When a Kazakhstani company provides marketing services to a company that is a resident of another Eurasian Economic Union (EAEU) member state, the place of supply is determined as the location of the customer of the services.
If marketing services are provided to a Russian company, the place of supply is deemed to be the territory of the Russian Federation. In this case, such turnover is not subject to value-added tax (VAT) in the Republic of Kazakhstan.
At the same time, transaction support services provided within the territory of the Republic of Kazakhstan are considered to be supplied in the Republic of Kazakhstan and are subject to VAT under the general taxation procedure.
When issuing primary documents for marketing services that are not subject to VAT in the Republic of Kazakhstan, the act of completed works should include the mark “No VAT”. For services subject to VAT, the rate established by the tax legislation of the Republic of Kazakhstan is applied.
Income from the provision of services is reflected in tax reporting in accordance with the requirements of the Tax Code, and for corporate income tax purposes it is included in aggregate annual income. Expenses related to generating such income are deductible, subject to the availability of supporting documents.
Department of State Revenues for East Kazakhstan Region