Standard VAT rate — 16% (from 1 January 2026)

The standard VAT rate in Kazakhstan is 16% under the Tax Code No. 214-VIII effective 1 January 2026 — increased from 12% under the previous Tax Code No. 120-VI dated 25 December 2017. The VAT registration threshold is KZT 41,480,000 per calendar year (reduced from 20,000 MCI under the previous Tax Code). VAT is levied on: the supply of goods and services in Kazakhstan by VAT-registered taxpayers; the import of goods into Kazakhstan; and the receipt of services from foreign suppliers where the place of supply is deemed to be Kazakhstan (reverse charge). VAT-registered entities collect output VAT on their taxable supplies and offset it against input VAT on their purchases — paying the net VAT to the state budget.

VAT registration threshold and obligations

Kazakhstani legal entities conducting taxable activities with annual turnover exceeding the VAT registration threshold are required to register for VAT. Voluntary registration is also available below the threshold. Foreign companies without a registered presence in Kazakhstan but supplying digital services to Kazakhstani consumers are subject to VAT registration obligations under the electronic services VAT rules. Bond Stone advises on VAT registration obligations for foreign investors establishing operations in Kazakhstan. The VAT registration threshold under the new Tax Code is KZT 41,480,000 per calendar year — reduced from 20,000 MCI under the previous Tax Code, which will bring more businesses into the VAT net from 2026.

Import VAT

Goods imported into Kazakhstan are subject to VAT at the point of importation — VAT at the standard rate (16% from 1 January 2026) on the customs value plus customs duties. Import VAT is generally recoverable by VAT-registered importers as input VAT in the VAT period of importation. However, VAT on imports of goods placed under specific customs procedures — such as the free customs zone procedure in SEZs — is suspended during the period goods remain within the SEZ. Bond Stone advises on import VAT planning for investors importing equipment, components, and raw materials into Kazakhstan.

Reverse charge — foreign services

Services received from foreign suppliers are subject to reverse charge VAT where the place of supply is deemed to be Kazakhstan — the Kazakhstani recipient accounts for output VAT on the service value and simultaneously deducts it as input VAT (subject to normal input VAT deduction rules). Common affected services: management services, technical services, IT services, licences, and royalties received from foreign group entities. Bond Stone advises on reverse charge VAT obligations as part of intercompany structuring mandates.

VAT refund — IPP construction costs

Investment Priority Project holders are entitled to a refund of VAT paid on construction and installation works related to the qualifying investment project — under the provisions of the Tax Code applicable to investment tax preferences. The VAT refund is available on costs of constructing new production facilities or expanding existing ones under the investment contract. Bond Stone advises on the VAT refund application procedure and documentation requirements for IPP holders.

SEZ — VAT exemptions

Goods placed under the free customs zone (FCZ) procedure within a Kazakhstani Special Economic Zone are exempt from VAT during the period they remain within the SEZ. When goods are transferred from the SEZ into the Kazakhstani domestic market (i.e. released for free circulation), import VAT and customs duties become payable. Bond Stone advises SEZ residents on managing VAT under the FCZ procedure and on the VAT implications of goods flows between the SEZ and the domestic market.

VAT Registration — Foreign Investor

VAT · Kazakhstan · Corporate

Advising a foreign investor establishing a Kazakhstani subsidiary on VAT registration obligations — threshold analysis, mandatory vs voluntary registration, filing frequency, and VAT compliance setup for the new entity.

Import VAT — Equipment Importation

VAT · Kazakhstan · Manufacturing

Advising an investor on import VAT planning for equipment imported into Kazakhstan — recovery of import VAT as input VAT, interaction with investment contract customs duty exemption, and SEZ FCZ procedure as an alternative to outright importation.

Reverse Charge — Intercompany Services

VAT · Kazakhstan · Corporate

Advising on reverse charge VAT obligations on management fee and technical services payments from a Kazakhstani subsidiary to its foreign parent — output VAT accounting, input VAT recovery, and net VAT position.

VAT Refund — IPP Construction

VAT · Kazakhstan · Manufacturing

Advising an IPP holder on VAT refund claims for construction and installation costs — documentation requirements, refund application procedure, timeline for VAT recovery, and interaction with the investment contract approval process.

SEZ FCZ — VAT Compliance

VAT · Kazakhstan · SEZ

Advising an SEZ resident on VAT compliance under the free customs zone procedure — goods flow documentation, output VAT on domestic market transfers, and managing the FCZ to domestic market VAT trigger point.

Digital Services VAT — Foreign Supplier

VAT · Kazakhstan · Technology

Advising a foreign IT company supplying digital services to Kazakhstani customers on VAT registration obligations — electronic services VAT rules, registration procedure, quarterly filing, and VAT collection on B2C supplies.