Tax Alert: December 2018

SIGNUM regularly provides Legislative Alerts to keep Clients informed about important legislation or regulatory changes in Kazakhstan. This Alert includes recent developments related to the following finance and tax matters:

  • Transfer Pricing Reporting
  • Procedure for Horizontal Monitoring
  • The List of Taxpayers Subject to Monitoring of Large Taxpayers
  • Procedure for Preparation of Standard Tax Audit File
  • Tax Returns Forms
  • Goods Not Subject to Certain Customs Procedures
  • Goods Subject to Import Customs Duties
  • Procedure for Penalties and Fines Write Off
  • Goods subject to issuing Electronic Tax Invoices via “Virtual Warehouse”


1. Transfer Pricing Reporting

On 24 December 2018, the Templates of Local file, Master file and Country-by-Country Reporting on transfer pricing and the submission rules were approved by the Order No. 1104 of the Finance Ministry of Kazakhstan. The Order is effective from 1 January 2019.

Please follow the link for Templates and the Rules: https://bit.ly/2THG6u7

2. Procedure for Horizontal Monitoring

On 7 December 2018, the following have been approved by the Order No. 1060 of the Finance Minister of Kazakhstan: i) template of an agreement on horizontal monitoring; ii) the rules on signing and terminating the agreement; iii) taxpayers eligible for horizontal monitoring; iv) procedure of conducting horizontal monitoring. The Order is effective from 1 January 2019.

Please follow the link to find out the Template, Rules and Procedure: https://bit.ly/2RDtLtp

3. The List of Taxpayers Subject to Monitoring of Large Taxpayers

The List of taxpayers subject to monitoring of large taxpayers was approved by the Order of the Finance Minister of Kazakhstan No.1082 dated 14 December 2018. The Order is effective from 1 January 2019.

Please note that the List of taxpayers subject to monitoring of large taxpayers include:

1) The top 300 taxpayers with the largest total annual income and with (1) cost of fixed assets more than 325,000-folded MCI , and (2) the number of employees more than 250;

2) Taxpayers that are (1) the parties to the production sharing agreements, or (2) the subsoil users under the contract on exploration, production, combined exploration and production of minerals (save for contracts on exploration and production of widespread mineral deposits), or (3) the subsoil users categorized as a regional major taxpayer.

Please follow the link to see the full List of large taxpayers subject to monitoring: https://bit.ly/2ACVtwK

4. Procedure for Preparation of Standard Tax Audit File

The template of standard tax audit file and the procedure for its preparation were approved by the Order of the Finance Minister of Kazakhstan No. 1092 dated 19 December 2018. Standard tax audit file is the digital accounting data of a taxpayer, which is available for tax review at the tax authorities’ information system. Please be advised that disclosure of the standard tax audit file is non-binding and is available to the tax authorities only upon its download at tax database and verification by the digital signature. The Order is effective from 1 January 2019.

The Template and the Procedure are available by the following link: https://bit.ly/2sg0si9

5. Tax Returns Forms

On 20 December 2018, the forms of tax returns and the rules on their filling were amended by the Order of the Finance Minister of Kazakhstan No.1095. The amendments came into force starting from 1 January 2018.

Please follow the link to see the amended documents: https://bit.ly/2CWkTXw

6. Goods exempted from customs procedures

The list of goods exempted from the customs procedures of customs warehouse, processing within the customs territory as well as not subjected to the duty-free trade was approved by the Resolution of the Board of Eurasian Economic Commission No. 203 dated 11 December 2018. The Resolution came into force on 11 January 2019.

Please follow the link to study the Resolution: https://bit.ly/2Rxz6T5

7. Goods Subject to Import Customs Duties

The list of goods subject to import customs duties, their rates and terms of application was amended by the Order of the National Economy Minister of Kazakhstan No. 105 dated 19 December 2018. The Order is effective from 6 January 2019.

Please follow the link to read more: https://bit.ly/2TAGMBq

8. Procedure for Penalties and Fines Write Off

The Finance Ministry of Kazakhstan drafted the Procedure for writing off the penalties and fines in case of payment of principal.

Please follow the link to read the draft: https://bit.ly/2TzcTRN

9. Goods subject to issuing Electronic Tax Invoices via “Virtual Warehouse”

The Finance Ministry of Kazakhstan drafted the Order on approval of the list of goods subject to issuing electronic tax invoices via the module “Virtual Warehouse” in the information system of tax e-invoices.

Please follow the link to read the draft Order: https://bit.ly/2FhF6cE

The external links in this Alert referred to the web-sources in Russian language. Should you have any questions or require any further information please let us know.

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.