On the amendments to the tax legislation regarding VAT from 2022.

The Law of the Republic of Kazakhstan dated 10 December 2020 No. 382-VI "On Amendments and Additions to the Code of the Republic of Kazakhstan "On Taxes and Other Mandatory Payments to the Budget" (hereinafter - the Tax Code) dated December 25, 2017 No. 120-VI amended the tax legislation of the Republic of Kazakhstan regarding VAT, enacted from January 1, 2022.).

According to the adopted amendments to paragraph 4 of Article 81 of the Tax Code, the minimum turnover for VAT registration is 20,000 times the monthly calculation indicator (previously it was 30,000 times the MCI), determined by the law on the republican budget for the corresponding fiscal year. Since January 1, 2022, the MCI has amounted to 3063 tenge, which means that the minimum threshold for VAT registration is 61,260,000 tenge.

If there is the excess of the minimum turnover, it is mandatory to submit an application for VAT registration to the territorial state revenue authorities. This should be done no later than 10 working days from the end of the month in which there was the excess of turnover. Otherwise, the authorized bodies controlling the excess of the turnover threshold first send a notification, and then, if the taxpayer fails to register for VAT, payment transactions of the accounts in second-tier banks are suspended. The application is submitted on paper or in electronic form through the portal of "electronic government" or a special Internet resource of the State Revenue Committee of the Republic of Kazakhstan. From the moment of registration of the application, a legal entity or an individual entrepreneur is recognized as a VAT payer.           In accordance with the latest amendments to the Tax Code of the Republic of Kazakhstan for individual entrepreneurs using a three-component integrated system, the threshold for value added tax has been increased from 20,000 MCI to 124,184 MCI in 2022. At the same time, it should be noted that this relief will affect only turns in non-cash form, namely when making cash payments via bank cards.

In accordance with Article 59 of the Tax Code, a simplified liquidation procedure is provided for VAT taxpayers who, according to tax reporting data, did not carry out business activities in the limitation period.

From January 1, 2022, on the basis of paragraph 13 of Article 412 of the Tax Code, the requirements to generate Electronic Invoices by small business entities and retail sellers of goods to the end consumer (retail sellers) are excluded, if an online cash register receipt is provided to the buyer.

 

Chief Specialist ofAnalysis and

Risk officeof SRD forEKR

KharlamovaN.А.