The need to raise taxes by deputies is substantiated by the Minister, Yerbolat Dossayev. A bill to raise taxes on property, land, transport, as well as excise on alcohol and tobacco products has been approved by deputies of the Senate in the first reading. This is reported by the correspondent of Kapital.kz business portal. 

“In order to discourage people to consume socially harmful goods one has provided for a gradual increase in rates of excise duties on alcohol and strong tobacco products. For strong alcoholic beverages, it is proposed to increase excise tax rates in 2014, from 500 to 1,000 tenge, or twice, in 2015 to 1200 tenge,  in 2016 to 1600 tenge or three times in comparison with 2013 year”,  the Minister of Economy and budget Planning Yerbolat Dossayev explained during the speech in the Senate of the Parliament of Kazakhstan.

In addition, in the current Tax Code under the bill in 2014 one provided for an increase in excise rates on cigarettes from 1550 tenge to 3,000 tenge per 1 000 pieces. To further increase the rates of excise duties on cigarettes, the law proposed to increase in 2015 the excise tax rates from 3000 to 3900 tenge, in 2016 from 3900 to 5000 tenge or 30% annually.

However, changes in the bill on taxation include standards to support individual sectors of the economy, simplification of taxation of small businesses and agricultural producers.

“In general, the adoption of the bill would eliminate the problems arising from the application of tax rules, and create conditions for further stable socio-economic development of the country”, Yerbolat Dossyev concluded.

Source: Kapital.kz business portal