How is the payment for digital mining calculated

According to the amendments to the Tax Code, from January 1, 2022, a fee for digital mining was introduced. This was reported in the State Revenue Committee of the Ministry of Finance of the Republic of Kazakhstan. The procedure for paying the fee is regulated by the new Paragraph 11 of Chapter 69 of the Tax Code. The payers of the fee are the persons carrying out digital mining and the fee is charged for the actual amount of electrical energy consumed in the course of the activity. The amount of the fee is calculated based on the actual volumes of electrical energy, the fee rate is determined in the amount of 1 tenge per 1 kilowatt-hour of electrical energy (amount of kWh * 1 tenge). “The tax period for calculating the fee is a quarter. Payment for digital mining is made to the Republican budget on the Budget Classification Code (BCC) 105 317. Payers of the fee pay the amount of the fee to the budget on a quarterly basis no later than the 20th day of the month following the reporting quarter. For example, for the first quarter of 2022, the fee must be paid no later than April 20, 2022,” the State Revenue Committee of the Ministry of Finance of the Republic of Kazakhstan noted. Payers pay the fee at the place of digital mining activity (at the location of digital mining equipment). At the same time, the Tax Code does not provide for tax reporting on fees for digital mining.