Tax holiday: businesses that do not qualify for tax-exempt status
As of 1 January 2020, persons who apply special tax regimes and are recognized as micro-entrepreneurship or small business entities, including single land taxpayers, is exempt from income tax as follows
Thus, the above-mentioned persons have the right to reduce by 100 per cent the amount payable:
1) the amount of corporate (individual) income tax (except withheld at source payment);
2) the amount of social tax (only for taxpayers applying the special tax regime based on a simplified declaration);
3) the amount of the unified land tax.
At the same time, the above-mentioned persons are not exempt from income tax calculation and submission of tax reports to the state revenue authorities.
All other taxes and payments will be paid when liabilities arise (including tax reporting, payment of individual income tax withheld at source, social payments (mandatory pension contributions, social contributions, as well as contributions of the compulsory social health insurance system).
Subjects of micro-entrepreneurship are small businesses engaged in private enterprise, with an average annual number of employees not exceeding 15 people or an average annual income not exceeding 30,000 MCI (79.5 million KZT), established by the law on the national budget and effective as of January 1 of the relevant fiscal year.
Subjects of small business are individual entrepreneurs without legal entity and legal entities engaged in entrepreneurship, with an average annual number of employees not more than 100 people and an average annual income not exceeding 300,000 MCI (795 million KZT), established by the law on the national budget and in force as of 1 January of the financial year.
Subjects engaged in the following activities are not exempt from tax:
1) activities related to the turnover of narcotic drugs, psychotropic substances, and precursors;
2) production and (or) wholesale sale of excisable products;
3) activities related to storage of grain at grain reception centers;
4) conducting a lottery;
5) activities in the gambling business;
6) activities related to the circulation of radioactive materials;
7) banking activities (or certain types of banking operations) and activities in the insurance market (except for activities of an insurance agent);
8) auditing activities;
9) professional activity at the securities market;
10) activities of credit bureaus;
11) security activity;
12) activities related to the turnover of civil and service weapons and ammunition for them;
13) activities in subsoil use, including activities of miners;
14) sale of minerals, including activities of traders, activities on sale of coal and oil;
15) retail sale of certain petroleum products of gasoline, diesel fuel, and fuel oil;
16) foreign economic activity.
Please, join our Telegram channel to stay up to date on the latest news.
Leave comment:
Comments: