Refund process of income tax withheld from non-residents' source of payment

The State Revenue Department for the East Kazakhstan region reports that according to the Code of the Republic of Kazakhstan "On Taxes and other Mandatory Budget payments " No. 120-VI dated 25 December 2017. (hereinafter - the Tax Code), when applying the provisions of an international treaty, a non-resident is entitled to a refund of income tax in the following cases:

1. withholding and transfer to the budget by a tax agent in accordance with the provisions of the Tax Code of income tax on non-resident income received from sources in the Republic of Kazakhstan;
2. calculation and payment by a non-resident of income tax on income from the implementation of activities in the Republic of Kazakhstan through a structural unit that does not lead to the formation of a permanent institution in accordance with an international agreement;
3. payment of income tax received from sources in the Republic of Kazakhstan to the budget by a non-resident, in accordance with the provisions of the Tax Code.

At the same time, a non-resident is obliged to submit to the tax authority a tax application for the refund of the income tax paid from the budget (hereinafter - the application) with the attached documents:

1) copies of contracts (contracts, agreements) for the performance of works, the providing services or for other purposes;

2) a document confirming the residence of a non-resident;

3) copies of accounting or other documents confirming the amounts of income received and taxes withheld or paid;

4) in the case of performance of works, rendering of services by a non - resident in the territory of the Republic of Kazakhstan through employees or other personnel hired by a non-resident for such purposes, - copies of the identity documents of such individuals and documents confirming the terms of their stay in the territory of the Republic of Kazakhstan;

5) in addition, if the application is submitted by a legal entity:

notarized copies of the constituent documents or extracts from the commercial register (register of shareholders) or other similar document provided for by the legislation of the state where the non-resident is registered, indicating the founders (participants) and majority shareholders of the non-resident legal entity, etc.

A non-resident may submit an application to the tax authority before the expiration of the limitation period, which is established by Article 48 of the Code.

According to the Tax Code, the tax authority considers the application of a non-resident within twenty working days from the date of its submission by a non-resident. This period is suspended for the duration of the documentary inspection or the submission of requests by the tax authorities.

Based on the results of consideration of the application of a non-resident, the tax authority makes one of the following decisions::

1) on the return of income tax in full or in part;

2) refusal to refund income tax. 

chief specialist of

Cameral  monitoring office of SRD for EKR
Zhelmenova Sh.М.

Дата публикации

15 декабря 2020