ASTANA – Declaring income and property, currently mandatory for Kazakh Parliament deputies, judges and several categories of individuals, including civil servants and those obliged by the constitutional law on elections, criminal executive code and law “On Combating Corruption,” will become obligatory for all citizens starting Jan. 1, 2020.
The practice will expand the tax base and increase income tax revenue to the budget, as well as contribute to combating corruption in governmental organisations and reducing the size of the shadow economy.
Submitting the tax declaration will be mandatory for adult Kazakh citizens, oralmans (ethnic Kazakhs who have immigrated back to Kazakhstan since its independence) and individuals with residence permits.
Minors will need to declare their income and property should they own housing construction shares, have property registered to them or cash in bank accounts, account receivables or accounts payable. Foreigners who own property or a share in housing construction in Kazakhstan will also be required to complete the declaration.
At their discretion, individuals may also declare an animal or plant, objects of cultural value, precious stones, jewellery, works of art, antiques and any other property such as intellectual rights.
In 2020, Kazakh citizens will submit a declaration of assets and liabilities, including apartments, houses, cars, bank accounts, cash at hand and any debts as of Dec. 31, 2019. They will then be required to submit an annual declaration of income and property acquired within the year. Individuals who did not acquire property or receive any income other than salary, pension and stipend will fill out a short one-sheet document.
The declarations will be due by July 15 if submitted in hard copy or Sept. 15 if submitted online.
Certain tax deductions will be available once the universal declaration is introduced. One parent from a large family will pay lower taxes by no more than 24 times the annual minimum wage. A reduction by no more than 10 times the minimum wage will be provided if the individual pays for studies, interest on bank loans and medical services.