What exactly was amended in the legislation regarding the exemption from VAT on sales of medicines and medical products?
Starting from 19 January 2019 the amendments on the exemption from VAT on sales of medicines and medical products came into force. However, turnovers on sale and import of medicines, substances and medical products are not subject to VAT in Kazakhstan for about 20 years.
Then what exactly was changed?
Amendments in Article 394 Subparagraphs 33) and 34) of the Tax Code on turnovers on the sale of goods, works, services exempted from VAT are associated with the division into separate subparagraphs of goods used in medicine (i.e., for the treatment of humans) and veterinary medicine.
Thus, if previously they were combined and the list of goods exempt from VAT was formed by the authorized body in the field of health care in coordination with the authorized body in the field of the agro-industrial complex, now:
Information contained in this Client Update is of general nature and cannot be used as legal advice or recommendation. Please note that Kazakhstan is an emerging economy, and its legislation and legal system are in constant development. Should you have any questions or want to discuss matters addressed in this Client Update, please contact us.