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State and self-regulation: Who will bear the responsibility?

- City of Astana
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Today, on 21st of April, Astana hosted a conference on the theme: "Development of self-regulation in the areas of audit and taxation in the Republic of Kazakhstan" where these issues were discussed. In the course of the conference the following people delivered the speeches: a member of the Finance and Budget Committee of Mazhilis of RK Serik Kusainov, Vice Minister of the National Economy of Kazakhstan Serik Zhumangarin, Vice Minister of Finance Ruslan Beketayev, Managing Partner of Crowe Horwath Alberto Simoncini, and experts in auditing and taxation from the Netherlands, Italy, Russia, Kyrgyzstan and Belarus.

Today, April 21, Astana hosted a conference on the theme: "Development of self-regulation in the areas of audit and taxation in the Republic of Kazakhstan" where these issues were discussed. In the course of the conference, Serik Kusainov, a member of the Finance and Budget Committee of the Majilis of the RK, Serik Zhumangarin, Vice Minister of the National Economy of Kazakhstan, Ruslan Beketayev, Vice Minister of Finance, Alberto Simoncini, Managing Partner of Crowe Horwath, and experts in auditing and Experts from the Netherlands, Italy, Russia, Kyrgyzstan and Belarus were invited.

"The transfer of some of the control and power functions to the unorganized environment is a very significant and serious risks for the state. In this regard, we have gathered here to discuss issues on sensitive topics, such as audit activities, tax consulting issues. (...) Now the process of developing the adoption of a new tax code is underway. Which is primarily aimed at simplifying, as well as improving tax administration", - said Rustam Zhursunov.

"The work on transferring a number of government functions to a competitive environment and self-regulatory organizations is conducted by the Government in close tandem with NCE RK Atameken. Now we are at the stage of practical implementation of the reform of the public sector", - said Serik Kusainov, a member of the Finance and Budget Committee of the Mazhilis of the Parliament of the Republic of Kazakhstan.

It is worth recalling that in order to promote the institution of self-regulation in Kazakhstan in October last year, the structure of the National Parliament has undergone changes. A new department of the Chamber was established, one of which is the development of self-regulation, and a new Committee of the Presidium on self-regulation has been created, which will unite representatives of all self-regulating organizations in Kazakhstan. This allowed to coordinate the activities of the SRO, to study and to summarize the existing problems, to work out jointly proposals for further improvement of this institution.

"The National Chamber of Entrepreneurs "Atameken" and the Ministry of National Economy of the Republic of Kazakhstan are the main initiators of the promotion of the institute of self-regulation, as a promising and most important effective tool of economic deregulation. Unfortunately, there are a number of problems that need to be addressed", - explains Aizhan Bizhanova, Managing Director, Director of the Department of Legislation and Development of Self-Regulation of NCE RK "Atameken". As clarified Byzhanova, firstly, it is the reluctance of government agencies to change the traditionally-established model of administrative influence on business. Secondly, the state is still unable to determine the limits of its intervention, including in matters of standardization. Thirdly, this is the lack of stimulating and supportive mechanisms on the part of the state for the development of voluntary self-regulation.

To solve these problems, the following ways were proposed: - to exclude state control over an entrepreneur who is a member of a self-regulatory organization; to review national legislation in the field of self-regulation with a view to introducing norms aimed at the development of voluntary SROs; At the legislative level, create conditions for the development of mutual insurance societies (MFIs), as one of the types of property liability; to analyze the areas of entrepreneurship, where there is excessive state regulation; to introduce the institute of the rating system, which will strengthen the role of consumer recognition of one or another SRO and their members. At first, an independent arbiter may be the National Chamber

Self-regulation is closely linked to state regulation, which means that it is necessary to act jointly, jointly or completely independently within its framework, while the norms regulating self-regulation should complement the norms of state regulation.


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