This client update includes amendments to the legislation of the Republic of Kazakhstan in June 2013.
The legislation outlined in this Client Update concern both public and private sectors. Some of them may be of interest to you as it may affect your business in Kazakhstan in certain way.
This month we would like to draw your attention to the following legal acts:
ON PENSION SECURITY
1) On 21 June 2013, the President of RoK signed the Law of the Republic of Kazakhstan No. 105 – V “On Pension Security in the Republic of Kazakhstan”.
This Law establishes legal and social grounds for pension security of the citizens of the Republic of Kazakhstan, regulates participation of government authorities, individuals and legal entities in realization of the constitutional right of citizens to the pension security.
This Law introduces, inter alia, the following major changes:
• Gradual increase of retirement age for women as from 1 January 2018 (as opposed to 1 January 2014, as initially proposed and contemplated).
• Introduction of compulsory professional pension contributions paid by employer in the amount of 5% of monthly employee’s income (effective as from 1 January 2014).
• Establishment of the Unified Pension Savings Fund (UPSF), whereby the Government of the RoK is the founder and shareholder of the UPSF, and the National Bank of the RoK will manage the pension assets.
The previous law provided for voluntary professional pension contributions, made by employer for the benefit of employees of certain occupations determined by the Government of the RoK. This clause will remain in force till 1 January 2014. Such contributions will become compulsory as from 1 January 2014.
1) On 13 June 2013, the President of the RoK signed the Law of the Republic of Kazakhstan “On introduction of amendments and additions to the Law “On migration of population” dated 22 July 2011”.
The Law governs, among others, issues of redistribution of certain powers and authorities between authorized state agencies in relation to migration of population, procedure for attraction of foreign personnel by Kazakhstani individuals, migration of oralmans (repatriates).
FOREIGN ECONOMIC ACTIVITY
1) The President of Kazakhstan signed the Law of the Republic of Kazakhstan “On introduction of amendments and additions to some legislative acts of the Republic of Kazakhstan in relation to application of non-tariff regulation measures in the Customs Union aimed at improving legislation on non-tariff regulation”.
This Law aims at bringing the legislation of the RoK in compliance with the Resolution of the Interstate Council of Eurasian Economic Community at the level of Heads of the States (Supreme Body of the Customs Union) No.19 dated 27 November 2009.
2) The President of the RoK signed the Law of the Republic of Kazakhstan dated 21 June 2013 No. 109 – V “On ratification of the Protocol on introduction of amendments and additions to the Agreement on determination of customs value of goods transported across the customs border of the Customs Union, dated 25 January 2008” (hereinafter – Agreement).
The customs value of goods transported across customs border of the Customs Union will now be determined in accordance with the Agreement. Amendments to this Agreement also set forth that generally accepted norms and rules of international trade shall be part of the governing law.
1) The President of the RoK signed the Law of the Republic of Kazakhstan “On introduction of amendments and additions to some legislative acts of the Republic of Kazakhstan on the issues of separation of powers among government agencies”.
The Law aims at further improving the system of government administration, avoiding duplication of powers between government agencies and expanding authorities of local administrations.
TAX APPLICATION FORMS
In accordance with amendments to the Decree of the Government of RoK dated 29 November 2011 No. 1390 “On Approval of Tax Application Forms”, the tax application forms have been revised. The Decree is effective as from the date of its first official publication, i.e. from 12 June 2013.
Information contained in this Client Update is of general nature and cannot be used as legal advice or recommendation. Please seek a lawyer for a specific advice. Please note that Kazakhstan is an emerging economy and its legislation and legal system are in constant development. Should you have any questions or would like to discuss matters addressed in this Client Update, please contact us.