On 20 April 2020 the Government of the Republic of Kazakhstan adopted and published the Decree No.224 “On Further Measures for Implementing the Edict of the President of the Republic of Kazakhstan No.287 dated 16 March 2020 “On Further Measures for Stabilizing the Economy” on Taxation Issues”, which, in accordance with the Edict of the President of the Republic of Kazakhstan No. 287 dated 16 March 2020 “On Further Measures for Stabilizing the Economy”, prescribes the following:

1. The ‘0’ correction coefficient shall be established to be applied to the rates of the following taxes and social payments:

• PIT[1] withheld at the source of payment;
• PIT paid independently by a person engaged in private practice;
• Social tax, OPC[2], OPPC[3], Social assessments, OSMI[4] charges and contributions, with the exception of those paid by individual entrepreneurs for themselves.

The provisions of this paragraph shall apply to the following taxpayers and their employees:

• private practitioners and micro, small or medium-sized business entities carrying out activities specified in the list of activities in accordance with Appendix 1 to this Decree, with respect to obligations for which the payment (transfer) deadline occurs within the period from 1 April to 1 October 2020;
• large-scale business entities carrying out activities specified in the list of activities in accordance with Appendix 2 to this Decree, with respect to obligations for which the payment (transfer) deadline occurs within the period from 1 April to 1 July 2020.

1. For the period from 1 April 2020 to 1 October 2020, the ‘0’ correction coefficient shall be set to be applied to the rates of Property tax:

• on runways at aerodromes and airport terminals;
• for persons engaged in private practice.

1. The taxpayers-residents of the Republic of Kazakhstan engaged in the activity of air passenger transport shall be granted a deferment until 1 January 2021 on the payment of the assessed VAT[5] for non-residents on the maintenance and legal support of aircraft leasing transactions.

At that, the said categories of taxpayers shall offset the assessed amount of VAT for non-residents in that tax period, in which such acquisition of work, services from a non-resident was recognized as a taxable turnover, provided that the assessed amount of VAT was paid to the budget before 1 January 2021.

1. It is established that the bonus payments to employees involved in anti-epidemic measures paid from 1 March 2020 in accordance with the Order of the Minister of Healthcare of the Republic of Kazakhstan No. 28/2020 dated 4 April 2020  “On Certain Issues of Financial Support for Employees of Healthcare Organizations Involved in Anti-Epidemic Measures as Part of the Fight Against Coronavirus COVID-19 ” shall not be considered as items subject to PIT withheld at source, Social tax, OPC, OPPC, Social assessments, OSMI charges and contributions.
2. The deadline for the submission of tax reporting forms on 2019 obligations shall be postponed from 31 March 2020 to 31 May 2020.

The Government Decree shall enter into force on 1 April 2020, with the exception of paragraphs 4 and 5, which shall enter into force on 1 March 2020.

Appendix 1
Appendix 2

[1] Personal Income Tax.
[2] Obligatory Pension Charges.
[3] Obligatory Professional Pension Charges.
[4] Obligatory Social Medical Insurance.
[5] Value Added Tax.