Majilis Reviews VAT Proposal in New Tax Code

The draft Tax Code was presented for a first reading in the Majilis, Orda.kz reports.

Deputy Prime Minister and Minister of National Economy Serik Zhumangarin outlined the most debated changes related to VAT during his address.

VAT will be 16%. The VAT threshold will be set at 40 million tenge. This is the result of a compromise that we have reached. But against this background, we are losing 160 thousand new taxpayers. And we are not getting 400 billion in additional revenue. This is so that our business owners understand that the government and parliament are ready to make such compromises. But opening new individual entrepreneurs will now be a complicated process,
 said Zhumangarin.

The original proposal set the VAT threshold at 15 million tenge, but lawmakers and business representatives widely criticized it.

Original Auhtor: Zhadra Zhulmukhametova