Why Kazakhstan?
The barrier to entry into the Kazakh market is minimal, and labor and legal regulations are very simple. At the same time, the level of automation tools that are used there - electronic digital signatures, electronic invoices and others - is very high. There is no language barrier as such, all procedures can be carried out in Russian, and this is absolutely within the law in this country.
Opening an office in Kazakhstan
When opening an office in Kazakhstan, it is necessary to choose the type of ownership of the future company. There are two options here:
- you open an independent legal entity;
- you open a branch, that is, a representative office of the parent company.
Stages and terms of the registration process. Required documents
If the founder is an individual, to register in the country it is necessary to obtain an Individual Identification Number (IIN), then obtain an electronic digital signature, prepare the necessary documents (charter, decision of the founders, memorandum of association, if necessary) and register a legal entity through the e-government portal.
When registering a legal entity with foreign participation, the stages will be as follows:
- Registration of a power of attorney from a legal entity to create a legal entity in Kazakhstan. For the first head - an order of appointment to a position (with the seal of a legal entity) and / or a certificate from the place of work (with a seal of a legal entity).
- Obtaining for the first head of the IIN in Kazakhstan.
- Obtaining an electronic digital signature (EDS) of a legal entity for the first head.
- Drawing up the charter, memorandum of association, decision on the creation of a legal entity.
- Registration of a legal entity through the e-government portal.
To obtain an electronic digital signature (EDS), you must submit to the embassy or consulate of Kazakhstan in your country identification documents (original and electronic copy in pdf format), a notification of IIN assignment and a USB drive.
To open a corporate bank account, you will need two documents with sample signatures; a copy of the identity document of the person authorized to sign payment documents when performing operations related to maintaining the current account of the client; questionnaire, including information on the final beneficiaries; power of attorney; BIN and, possibly, additional documents at the request of the bank.
According to official data, the registration of a legal entity can be carried out in ten working days. This procedure took us 1.5 months, as it took time to prepare all the necessary documents. Registration of a legal entity without obtaining a legal address will cost $150.
Main types of taxes in Kazakhstan
Corporate income tax
The main tax that is usually of interest to an entrepreneur is income tax. In Kazakhstan, it is called "corporate income tax" (CIT). Its base rate is 20%. At the same time, permanent establishments of foreign legal entities are taxed on the net income of branches in the amount of 15%. Ultimately, the effective rate reaches 32%.
VAT
When companies are just starting out, they may not register for VAT until their total taxable turnover reaches 20,000 times the monthly calculation index (MCI) in a calendar year.
The rate can be:
- base 12%;
- zero (applied when exporting goods from Kazakhstan).
Other types of taxes
- Personal income tax: 10%. It is withheld from individuals, the employer transfers it to the tax service from its employees.
- Social tax: 9.5% (since January 1, 2025 - 11%). It is withheld from employers.
- Social contributions: 3.5% (since January 1, 2025 - 5%). They are actually included in the social tax. The maximum amount for which they are charged is seven minimum wages. The minimum wage in Kazakhstan for 2022 is 60 thousand tenge, or about 8 thousand rubles.
- Mandatory pension contributions: 10% (the maximum income for calculating the base is 50 times the minimum wage (MW)). That is, if an employee receives more than 3 million tenge, everything that goes in excess of this income is not taken into account in the tax. From January 1, 2023, there will be an additional burden on the employer: 5%, which will be paid on top of this amount.
- Compulsory medical insurance, excises. Compulsory medical insurance is charged on 10 MMW. Excise taxes are expected for special types of activities.