ANNOUNCEMENT 27 Mar 2020

On 27 March 2020, the Kazakh government announced a set of fiscal support measures  in the context of the COVID-19 outbreak. 

NUMBER OF INTERVENTIONS

4

  • 3 harmful
  • 0 neutral
  • 1 liberalising

SOURCE

Resolution of the Government of Kazakhstan dated 27 March 2020 №141, О мерах по реализации Указа Президента Республики Казахстан от 16 марта 2020 года № 287 «О дальнейших мерах по стабилизации экономики» по вопросам налоговой политики (On Measures to Implement Presidential Decree dated 16 March 2020 N287 "On further measures to stabilize the economy"), https://primeminister.kz/ru/decisions/27032020-141

Inception date: 27 Mar 2020 | Removal date: 01 Oct 2020

Internal taxation of imports

On 27 March 2020, the Government of Kazakhstan announced a set of fiscal support measures in connection with the COVID-19 outbreak. 

Paragraph 1 of the Government Decree N141 of 27 March provides for a reduced VAT of 8% applicable on import and sales of products of importance to food security. The statutory VAT is 12%.

The Government decree detailing the products (N145 dated 1.03.2020) includes flour, bread, buckwheat, rice, potatoes, carrots, onions, cabbage, sugar, sunflower oil, beef, chicken, milk, butter, eggs, salt and cottage cheese.

The VAT reduction is in force between 27 March and 1 October 2020.  

 

Inception date: 27 Mar 2020 | Removal date: 31 Dec 2020

Tax-based export incentive

On 27 March 2020, the Government of Kazakhstan announced a set of fiscal support measures in connection with the COVID-19 outbreak. 

Paragraph 2 of the Government Decree N141 of 27 March provides for suspension of excise taxes on benzene and diesel fuel bound for exports. Aviation fuel is still subject to excise tax. The measure is in force until the end of 2020.  The existing excise was 24435 tenge (USD 63.5). 

Inception date: 01 Jan 2020 | Removal date: 31 Dec 2020

Tax or social insurance relief

On 27 March 2020, the Government of Kazakhstan announced a set of fiscal support measures in connection with the COVID-19 outbreak. 

Paragraph 3 of the Government Decree N141 of 27 March provides for a relief to individuals and firms engaged in tourism, hospitality, food and beverage industries from the 2020 property tax on facilities used for the provision of such services.

The statutory rate of property tax is 1.5% of the value of property, with small businesses and individuals paying a reduced tax of 0.5%. 

 
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Inception date: 27 Mar 2020 | Removal date: 01 Jun 2020

Tax or social insurance relief

On 27 March 2020, the Government of Kazakhstan announced a set of fiscal support measures in connection with the COVID-19 outbreak. 

Paragraph 4 of the Government Decree N141 of 27 March provides for the postponement of all tax obligations and social security payments of SMEs until 1 June 2020.

A week earlier, on 20 March 2020, the government already announced personal income tax breaks for individual entrepreneurs until the end of 2020. For details see related act (GTA ID 43587, "Kazakhstan: Fiscal support measures in response to the COVID-19 outbreak").  

 
 

 
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