NUR-SULTAN – The Kazakh government has approved suspending the universal declaration and tax penalty cancellation. Following two readings, the Senate (upper house of Parliament) adopted the amendments June 24 on regulating and developing the financial market, microfinance activities and taxation.
The document proposes phasing in the universal declaration.
In the first stage, the plan would be postponed from Jan. 1, 2020 to Jan. 1, 2021. Individuals holding a responsible government office and their spouses, those who serve in state bodies and their spouses and those who hold a position equivalent to civil service and their spouses will be required to provide the declaration in accordance with the legislation.
In the second stage, employees of state institutions and their spouses and those of the quasi-state sector and their spouses will be subject to the initial declaration beginning January 2023.
The initial declaration for the heads and founders of legal entities and their spouses and entrepreneurs and their spouses will be introduced in the third stage starting Jan. 1, 2025.
Plans are underway to write off penalties on individuals for tax liabilities for tax periods through January 2019, subject to repayment of the principal debt by the end of the year. Cancellation of penalties is proposed for property and land tax obligations for tax periods up to January 2018, taking into account the deadline for payment is before October.
The law also provides for creating the Agency for Regulation and Development of Financial Markets reporting directly to the President. As a result, all entities providing financial services, including mortgage, insurance and collection organisations, will be transferred to the agency’s bureau.