On 11 July 2022, Kazakhstan issued Law No. 135-VII on amendments to the tax code which will be effective from 1 January 2023. The Tax Code of the Republic of Kazakhstan provides for a number of following changes:
- Limitation of deductions for intangible services provided by a related party equal to 3% of taxable income;
- The exemption of dividends on securities listed on the stock exchanges is applicable only if these securities were actively traded on the stock exchange in Kazakhstan;
- Another purpose of the amendments to the Tax Code is to discourage the withdrawal of capital from the country. To this end, it is proposed to abolish benefits for exemption from taxation of dividends with a rate of 10%;
- The amendment also includes mineral extraction tax exemption;
- Changes to the payment of value added tax (VAT) on imported goods by offset method;
- Gradual increase in excises on tobacco products.
