity to a tax authority at their location in accordance with the procedure, within the time limits and in the form approved by the authorized body.
3. Persons engaged in the dispatch, transportation, delivery of goods related to e-commerce shall submit information upon the request of a tax authority in accordance with the procedure, within the time limits and in the form approved by the authorized body.
Footnote. Article 28 as amended by Law of the Republic of Kazakhstan No. 262-VI dated 03.07.2019 (shall be enforced since 01.01.2020).
Article 29. Obligations of a person and (or) structural units of a legal entity when receiving, spending money and (or) other assets from foreign states, international and foreign organizations, foreigners, stateless persons in certain cases
1. Persons and (or) structural units of a legal entity are obliged:
1) in accordance with the procedure, in the form and within the time limits established by the authorized body, notify tax authorities of the receipt of money and (or) other assets from foreign states, international and foreign organizations, foreigners, stateless persons, the amount of which exceeds that set by the authorized body, in the case when the activity of a recipient of money and (or) other assets is aimed at:
the provision of legal assistance, including legal awareness raising, protection and representation of interests of citizens and organizations, as well as their consulting;
the study and conduct of public opinion polls, sociological surveys, except for public opinion polls and sociological surveys conducted for commercial purposes, as well as dissemination and placement of their results;
collection, analysis and dissemination of information, except for cases when the specified activity is carried out for commercial purposes;
2) in the case provided for by subparagraph 1) of part one of this paragraph, to submit to tax authorities information on the receipt and spending of money and (or) other assets received from foreign states, international and foreign organizations, foreigners, stateless persons in accordance with the procedure, within the time limits and in the form established by the authorized body.
Requirements provided for by this paragraph do not apply to:
1) state institutions;
2) persons holding top management public positions, persons authorized to perform state functions, deputies of the Parliament of the Republic of Kazakhstan and maslikhats, except for deputies of maslikhats performing their activity on a part-time basis, servicemen, law enforcement and special state employees when they perform official duties;
3) second-tier banks, organizations carrying out certain types of banking operations, insurance organizations;
4) taxpayers subject to tax monitoring;
5) preschool and secondary educationalinstitutions, educational institutionswith technical and professional, post-secondary, higher and postgraduate educational programs, as well as autonomous educational institutions and international schools;
6) money and (or) other assets received in connection with the activity of private practice owners, arbitrators, appraisers, auditors;
7) quasi-public sector entities;
8) diplomatic missions and equivalent representative offices of a foreign state, consular offices of a foreign state accredited in the Republic of Kazakhstan, as well as their employees;
9) money and (or) other assets aimed at the development of national, technical and applied sports, support and promotion of physical education and sport, as well as those intended for conducting sporting events, including international sports competitions, public sporting events;
10) money and (or) other assets received under international treaties of the Republic of Kazakhstan;
11) money and (or) other assets received for the purpose of paying for medical treatment or taking health-improving and preventive care procedures;
12) money and (or) other assets received in the form of revenue under foreign trade contracts;
13) money and (or) other assets received for the organization and conduct of international transportation, the provision of international postal services;
14) money and (or) other assets received under investment contracts concluded in accordance with the legislation of the Republic of Kazakhstan;
15) the amount of dividends, rewards, winnings previously levied with individual income tax at the source of payment, given documents confirming the withholding of such a tax at the source of payment;
16) other cases established by the Government of the Republic of Kazakhstan.
2. Information and materials published, disseminated and (or) placed by the persons, specified in subparagraphs 1) and 2) of part one of paragraph 1 of this article, for the money of foreign states, international and foreign organizations, foreigners and stateless persons must contain information on the persons who made the order, indication that information and materials are produced, distributed and (or) placed at the expense of foreign countries, international and foreign organizations, foreigners and stateless persons.
3. The procedure for tax authorities’ maintaining a database on persons specified in subparagraphs 1) and 2) of part one of paragraph 1 of this article, the specified information and other information subject to placement, as well as the procedure for addition to and removal from the database are determined by the authorized body.
Article 30. Tax secret
1. A tax secret is any information received by a tax authority on a taxpayer (tax agent), except for that:
1) on the amount of taxes and payments to the budget paid (transferred) by the taxpayer (tax agent), except for individuals;
2) on the amount of refund to a taxpayer from the budget that is a difference between the excess ofVAT to be offset and the amount of the assessed tax;
3) on the amount of tax debt of a taxpayer (tax agent);
4) on inactive taxpayers;
5) subject to placement in the database on the website of the authorized body in the case provided for byArticle 19 of this Code;
6) on submission by a taxpayer of a tax application for a tax audit in connection with liquidation (termination of activity);
7) on the assessed amount of taxes and payments to the budget fora taxpayer (tax agent), except for individuals;
8) on the assessed amount of property tax, land tax, vehicle tax for individuals;
9) on sanctions applied to a taxpayer (tax agent) who violated the tax legislation of the Republic of Kazakhstan;
10) on the existence (absence) of taxpayer registration of a non-resident operating through a permanent establishment, a structural unit or without the formation of a permanent establishment in accordance with Article 650 of this Code;
11) on the following registration data of a taxpayer (tax agent):
identification number;
last name, first name, patronymic (if it is indicated in an identity document) of an individual, head of a legal entity;
the name of an individual entrepreneur, legal entity;
the date of registration, the date of deregistration, a reason for deregistration of a taxpayer (tax agent);
type of activity;
the date of commencement and termination of suspension of anactivity;
the residence of a taxpayer;
the registration number of a cash register with a tax authority;
the point of use of a cash register;
applicable tax regime;
11-1) on semiannual schedule of tax audits conducted in a special order based on risk assessment;
12) on the failure of a taxpayer (tax agent) to file tax returns;
13) not confidential in accordance with the legislation of the Republic of Kazakhstan on rehabilitation and bankruptcy;
14) on the tax burden ratio of a taxpayer (tax agent), calculated according to the procedure established by the authorized body, except for individuals not registered with tax authorities as individual entrepreneurs and private practice owners;
15) on the individual identification number of the natural person who submitted personal tax statements;
16) on the presence (absence) in the personal tax and property statement of a claim for refund of excess individual income tax paid;
17) subject to publication in accordance with the Law of the Republic of Kazakhstan On Combating Corruption;
18) on the results of risk categorization of taxpayers.
2. Information on a taxpayer (tax agent), which is a tax secret, may not be submitted by tax authorities to another person without written permission of the taxpayer (tax agent), unless otherwise provided for by this article.
3. Tax authorities provide information on a taxpayer (tax agent) constituting a tax secret without obtaining written permission from the taxpayer (tax agent), if it is required by:
1) to law enforcement bodies and the State Security Service of the Republic of Kazakhstan within their competence established by the legislation of the Republic of Kazakhstan, on the basis of a motivated request on paper or in electronic document form sanctioned by the investigating judge, prosecutor. A sanction shall not be required if such information is requested by the investigating judge, prosecutor;
2) to the court and judges on the basis of their application (instruction, demand, requisition, request) sent during the administration of justice if the taxpayer is a party to the case under consideration;
3) a law enforcement officer within his/her competence established by the legislation of the Republic of Kazakhstan, with regard to cases of enforcement proceedings maintained by him/her on the basis of a resolution certified by the stamp of a private law enforcement officer or territorial subdivision;
4) the central state bodies of the Republic of Kazakhstan in the field of state planning, state statistics, regulation of trade activities, foreign trade activities, environmental protection, in the field of social protection of the population, the authorized body for external governmental audit and financial control, the antimonopoly body and the authorized body in the field of interaction with non-governmental organizations in the cases provided for by this Code and (or) the laws of the Republic of Kazakhstan.
The state bodies of the Republic of Kazakhstan, specified in this subparagraph, shall approve the list of officials who have access to information constituting a tax secret.
The procedure and the list of submitted information constituting tax secrets shall be established by joint acts with the authorized body;
5) the central authorized state body for state planning, the authorized state body conducting financial monitoring and taking other measures to counter money laundering and the authorized body for internal state audit in cases provided for by the laws of the Republic of Kazakhstan.
The authorized state bodies specified in this subparagraph shall approve the list of officials having access to information constituting a tax secret;
6) a person involved in conducting a tax audit as a specialist;
7) tax or law enforcement agencies of other states, to international organizations in accordance with international treaties (agreements) on mutual cooperation between tax or law enforcement agencies to which the Republic of Kazakhstan is a party, as well as treaties concluded by the Republic of Kazakhstan with international organizations;
8) state corporation “Government for Citizens” and state bodies with regard to information required for the provision of public services;
9) local executive bodies, local self-government bodies with regard to information on individuals, on property tax, land tax, vehicle tax, as well as on payment for the placement of outdoor (visual) advertising and individual income tax on income subject to self-assessment by an individual.
The bodies specified in this subparagraph shall approve the list of officials having access to information constituting a tax secret;
10) state bodies and (or) persons who, under the laws of the Republic of Kazakhstan, are entitled to obtain information on the absence (existence) of debts, the record of which is maintained by tax authorities;
11) the National Bank of the Republic of Kazakhstan with regard to information necessary to carry out currency control and its transfer to authorized banks that are currency control agents.
The list and procedure for submitting of information constituting a tax secret shall be determined by a joint act of the National Bank of the Republic of Kazakhstan and the authorized agency;
11-1) second-tier banks, organizations carrying out certain types of banking operations, payment organizations in terms of the information specified in Article 778 of this Code, in order to obtain information by the authorized body regarding the amounts of payments and transfers made by individuals in favor of foreign companies, specified in paragraphs 1 and 2 of Article 779 of this Code;
12) members of an appeal commission considering a complaint of a taxpayer (tax agent) about an audit findings report;
13) a structural unit of the authorized body that considers complaints about an audit findings report and (or) notice of the elimination of violations, with regard to information required for the consideration of complaints of taxpayers (tax agents) about an audit findings report;
14) authorized state bodies with regard to information on submitted assets and income declarations, indicating the date of submission and the code of a tax authority, by persons on whom the Law of the Republic of Kazakhstan “On Combating Corruption” imposes such a duty.
The procedure for submitting the specified information is determined by the authorized body;
15) to the national security bodies of the Republic of Kazakhstan for the purposes and in the manner prescribed by the Law of the Republic of Kazakhstan On the National Security Bodies of the Republic of Kazakhstan.
4. The rules of paragraph 3 of this article do not apply to data and information on a taxpayer received by tax authorities through legalization in accordance with the Law of the Republic of Kazakhstan “On amnesty to citizens of the Republic of Kazakhstan, oralmans and persons having a residence permit of the Republic of Kazakhstan, due to legalization of their property”.
5. A tax secret is not subject to disclosure by persons having access to a tax secret, both during their official period of service and after it.
6. The loss of documents containing information constituting a tax secret or disclosure of such information entails responsibility established by the laws of the Republic of Kazakhstan.
7. It shall not be the disclosure of tax secrets:
1) transfer for storage of the backup copy of an electronic information resource to a single platform for the backup storage of electronic information resources.
In this case, data transferred for storage may only be used by the authorized agency.
The transfer and storage of the backup copy of an electronic information resource shall be carried out in accordance with the procedure and within the time limits set by authorized agencies in the field of information security and national security in coordination with the authorized agency;
2) transfer of information received by the central state authority in the field of environmental protection to monitor the accuracy of calculation, completeness and timeliness of payments by manufacturers (importers) for organizing the collection, transportation, processing, disposal, use and (or) disposal of waste, in the order established by the legislation of the Republic of Kazakhstan;
3) transfer of information received by the authorized foreign trade activity regulation body:
to the competent authority of a third country and (or) a union of third countries when conducting special protective, anti-dumping, compensatory investigations in respect of goods originating from the Republic of Kazakhstan;
to the competent authority of a member state of the Eurasian Economic Union and (or) the Eurasian Economic Commission in the event of a compensatory investigation in respect of goods originating from the Republic of Kazakhstan;
Eurasian Economic Commission for the purposes of investigations in accordance with the legislation of the Republic of Kazakhstan on special protective, anti-dumping and countervailing measures in relation to third countries.
Such information shall be transferred in the manner and on the terms provided for by the legislation of the Republic of Kazakhstan on the regulation of trading activities and special protective, anti-dumping and countervailing measures in relation to third countries.
Footnote. Article 30 as amended by the Law of the Republic of Kazakhstan dated 24.05.2018 No. 156-VI (shall be enforced upon expiry of ten calendar days after its first official publication); dated 05.10.2018 No. 184-VI (shall be enforced upon expiry of ten calendar days after its first official publication); dated 02.04.2019 No. 241-VI (shall come into effect since 01.01.2019); dated 10.12.2020 No. 382-VI (effective from 01.01.2021); dated 20.12.2021 No. 85-VII (shall be enforced from 01.01.2022).
SECTION 2. TAX OBLIGATION
Chapter 4. GENERAL PROVISIONS
Article 31. Tax obligation
1. A tax obligation is a taxpayer’s obligation to the state arising in accordance with the tax legislation of the Republic of Kazakhstan, by virtue of which the taxpayer is obliged to perform the actions specified in paragraph 2 of Article 36 of this Code.
2. The state, represented by a tax authority, has the right to require a taxpayer (tax agent) to perform his/her/its tax obligation in full, and in the event of a failure to perform or improper performance of the tax obligation, to apply measures for its fulfillment and enforcement in accordance with the procedure established by this Code.
Article 32. A taxable and (or) tax-related item
A taxable and (or) tax-related item are assets and actions, owing to the existence and (or) on the basis of which a tax obligation arises for a taxpayer.
Article 33. Tax base
A tax base is a set of value, physical or other properties of a taxable item, on the basis of which amounts of taxes and payments payable to the budget shall be assessed.
Article 34. Tax rate
1. Tax rate is the value of a tax obligation for the calculation of a tax and a payment to the budget per unit of a taxable item or tax base.
2. Tax rate is set in percentage terms or in absolute amount per unit of a taxable item or tax base.
Article 35. Taxable period
A taxable period shall be understood to mean a period of time established for certain types of taxes and payments to the budget, after the end of which a taxable item, a tax base are assessed, amounts of taxes and payments payable to the budget are calculated.
Chapter 5. FULFILLMENT OF A TAX OBLIGATION
Article 36. Fulfillment of a tax obligation
1. A tax obligation is fulfilled by a taxpayer on his/her/its own, unless otherwise provided for by this Code.
2. To fulfill a tax obligation, a taxpayer shall:
1) register with a tax authority;
2) keep record of taxable and (or) tax-related items;
3) based on taxable and (or) tax-related items, the tax base and tax rates, calculate the amounts of taxes and payments payable to the budget, as well as advance and current payments on them, in accordance with the Special Part of this Code;
4) draw up and submit tax forms and other forms established by this Code, except for tax registers, to tax authorities in accordance with the established procedure;
5) pay the calculated and assessed amounts of taxes and payments to the budget, advance and current payments for taxes and payments to the budget in accordance with the Special Part of this Code.
3. A taxpayer must fulfill a tax obligation in accordance with the procedure and within the time limits established by the tax legislation of the Republic of Kazakhstan.
In cases provided for by the Special Part of this Code, a tax obligation may be fulfilled by a taxpayer that is an individual by making several payments during a taxable period, the total amount of which shall not be less than the calculated amount of tax.
4. The tax obligation of a taxpayer to pay taxes and payments to the budget and also the obligation to pay fines and penalties in a non-cash form are considered to be fulfilled from the date of receipt of a payment order for the amount of taxes and payments to the budget, penalties and fines by a second-tier bank or an organization carrying out certain types of banking operations, or from the date of payment through ATMs or point-of-sale terminals, and as to obligations executed in cash - from the date a taxpayer pays these amounts to a second-tier bank or an organization carrying out certain types of banking operations, the authorized state body, a local executive body.
5. When an authorized representative of a taxpayer pays taxes, payments to the budget, transfers social welfare payments, in the cases specified in this Code, the sender of money shall indicate his/herlast name, first name, patronymic (if it is indicated in an identity document) or the name of the taxpayer and its identification number.
6. The tax obligation of a taxpayer to pay tax, which is executed by a tax agent, is considered to be fulfilled on the day of tax withholding.
7. A tax obligation to pay taxes, payments to the budget, as well as an obligation to pay penalties and fines may be fulfilled by offsetting in accordance with the procedure set forth in Article 102 of this Code.
8. A tax obligation to pay taxes, payments to the budget, as well as an obligation to pay penalties and fines shall be executed in the national currency, except for cases provided for by this Code, the Law of the Republic of Kazakhstan “On Joint Stock Companies”, and when the legislation of the Republic of Kazakhstan and production sharing agreements (contracts), a subsoil use contract approved by the President of the Republic of Kazakhstan, specified in Article 722 of this Code, provide for payment in kind or in foreign currency.
Article 37. Features of calculation of taxes and payments to the budget for the fulfillment of a tax obligation
1. The calculation of the amount of taxes withheld at the source of payment shall be made by a tax agent.
2. In cases provided for by the Special Part of this Code, the responsibility for calculating the amount of certain types of taxes and payments to the budget may be assigned to a tax authority and authorized state bodies.
Article 38. Time period for the fulfillment of a tax obligation
1. Time period for the fulfillment of a tax obligation is established by this Code.
2. The running of the time period starts on the day following the occurrence of an actual event or legal action that marks the beginning of the time period for the fulfillment of a tax obligation.
The time period expires at the end of the last day of a taxable period. If the last day of the time period falls on a non-business day, the period shall expire at the end of the next business day.
3. A taxpayer (tax agent) has the right to fulfill a tax obligation ahead of schedule.
Unless otherwise provided for by this Code, the tax obligation to file tax returns is executed by a taxpayer (tax agent) at the end of a taxable period.
Article 39. Order of payment of tax debts
Payment of tax debts shall be made in the following order:
1) the amount of arrears;
2) assessed penalty;
3) the amount of fines.
Article 40. Fulfillment of tax obligations in transfer of assets into trust management
1. For the purposes of this Code, a tax obligation for trust management activity means a tax obligation arising as a result of the establishment of trust management of assets, in the course of its performance and (or) termination.
A tax obligation for corporate and individual income taxes on trust management activity is fulfilled:
1) by the founder of trust management under a trust management agreement, an act on the establishment of trust management of assets or by the beneficiary in other cases of emergence of trust management of assets (hereinafter referred to as the founder of trust management) for:
participatory interest and (or) shares transferred into trust management;
property transferred to the trust management of the National Bank of the Republic of Kazakhstan, except for the assets of the National Fund of the Republic of Kazakhstan;
assets transferred into trust management under an act on the establishment of trust management of assets;
income received by a legal entity, an individual entrepreneur for trust operations from a second-tier bank;
drawing up and submitting a declaration in accordance with the Constitutional Law of the Republic of Kazakhstan “On Elections in the Republic of Kazakhstan”, the Penal Code of the Republic of Kazakhstan and the Law of the Republic of Kazakhstan “On Combating Corruption”, if the founder of trust management is an individual entrusted with this duty.
For the purposes of this Code, an act on the establishment of trust management of assets means a document giving rise to the emergence of trust management of assets, the trust manager of which is a non-resident individual or a non-resident legal entity not operating in the Republic of Kazakhstan;
2) by a trust manager - in other cases. At the same time, a tax obligation for income received by an individual, except for an individual entrepreneur and a non-resident legal entity operating in the Republic of Kazakhstan without establishing a permanent establishment, from trust operations performed by a second-tier bank that is a tax agent, is fulfilled by this second-tier bank by way of performing duties of a tax agent.
A trust manager fulfills tax obligations arising on the date of:
state registration of the right to trust management of assets - in the event that this right is subject to state registration in accordance with the legislation of the Republic of Kazakhstan;
conclusion of a trust management agreement or a document confirming the occurrence of another case of the emergence of trust management of assets - in the event that the right to trust management is not subject to state registration in accordance with the legislation of the Republic of Kazakhstan.
2. Fulfillment of an obligation arising for VAT on trust management activity shall be effected by a trust manager in accordance with the procedure set forth inSection 10 and Articles 82 and 83 of this Code.
3. Fulfillment of an obligation arising for taxes not specified in paragraphs 1 and 2 of this article and payments to the budget shall be effected by a person recognized as a payer of such a tax, a payment to the budget in accordance with this Code, unless otherwise provided for by Article 41 of this Code.
4. A trust manager that is a resident individual must register with a tax authority as an individual entrepreneur in accordance with the procedure set forth in Article 79 of this Code, unless assets received for trust management are participatory interest and shares.
5. The provisions of this Article and Articles 41-45 of this Code shall not apply to tax obligations arising as a result of the establishment, performance and (or) termination of trust management of the assets of an investment fund by a management company in accordance with the legislation of the Republic of Kazakhstan on investment and venture funds.
Footnote. Article 40 as amended by the Law of the Republic of Kazakhstan dated 04.07.2018 No. 174-VІ (shall be enforced upon expiry of ten calendar days after its first official publication); dated 10.12.2020 No. 382-VI (effective from 01.01.2021).
Article 41. Features of fulfillment of tax obligations in transfer of state institutions’ assets into trust management
1. When state institutions transfer property into trust management, tax liabilities on property tax, land tax and vehicle tax shall be executed by the trustee, unless otherwise established by the property trust management agreement or the act on the establishment of property trust management, with the exception of electric power networks that are on the right of economic management or in operational management of state legal entities, transferred into trust management or gratuitous use of energy transmission organizations, to whose electrical networks they are directly connected in accordance with Article 13-1 of the Law of the Republic of Kazakhstan On Electric Power Industry.
2. A trust manager fulfills tax obligations, unless otherwise provided for by a trust management agreement or an act on the establishment of trust management of assets, with regard to the calculation and payment of taxes, drawing up and filing tax returns from the date:
of state registration of the right to trust management - in the event that this right is subject to state registration in accordance with the legislation of the Republic of Kazakhstan,
of conclusion of a trust management agreement or an act on the establishment of trust management of assets - in the event that the right of trust management is not subject to state registration in accordance with the legislation of the Republic of Kazakhstan.
3. A trust manager:
fulfills tax obligations, unless otherwise provided for by a trust management agreement or an act on the establishment of trust management of assets, for the calculation and payment of taxes, drawing up and filing tax returns on his/her/its behalf, at rates and in accordance with the procedure set forth in the Special Part of this Code for persons, including this trust manager;
shall maintain separate accounting in accordance with Article 194 of this Code in order to fulfill a tax obligation in case of transferring assets into trust management.
4. If at the property transfer by state institutions to trust management the property of a state institution is not accounted for by the trustee as part of fixed assets, investments in real estate in accordance with international financial reporting standards and (or) the requirements of the legislation of the Republic of Kazakhstan on accounting and financial reporting , then the deed of acceptance and transfer of such property should reflect the book value of such property as of the date of its compilation.
Footnote. Article 41 as amended by the Law of the Republic of Kazakhstan dated December 10, 2020 No. 382-VI (enforcement, Article 2).
Article 42. General provisions on the accounting of income, expenses and assets arising as a result of trust management of assets for corporate and individual income taxes
1. For the purposes of this Code, income, expenses and assets from trust management of assets shall be understood to mean those arising in the course of performance of duties of trust management of assets by a trust manager in his/her/its own name and in the interests of the founder of trust management, respectively:
income (to be) received;
expenses to be paid (incurred), the compensation of which is provided for by a trust management agreement, an act on the establishment of trust management of assets or in other cases of the emergence of trust management of assets, including remuneration;
assets acquired and (or) received by a trust manager through the performance of duties of trust management of assets in his/her/its own name and in the interests of the founder of trust management.
2. For the purposes of fulfilling a tax obligation for corporate and individual income taxes for activity under a trust management agreement, a trust manager is required to keep separate accounting in accordance with Articles 194 and 195 of this Code.
3. The transfer of assets to a trust manager by the founder of trust management shall not mean the sale of such assets by this founder and is not recognized as the income of the trust manager.
4. The trust manager’s return of assets to the founder of trust management upon termination of a trust management agreement, an act on the establishment of trust management of assets or in other cases of the emergence of trust management of assets is not the sale of this property by a given manager and is not considered to be the income (loss) of the founder of trust management.
5. The positive difference between income and expenses from trust management over a taxable period, which is determined on the basis of the trust manager’s report on his/her/its activity provided for by the civil legislation of the Republic of Kazakhstan, is net income of the founder of trust management from trust management.
6. In cases where, in accordance with paragraph 1 of Article 40 of this Code, the fulfillment of tax obligations for corporate and individual income taxes on trust management activity is performed by a trust manager, the founder of trust management is not entitled to recognize as deduction the amount of remuneration provided for by the trust management agreement or in other cases of the emergence of trust management of assets and paid to the trust manager.
Article 43. Features of tax accounting by a trust manager fulfilling tax obligations for corporate and individual income taxes
1. In the event that a tax obligation for corporate and individual income taxes on trust management activity in accordance with Article 40 of this Code is fulfilled by a trust manager, income, expenses and assets from trust management of assets are income expenses and assets of the trust manager for income tax purposes.
Remuneration provided for by a trust management agreement or in other cases of the emergence of trust management of assets is included in the total annual income of a trust manager that is accounted separately from the proceeds from the trust management of assets.
Identifying a taxable item for trust management activity, a trust manager recognizes as deduction the amount of remuneration included in his/her/its total annual income that is accounted separately from the proceeds from the trust management of assets.
2. A trust manager shall draw up and submit a single corporate income tax declaration for all the activity, including that in the interests of the founder of trust management, and annexes to the declaration for trust management activity separately for each trust management agreement or another case of emergence of trust management of assets and other activities.
3. A trust manager that is a legal entity fulfills obligations for corporate income tax in accordance with the procedure set forth in this Code, with due regard to that:
the rate of corporate income tax on the activity on trust management of assets specified in paragraph 1 of Article 313 of this Code shall be applied;
the provisions of Chapter 29 and Section 21 of this Code for the activity on trust management of assets shall not apply;
special tax regimes for the activity on trust management of assets shall not apply.
4. In cases when the founder of trust management is a legal entity, a trust manager, who is an individual,:
fulfills a tax obligation for calculating individual income tax on the activity on trust management of assets at the rate specified in paragraph 1 of Article 313 of this Code without applying the provisions of Article 341 of this Code;
is not entitled to apply special tax regimes to the activity on trust management of assets;
fulfills other tax obligations for individual income tax in accordance with the procedure set forth in the Special Part of this Code for persons, including a trust manager.
5. In cases when the founder of trust management is a resident individual, a trust manager, who is an individual,:
fulfills a tax obligation for calculating individual income tax on the activity on trust management of assets without applying the provisions of Article 341 of this Code;
shall not be entitled to apply a special tax regime on trust management activity;
fulfills other tax obligations for individual income tax in accordance with the procedure set forth in the Special Part of this Code for persons, including a trust manager.
6. In cases when the founder of trust management is non-resident individual, a trust manager, who is an individual, fulfills tax obligations for individual income tax in accordance with the procedure determined by this Code, with due regard to that:
the rate specified in subparagraph 1) of paragraph 1 of Article 646 of this Code for the activity on trust management of assets shall be applied;
the provisions of Article 341 of this Code shall not apply;
special tax regimes shall not apply.
Footnote. Article 43 as amended by the Law of the Republic of Kazakhstan dated 02.04.2019 No. 241-VI (shall come into effect since 01.01.2018 ).
Article 44. Features of tax accounting for corporate and individual income taxes in case of trust management of assets in the form of participatory interest and shares
1. For the purposes of tax accounting:
income in the form of dividends on participatory interest and shares held in trust management, reduced by the amount of expenses incurred by a trust manager, reimbursed (subject to reimbursement) on the basis of a trust management agreement, an act on the establishment of trust management of assets or other cases of the emergence of trust management of assets and the trust manager’s report on his/her/its activity (hereinafter - trust management dividends) is the income of the founder of the trust manager;
assets from trust management of participatory interests and shares are assets of the founder of trust management.
Remuneration provided for by a trust management agreement, an act on the establishment of trust management of assets or in other cases of the emergence of trust management of assets, subject to payment to a trust manager, is the expense of the founder of trust management.
The income of a trust manager from trust management of participatory interests and shares shall include:
remuneration provided for by the act on the establishment of trust management of assets;
the amount of expenses incurred by a trust manager, the compensation of which is provided for by a trust management agreement, an act on the establishment of trust management of assets or in other cases of the emergence of trust management of assets and the trust manager’s report on his/her/its activity.
Expenses related to trust management of participatory interests and shares incurred by a trust manager, the compensation of which is provided for by a trust management agreement, an act on the establishment of trust management of assets or in other cases of the emergence of trust management of assets and the trust manager’s report on his/her/its activity are those of such trust managers, for the purposes of tax accounting.
Such expenses reduce the income of the founder of trust management in the form of dividends on participatory interests and shares that are in trust management and not accounted as costs and expenses of the founder of trust management.
2. The founder of trust management fulfills a tax obligation for corporate and individual income taxes in accordance with the procedure set forth in this Code.
3. A trust manager fulfills a tax obligation for corporate and individual income taxes on income, expenses and assets from trust management of participatory interests and shares in accordance with the procedure set forth in the Special Part of this Code for persons, including such a trust manager.
Article 45. Features of tax accounting for corporate and individual income taxes on acts on the establishment of trust management of assets, except for participatory interest and shares
1. For the purposes of tax accounting:
income on property in trust management, except for participatory interest and shares, reduced by the amount of expenses incurred by a non-resident trust manager, reimbursed (subject to reimbursement) on the basis of an act on the establishment of trust management of assets and the trust manager’s report on his/her/its activity, is the income of the founder of trust management;
assets from trust management of such assets belong to the founder of trust management;
remuneration provided for by an act on the establishment of trust management of assets, subject to payment to a trust manager, is the expense of the founder of trust management.
The income of a trust manager from trust management of assets, except for participatory interest and shares, shall include:
remuneration provided for by the act on the establishment of trust management of assets;
the amount of costs incurred by the trust manager, the compensation of which is provided for by the act on the establishment of trust management of assets and the trust manager’s report on his/her/its activity.
Expenses related to trust management of assets, except for participatory interest and shares, incurred by a trust manager, the compensation of which is provided for by the act on the establishment of trust management of assets and the trust manager’s report on his/her/its activity, are those of such a trust manager.
Such expenses reduce the income of the founder of trust management on assets, which are in trust management and not accounted as expenses of the founder of trust management.
2. The founder of trust management fulfills a tax obligation for corporate and individual income taxes on income from trust management and assets from trust management in accordance with the procedure set forth in this Code for persons, including such a founder.
3. A trust manager fulfills tax obligations for corporate and individual income taxes on income, expenses and assets from trust management in accordance with the procedure set forth in this Code for persons, including such a trust manager.
Article 46. Fulfillment of tax obligations of an individual declared missing
1. A tax obligation of an individual shall be suspended from the moment of his/her being declared missing by a final and binding court judgment.
2. Tax debt of an individual declared missing by court is paid by a person entrusted with the custody of assets of the individual declared missing.
3. If the assets of an individual declared missing are not sufficient to pay off tax debt, the outstanding part of his/her tax debt is written off by a tax authority pursuant to a court decision on insufficiency of assets.
4. When a court revokes a decision on declaring a person missing, the tax debt earlier written off by a tax authority is reinstated in court regardless of the limitation period established by Article 48 of this Code.
Article 47. Payment of tax debt of a dead individual
1. Tax debt, generated on the day of the death of an individual or on the day he/she was declared dead by a final and binding court judgment, shall be paid by his/her heir (heirs) within the value of inherited property and in proportion to the share in inheritance as of the day of coming into possession of it.
If the assets of a dead individual, also of an individual declared dead by a final and binding court judgment, are not sufficient to pay off his/her tax debt, the unpaid portion of the tax debt is written off by a tax authority pursuant to a court decision on insufficiency of assets.
2. If an heir (heirs) is (are) underage, an obligation to pay the tax debt of an individual, which generated on the day of his/her death or on the day he/she was declared dead, within the value of inherited property and in proportion to the share in inheritance as of the day of coming into possession of it is imposed on this (these) heir (heirs) only by a final and binding court judgment.
3. Tax debt of an individual, generated on the day of the death of an individual or on the day he/she was declared dead by a final and binding court judgment, is deemed paid in cases if:
1) underage heir (heirs) is (are) exempted from the fulfillment of the tax obligation to pay such debt by a final and binding court judgment;
2) there is no heir (heirs).
When a court revokes its decision on declaring an individual dead, the tax debt earlier written off by a tax authority is reinstated in a judicial proceeding regardless of the limitation period established by Article 48 of this Code.
4. The provisions of this article shall apply to the payment of tax debt generatedas of the date of the death of an individual entrepreneur, a private practice owner or declaring him/her dead by a final and binding court judgment.
Article 48. Periods of limitation of actions on tax obligation and claim
1. The limitation period for a tax obligation and claim shall be a period of time during which:
1) the tax authority has the right to calculate, charge or revise the calculated, assessed amount of taxes and payments to the budget;
2) a taxpayer (tax agent) is obliged to submit tax reports, has the right to make changes and additions to tax reports, to withdraw tax reports;
3) the taxpayer, (tax agent) has the right to demand offset and (or) refund of taxes and payments to the budget, penalty interest.
2. Unless otherwise provided by this article, the limitation period shall be three years.
3. The limitation period shall be five years, taking into account the specifics established by this article, for the following categories of taxpayers:
1) large businesses classified as such a category of entities in accordance with the Entrepreneur Code of the Republic of Kazakhstan;
2) carrying out activities in accordance with the subsoil use contract;
3) residents of the Republic of Kazakhstan who meet the terms of Chapter 30 of this Code.
4. The course of the limitation period shall begin after the end of the relevant tax period, except for the cases provided for by paragraphs 5, 6, 7, 8 and 12 of this article.
5. The taxpayer shall have the right to calculate, and the tax authority shall have the right to calculate and charge the amount of taxes:
1) when applying Chapter 80 and 80-1 of this Code for taxes specified in the investment contract providing for the implementation of an investment priority project, or an investment agreement - during the validity period of such a contract or agreement and five years from the expiration date or other termination of an investment contract or agreement;
2) when applying subparagraph 4) of paragraph 1 of Article 288 of this Code - during the training period of an individual and five years from the date of completion of the training of an individual.
6. For taxpayers operating in accordance with a subsoil use contract, the tax authority, during the validity term of the subsoil use contract and five years after the subsoil use contract expiration, shall have the right to assess or revise the calculated, accrued amount of the following taxes, payments to the budget:
excess profit tax;
the share of the Republic of Kazakhstan under the production sharing;
taxes and payments to the budget, in whose calculating methodology one of the following indicators is used: internal rate of return (IRR) or internal profit rate or R-factor (profitability indicator).
6-1. The taxpayer has the right to calculate, and the tax authority has the right to calculate and accrue the amount of taxes and payments to the budget for the period of validity of the agreement on investment obligations concluded in accordance with the Entrepreneurial Code of the Republic of Kazakhstan, during the period of validity of such an agreement and five years from the date of expiration or other termination of the agreement on investment obligations, starting from January 1 of the year following the year of termination of such an agreement.
7. The course of the limitation period shall begin in the following cases:
1) application of paragraph 1 of Article 432 of this Code on the tax obligation and the requirement to return the amount of excess value added tax for the period of construction of buildings and structures for industrial purposes - after the end of the tax period in which such buildings and structures were first put into operation on the territory of the Republic of Kazakhstan;
2) application of paragraph 2 of Article 432 of this Code on the tax obligation and the requirement to return the amount of excess value added tax for the period of exploration and development of the deposit - after the end of the tax period, which accounts for the beginning of the export of minerals extracted under the relevant contract for subsoil use, with the exception of widespread minerals, groundwater and therapeutic mud.
If the export was made before January 1, 2016, the limitation period shall begin on January 1, 2016;
3) the return and (or) offset in accordance with Article 104 of this Code of the confirmed amount of the excess value added tax specified in Article 432 of this Code - after the end of the tax period in which the authenticity of the amount of the excess value added tax presented for the return has been confirmed, including on the basis of appealing the results of the audit in accordance with the legislation of the Republic of Kazakhstan.
8. For the purposes of calculating or revising the calculated, assessed amount of value added tax specified in subparagraphs 1) and 2) of paragraph 7 of this article, the limitation period shall begin after the end of the tax period in which the taxpayer submits a value added tax declaration with demand for the refund of the excess value added tax.
9. The limitation period shall be extended:
1) for one calendar year - in the case of submission by a taxpayer (tax agent) of additional tax reporting for the period for which the limitation period established by paragraphs 2 and 3 of this article expires in less than one calendar year, in terms of the calculation and (or) revision of the calculated amount of taxes and payments to the budget;
2) for three calendar years - if the taxpayer (tax agent) submits additional tax returns with amendments and additions regarding the transfer of losses for the period after which the limitation period established by paragraphs 2 and 3 of this article expires in less than one calendar year , regarding the accrual and (or) revision of the calculated amount of corporate income tax to the budget;
3) prior to the execution of the decision made based on the results of consideration of the complaint (application), in the following cases:
appeals by a taxpayer (tax agent) in the manner prescribed by the legislation of the Republic of Kazakhstan, of audit findings report, notification of horizontal monitoring findings, as well as actions (inaction) of officials of tax authorities - in the disputed part;
consideration of a non-resident's tax application for a refund of income tax from the budget on the basis of an international agreement;
appeals by a non-resident in the manner determined by the legislation of the Republic of Kazakhstan against a decision of a tax authority made upon the results of consideration of a tax application for a return of income tax from the budget on the basis of an international agreement
appeal by a non-resident of a decision of an authorized body made following the results of consideration of a complaint by a non-resident against the decision of a tax body specified in paragraph four of this sub-paragraph;
4) before the execution of the decision of the authorized body and (or) the competent body of a foreign state, adopted as a result of the mutual agreement procedure, in the event that the authorized body carries out the mutual agreement procedure in accordance with Article 221 of this Code;
5) prior to the execution of the notification on the elimination of violations revealed by the tax authorities based on the results of an in-house audit, sent and delivered before the expiration of the limitation period, in terms of the violations identified;
6) from the date of delivery of the recommendation based on the horizontal monitoring findings until execution of the decision based on the horizontal monitoring findings;
7) if the investor initiated proceedings in international arbitration, then the tax authority has the right to charge or revise the calculated, assessed amount of taxes and payments to the taxpayer's budget, in respect of which the investor initiated proceedings, for the period from the moment of the period contested by the investor and until the final decision on to this arbitration - within five years after the completion of such arbitration;
8) for three calendar years from the date of completion of the provision of services for collection activities in respect of debt under a debt collection agreement established by the legislation of the Republic of Kazakhstan, in terms of the calculation and (or) revision of the calculated, assessed amount of taxes and payments to the budget of the taxpayer carrying out collection activities.
10. The limitation period regarding the accrual or revision of the calculated, assessed amount of taxes and payments to the budget shall be suspended for the period:
preparation and submission of a written objection by a taxpayer (tax agent) to a preliminary tax audit act and its consideration by the tax authority in the manner determined by the legislation of the Republic of Kazakhstan;
sending requests and receiving documents and (or) information on them during a tax audit in accordance with the legislation of the Republic of Kazakhstan on transfer pricing. At the same time, the total limitation period regarding the revision of the calculated, assessed amount of taxes and payments to the budget, taking into account its suspension, cannot exceed seven years;
time from the date of completion of the tax audit until the completion of criminal proceedings in the case of a tax audit conducted as part of a pre-trial investigation.
11. The accrual or revision of the calculated amount of taxes and payments to the budget for the action (actions) on the issuance of an invoice, performed (committed) with a private enterprise entity without the actual shipment of goods, performance of work, provision of services, shall be carried out by the tax authority for the tax obligation and ( or) a demand on the basis of a decision, sentence, or court ruling that has entered into legal force - within the limitation period.
12. An excessively (erroneously) paid amount of tax and payment to the budget, penalties shall be offset and (or) returned in the amounts paid during the current year and previous calendar years within the action limitation period established by paragraphs 2 and 3 of this article, except for the case established by Article 108 of this Code.
Footnote. Article 48 as amended by the Laws of the Republic of Kazakhstan dated 10.12.2020 No. 382-VI (enforcement Art 2); dated 20.12.2021 No. 85-VII (shall be enforced from 01.01.2022).