KazCham

PwC Kazakhstan

·           a gradual introduction of obligatory electronic invoices: during 2016 — for certain types of taxpayers, from 2017 — for all VAT payers. Violation of electronic invoicing requirements could result in an administrative fine for large taxpayers up to 80% of the VAT stated in the invoice’s hard copy (but not less than 40 MCI, approximately KZT 85 thousand);

·           transfer of goods from KZ to another member state of the Customs Union (CU) within the same legal entity shall be non VAT-able turnover.  Similarly goods, imported from another member state of the CU within the same legal entity shall not be subject to import VAT;

·   new provisions on VAT refunds for taxpayers who have excess VAT receivable accumulated during the period of geological exploration and field development;

·           a clarification on turnovers, which are not turnovers of commissioner under agency and commission  contracts, as well as clarification on the order of invoicing under a commission contract;

·   a cancellation of voluntary VAT registration from 2017;

·           a reduction of the annual turnover threshold for mandatory VAT registration up to 3 234 MCI (about KZT 7 mln);

·           new requirements for VAT registration;

·           a transition to electronic VAT registration certificate from 1 April 2016;

·   prolongation of import VAT payment by offset mechanism on import of certain goods till 2022.