Continuation about Kazakhstan. Basic taxes in the Republic of Kazakhstan do not differ from other countries. Perhaps the only characteristic feature of the tax system of the Republic of Kazakhstan is the six-month tax period and the obligation to submit reports once every six months. A general overview of taxes in the Republic of Kazakhstan for 2022 is given in the table:
| Type or name of tax | Applicable rate |
| Corporate income tax | 20.00% |
| Value added tax | 0-12.00% |
| Tax on income of legal entities of non-residents | 15.00% |
| Income tax (NDFL) | 10% (residents), 20% (non-residents) |
| Tax at source. | 20% (LE), 10% (FL) |
| Tax on dividends | 5.00% |
| Property tax | up to 1.50% |
There are also special tax regimes for small businesses that allow you to minimize reporting and operate at lower tax rates.
Limited liability partnerships (LLP), which is the most popular form of business registration among non-resident Russians, are willingly switching to a simplified tax regime, which allows them to reduce the cost of paying taxes and salaries of accountants.
Naturally, as in other countries, for companies operating under special regimes there are restrictions, both in terms of average annual revenue and in terms of staff size.
Also, some types of activities cannot be carried out using a simplified tax regime and the status of a micro and small enterprise.
All limits, according to the legislation of the Republic of Kazakhstan, are calculated in MCI – a monthly calculation indicator. Its size changes and is published regularly on the websites of government agencies of the Republic of Kazakhstan. From April 1, 2022, 1 MCI is equal to 3180 tenge.
According to the legislation of the Republic of Kazakhstan, namely Art. 683 of the Tax Code of the Republic of Kazakhstan, LLPs have the right to apply a simplified tax regime if the following conditions are met:
- staff number of employees no more than 30 people
- revenue for the half year does not exceed the limit of 24,038 MCI (76,440,840 tenge as of June 2022)
- the organization has no structural divisions
- the founder or participant of the LLP is not included in the founders (participants) of another legal entity under a special taxation regime
- the total share of participation of other legal entities is no more than 25%
- if the LLP cannot comply with the criteria, expecting the application of the simplified tax regime, it is transferred to the general taxation regime in the manner established by the legislation of the Republic of Kazakhstan.
- According to the legislation of the Republic of Kazakhstan, there are restrictions on types of activities, both in terms of the scale of business and the possibility of applying a special taxation regime.
Let us remind you that micro-enterprises and small enterprises using a simplified tax regime are prohibited from engaging in many types of financial activities, providing accounting and auditing services, mining and processing many types of minerals, activities related to the trafficking of potent psychotropic drugs and weapons are also limited, and the possibility of working under agency contracts is also limited. contracts. The full list can be found in paragraph 3, paragraph 2, Article 683 of the Tax Code of the Republic of Kazakhstan.
Taxes under a simplified taxation regime.
The main tax on revenue, income is 3%. It is paid once every six months, for a tax period of 6 months. The tax rate is divided into two parts: 1.5% corporate income tax (CIT) and 1.5% social tax (SN). Tax reporting must be done once every six months, a report is submitted on Form 910, for the first half of the year from July 1 to August 15, the tax must be paid by August 25. For the 2nd half of the year from January 1 to February 15 of the next year, tax must be paid by February 25.
In addition to income or revenue tax at a rate of 3%, taxes are paid on wages of employees. This includes both income tax and contributions to social funds. These taxes are paid monthly, until the 25th day of the next month, regardless of whether the LLP has income or not. The overall picture of payroll taxes can be assessed using the following table:
| Type of tax | Tax rate |
| Individual income tax (IIT) | 10.00% |
| Mandatory pension contributions (CPC) | 10% |
| Social contributions (SC) | 3.50% |
| Compulsory health insurance (OSHI) | 3.00% |
| Health Insurance Contributions (HICI) | 2.00% |
There are many nuances when paying payroll taxes. In most cases, this concerns the residence and age of the employee. Here are some examples: if you hire a pensioner, then CO and OPV are not deducted from his salary; also, these contributions and deductions are not paid if the employee is a foreigner or non-resident of the Republic of Kazakhstan.
Value added tax under a simplified taxation regime.
In many countries, business entities operating under special tax regimes are exempt from VAT. There are also countries in whose tax systems, under simplified regimes, the obligation to pay VAT arises upon reaching a certain scale of business or, in other words, exceeding a certain turnover limit. This scheme operates in accordance with the tax legislation of the Republic of Kazakhstan. If the annual income exceeds 20,000 MCI (63,600,000 tenge as of July 2022), the LLP is required to register as a VAT payer. Tax payment is carried out at a rate of 12%, declarations are submitted using Form 300.
Depending on the type of activity, the amount of revenue and the number of primary documents, accounting and tax accounting can be carried out either by the founder or director, or by a full-time accountant. Also popular among Russian owners is the option of outsourcing tax accounting and reporting tasks. The thing is that, according to the legislation of the Republic of Kazakhstan, LLPs under the simplified taxation regime must draw up all primary documentation: accounts, acts, invoices and invoices. The company is also obliged to calculate wages and taxes on them, carry out warehouse accounting of goods, and also issue payment orders.
It is quite difficult to describe all the subtleties and nuances of the tax system of the Republic of Kazakhstan. However, the position of the Republic of Kazakhstan in ratings reflecting a favorable climate, ease of doing business and paying taxes indicate the constant improvement of the tax legislation of the Republic of Kazakhstan and a reduction in the tax burden. The southern neighbor of the Russian Federation is becoming one of the most popular jurisdictions for business relocation, entering new markets in Europe and Asia, as well as establishing stable financial ties with the whole world.