Publication date: 20.01.2016 07:52
Date of change 20.01.2016 07:59
In accordance with paragraph 2 of Article 98 of the Code of the Republic of Kazakhstan "On Customs Affairs in the Republic of Kazakhstan", when determining the customs value of goods, the transaction price includes royalties and license fees related to the evaluated goods, which are payable by the seller directly or indirectly as a condition for the sale of the evaluated goods, if such royalties and fees were not included in the price actually paid or payable.
The provisions of article 8 of the General Agreement on Tariffs and Trade (GATT, 1994) also apply to taxes, fees, formalities and requirements imposed by government authorities in connection with imports and exports, including those related to licensing.
If the contract for the supply of goods using a trademark provides (stipulated) the inclusion of royalties (license fees) for the use of this trademark, then the customs value of the goods includes all these fees.
The terms of the contract may also provide for percentage deductions from the net sales value of the licensed product sold, or periodic deductions by the licensee in the form of fixed rates at certain intervals. In this case, the royalties are included after the release of the goods by adjusting the customs value and paying customs duties and taxes.
According to paragraph 2, paragraph 6, Article 241 of the Tax Code, the purchase of works and services, the cost of which is included in the customs value of imported goods and from which the import VAT is paid to the budget, is not a taxable turnover on value added tax (hereinafter referred to as VAT) for a non-resident.
Thus, in order to avoid double taxation of VAT, foreign trade participants must voluntarily and timely adjust the customs value with the payment of customs duties and taxes by submitting an application to the state revenue authorities with an electronic copy of the CCC and a copy of payment orders.
At the same time, in accordance with Article 70 of the Tax Code, the taxpayer is granted the right to make changes and additions to previously submitted tax reports by drawing up additional tax reports for the tax period to which these changes and additions relate.
Accordingly, if the cost of services is included in the customs value of goods and the import VAT is paid to the budget of the Republic of Kazakhstan later than the VAT for a non-resident is calculated, the taxpayer has the right to reduce the calculated amount of VAT for a non-resident from the cost of such services by submitting additional tax reports.