Kazakhstan has enacted Law No. 119-VIII, effective from 21 July 2024, which provides a VAT exemption on the sale of eligible vehicles and agricultural machinery.
This law, signed on 8 July 2024, stipulates that to qualify for the exemption, sellers must be authorised representatives of the manufacturers and must purchase the vehicles or machinery directly from the manufacturer without VAT, in line with the provisions of the Tax Code concerning VAT exemptions for imported components and materials.
Furthermore, authorised representatives must be listed in a specific register maintained by the relevant state authority that oversees industrial stimulation.
This measure aims to boost the agricultural and automotive sectors by reducing the tax burden on manufacturers and their representatives.
