Kazakhstan’s Prime Minister Olzhas Bektenov urged local entrepreneurs to ensure fair tax payments, stressing that non-compliance may lead to serious consequences. The Finance Minister highlighted the misuse of special tax regimes that facilitate tax evasion. Currently, a small fraction of taxpayers pay VAT, prompting the government to enforce stricter tax compliance measures.
ASTANA, Kazakhstan — In a recent meeting, Prime Minister Olzhas Bektenov called on local entrepreneurs and large company owners to adhere to equitable tax practices. Along with Deputy Prime Minister and Minister of National Economy Serik Zhumangarin and Minister of Finance Madi Takiyev, the Prime Minister discussed the importance of tax-budget reforms and enhanced oversight of tax revenue collection.
Prime Minister Bektenov highlighted the urgency of this matter, stating that tax authorities would soon issue notifications demanding companies to submit additional tax declarations and fulfill their tax obligations within two weeks. He warned that failure to comply may compel the state to utilize all available resources, including fiscal and law enforcement measures, to ensure compliance.
Finance Minister Madi Takiyev addressed the misuse of special tax regimes (STR) that were intended to support small businesses. He noted that some taxpayers have exploited these regimes to diminish their tax liabilities by artificially inflating expenses and transferring profits through complex sales structures. Takiyev elaborated on how this manipulation enables companies to report financial losses while others avoid VAT obligations through regressive tax practices.
Currently, Kazakhstan has 2.3 million registered taxpayers, of which only eight percent actively pay VAT. A significant majority, 81 percent, operate under a simplified tax regime, with 85 percent of these taxpayers reporting incomes below 15 million tenge or $30,000. This widespread use of STRs raises concerns about tax compliance within the country’s business sector.
In conclusion, Kazakhstan’s Prime Minister has emphasized the necessity for businesses to engage in fair taxation practices. By addressing the exploitation of tax regimes, the government seeks to ensure that all enterprises contribute to state revenues appropriately. With only a small percentage of registered taxpayers meeting their VAT obligations, the call for compliance is both timely and critical to the country’s fiscal health.
Original Source: en.trend.az
