The procedure for issuing invoices by tour operators and travel agents

The Tax Code establishes special provisions on the imposition of value added tax (VAT) and the procedure for issuing invoices under contracts corresponding to the commission agreement and the contract of assignment.
If the contract (agency) concluded between a tour operator and a travel agent for the sale of a tourist product meets the conditions provided for by the Civil Code of the Republic of Kazakhstan, then for the purposes of VAT the tour operator is considered as a commitee, and the travel agent as a commission agent, respectively, the provisions of Articles 375 and 416 of the Tax Code apply.
In addition, the tour operator, when selling a tour package (tourist product), determines the turnover for the sale at the cost of such a tour package (tourist product). However, if a tour operator sells a travel package (tourist product) for outbound tourism, then the turnover is determined by subparagraph 2) of paragraph 15 of Article 381 of the Tax Code.
The travel agent (commission agent) determines the sales turnover in the amount of his remuneration (commission).
At the same time, an electronic invoice statement under the commission agreement is made in accordance with the provisions of Article 416 of the Tax Code and the Rules for issuing an invoice in Electronic Form in the Electronic Invoice Information System and its Form, approved by Order No. 370 of the First Deputy Prime Minister of the Republic of Kazakhstan - Minister of Finance of the Republic of Kazakhstan dated April 22, 2019 (hereinafter – the Rules).
Thus, we will give some examples of electronic invoices for the implementation of a travel package (travel product):
1. The terms of the agreement corresponding to the commission agreement provide for the transfer of the travel package (travel product) by the tour operator (committee) to the travel agent (commission agent) for further sale to customers at a fixed price, and the amount of remuneration will be paid to the travel agent based on the results of the promotion of the travel package (travel product).
In this case, electronic invoices will be issued with the following features:
• by the tour operator (commitee) to the travel agent (commission agent) – in section "B" "Supplier details" in line 10 "Supplier category" a mark is made in cell "A" commitee, in section C "Recipient details" in line 20 "Recipient category" a mark is made in cell "B" commission agent;
• by a travel agent (commission agent) to the client's address – in the "B" section "Supplier details" in line 10 "Supplier category" a mark is made in the "B" cell of the commission agent and the total values are reflected according to the electronic invoice issued by the tour operator (committee) when transferring such a travel package (travel product);
• a travel agent (commission agent) to the address of the tour operator (committee) for the amount of remuneration received – in section "B" "Supplier details" in line 10 "Supplier category" a mark is made in cell "B" commission agent, in section C "Recipient details" in line 20 "Recipient category" a mark is made in cell "A" committee.
2. The terms of the agreement corresponding to the commission agreement provide for the transfer of the travel package (travel product) by the tour operator (committee) to the travel agent (commission agent) for further sale to customers at a price determined by the travel agent (commission agent), that is, the amount of remuneration will be included in the cost of the travel package (travel product) when it is sold to the client.
In this case, electronic invoices will be issued with the following features:
• by the tour operator (commitee) to the travel agent (commission agent) – in section "B" "Supplier details" in line 10 "Supplier category" a mark is made in cell "A" commitee, in section C "Recipient details" in line 20 "Recipient category" a mark is made in cell "B" commission agent;
• by a travel agent (commission agent) to the client's address – in the section "B" "Supplier details" in line 10 "Supplier category" a mark is made in the cell "B" commission agent at the cost determined by the travel agent (commission agent). At the same time, despite the fact that the invoice issued to the client reflects the entire cost of the travel package (travel product), the amount of turnover of the travel agent (commission agent) is determined by the amount of remuneration.