Foreign markets operating in Kazakhstan will be blocked if they do not register. The rules are set out in the new Tax Code, which will be adopted in the coming days, said Deputy Minister of Finance of the Republic of Kazakhstan Erzhan Birzhanov on the sidelines of the St. Petersburg International Economic Forum (SPIEF).
At the beginning of the year, the Ministry of Trade and Integration of the republic reported complaints from citizens about foreign online trading platforms whose sellers are outside the jurisdiction of Kazakhstan. According to MP Azat Peruashev, due to VAT evasion by foreign markets, the budget in 2023 has lost over 60 billion tenge (11.6 million USD).
„We will soon adopt a new Tax Code, which will introduce the concept of „market“ and will prescribe the obligation to provide data to the tax authorities on sellers and buyers, on volume. We will conduct online monitoring. Yes, this is unhealthy competition when local [markets] are here, registered, and foreign ones cannot always be registered conditionally. In Kazakhstan, foreign markets must undergo conditional registration. Today, over 100 large markets are registered, and some of them are not registered. Therefore, the code includes an obligation: if notifications from the tax authorities are not followed, foreign markets will be blocked. We are loyal to those who pay and are registered, even conditionally“, said Birzhanov, speaking at the session “Cross-border e-commerce: launching new rules“.
The Deputy Minister noted that over the past four years, the volume of e-commerce in Kazakhstan has grown 6 times, the share of retail trade was 14.5%. In the near future, it is planned to increase to 20%. Non-cash payments make up 87%. The country has adopted a three-year program for the development of e-commerce. It includes legislative initiatives, including in terms of providing assistance to businesses, opening logistics centers. It reflects issues of consumer protection, clearly defines the rules for online platforms, responsibilities. Support is provided for markets - preferential subsidies for opening logistics centers, support for local manufacturers.