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Summary

Standard VAT rate: 12%
E-Invoicing: live
Real-time reporting: live
Digital service tax: expected in 2021

Compliance and rates

 

VAT number format

VAT number in Kazakhstan contains 12 digits (e.g. 111111111111).

 

VAT rates

The standard VAT rate in Kazakhstan is 12%. Some of goods and services are exempt from VAT such as exportations and international transport.

12% (Standard) – applies to sales turnover in Kazakhstan and to imports of goods and services to Kazakhstan.

0% (Zero) – export of goods, international transportation

Payers of value-added tax are legal entities and individuals, as well as non-residents who operate through a permanent establishment, engaged in the sale of goods, works and services subject to value-added tax.

 

VAT payments and returns

All businesses in Kazakhstan must submit periodic VAT reports and payments. A tax period for the value-added tax is a calendar quarter.

VAT Payments frequency

Unless otherwise provided by Article 271 of the Tax code, a payer of the value-added tax shall pay the tax, subjected to contributions to the budget at the location for each tax period no later than the 25th of the second month following the reporting tax period

VAT Returns frequency

If a payer of the value-added tax did not specify the requirement to refund an excess of the value-added tax in the declaration for the value-added tax, this excess shall be set off against future payments for the value-added tax or could be required to return.

 

Invoice requirements

An invoice which is subject to offset of the value-added tax in accordance with Article 256 of this Code shall specify:

  • index number of the invoice in Arabic numerals
  • the date of issuance of the invoice
  • supplier / issuer data (company name, address, tax identification number)
  • customer data (address and other data if available, tax identification number)
  • full description of goods and services provided
  • the net, taxable value of the invoice
  • rate and amount of VAT applicable for the category of goods and services provided
  • the invoice total, gross amount
  • in cases, specified by paragraph 18 of this Article, the supplier status – consignor or consignee
  • statement message in case of special supplying or tax regimes (e.g. on turnovers which are exempted from the value-added tax – the indication “Without VAT”)

 

E-Invoicing

All taxpayers in Kazakhstan are obliged to issue VAT invoices in an electronic format through govermment website called IS ESF as of January 2017 for certain goods and services as defined by Kazari law.

IS ESF is and official state system of State Revenue Committee of Kazakhstan that offers the ability to issue, process and store invoices in an electronic format. It is used for transfer of invoicing information between participants (customers, suppliers and the state).

 

Real-time reporting (Virtual Warehouse)

Kazakhstan introduced “Virtual Warehouse” module for e-invoicing platforms to track movements and processing of goods from the import/production to the final consumption or export. If the good is not registered in VW and recognized by the system, sale is impossible and e-invoice can not be issued.

The Virtual Warehouse module of the IS ESF is created with the aim of systematizing the accounting of goods, automatic calculation of balances and automation of the business process of posting imported goods. Information on goods in physical warehouses of taxpayers, as well as all electronic documents that produce goods to the aircraft, moving and writing off goods from the Virtual warehouse will be stored in the ES ISF VS.

Legislation does not contain a detailed explanation of the VW module.

Companies have to obtain authentication keys and use electronic digital signature available in National certifying center of Kazakhstan.

Turnkey invoice compliance.

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