VAT in Kazakhstan: rate, payers, calculation, offset, accounting, invoice, turnover, etc.

VAT payment deadline for the first quarter of 2020

VAT is calculated based on the results of the quarter and transferred to the budget in equal shares no later than the 25th day of each of the three months following the reporting quarter.
If the 25th falls on a non-working day, the VAT payment deadline is postponed. The tax must be paid no later than the first working day following the non-working day (Clause 7, Article 6.1 of the Tax Code of the Russian Federation). In 2020, the amount of VAT accrued for payment to the budget for the first quarter must be transferred in equal installments no later than April 25, May 25 and June 25. Moreover, April 25, 2020 falls on a Saturday, so the last day for paying the first third of VAT for the first quarter of 2020 is April 27, 2020.

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This is a generally established procedure that follows from the Tax Code of the Russian Federation (Article 163, paragraph 1 of Article 174 of the Tax Code of the Russian Federation). However, some organizations and individual entrepreneurs may transfer VAT for the first quarter of 2020 to the budget later than usual.

According to Decree of the President of the Russian Federation dated April 2, No. 239, the entire month of April was declared non-working. The following period from May 1 to May 5 falls on non-working holidays and weekends. This means that VAT can be paid on the first working day - May 6.

Organizations and individual entrepreneurs that continue to operate during non-working periods (Presidential Decree No. 239) pay the first third of VAT for the first quarter according to the old rules - no later than April 27.
Table 1. VAT payment deadlines including non-working days in 2020

The deadline for submitting the VAT return for the first quarter of 2020, in contrast to the deadline for its payment, has been postponed for all taxpayers. You can report VAT for the first quarter of this year no later than May 15. The same deadline - May 15 - was established by Decree of the Government of the Russian Federation of April 24, 2020 No. 570 for the submission of logs of received and issued invoices.

VAT in Kazakhstan: rate, payers, calculation, offset, accounting, invoice, turnover, etc.

Turnovers on the sale of the following goods, works, services, the place of sale of which is the Republic of Kazakhstan, are exempt from value added tax:

1) specified in Articles 395 - 398 of this Code;

2) excise stamps (registration and control stamps intended for marking excisable goods in accordance with Article 172 of this Code);

3) buildings, structures sold by the state Islamic special financial company to the authorized body for the management of state property, previously acquired under agreements concluded in accordance with the terms of issue of state Islamic securities, and land plots occupied by such property;

4) services for the provision by a state Islamic special financial company for temporary possession and use under property lease agreements (lease) of buildings, structures acquired under agreements concluded in accordance with the terms of issue of state Islamic securities, and land plots occupied by such property;

5) property transferred free of charge to a state institution or state enterprise in accordance with the legislation of the Republic of Kazakhstan;

6) property in the form of winnings issued by the lottery operator to the lottery participant;

7) services to ensure information and technological interaction between settlement participants, including the provision of services for collecting, processing and distributing information to settlement participants on transactions with payment cards and electronic money;

services for processing and (or) repair of goods imported into the customs territory of the Eurasian Economic Union with placement under the customs procedure of processing in the customs territory;

9) services within the framework of the activities of a cooperative of owners of premises (apartments) for managing the common property of a condominium object, carried out in accordance with the legislation of the Republic of Kazakhstan on housing relations;

10) banknotes and coins of national currency;

11) goods, works, services, if in the tax period in which the sale was made, as well as for the four previous tax periods, one of the following conditions is met:

the average number of disabled people is at least 51 percent of the total number of employees;

labor costs for disabled people amount to at least 51 percent (in specialized organizations that employ people with hearing, speech, and vision disabilities - at least 35 percent) of the total labor costs.

The provisions of this subparagraph do not apply to turnover in the sale of excisable goods.

In relation to sales turnover under long-term contracts, the provisions of this subparagraph are applied subject to compliance with the conditions established by this paragraph during the entire period of validity of such a contract;

12) works, services for free repair and (or) technical maintenance of goods during the warranty period of their operation established by the transaction, including the cost of spare parts and parts for them, if the terms of the transaction provide for the taxpayer to provide a guarantee of the quality of goods sold, work performed, services rendered;

13) unless otherwise established by Article 392 of this Code, investment gold in the form of bars and plates on the basis of a transaction concluded on the stock exchange, or if one of the parties to such a transaction is a second-tier bank, legal entities having, in accordance with the Law of the Republic of Kazakhstan, " On Currency Regulation and Currency Control" the right to purchase and sell refined gold in bullion issued by the National Bank of the Republic of Kazakhstan through its exchange offices, a legal entity - a professional participant in the securities market or the National Bank of the Republic of Kazakhstan;

14) was valid until 01/01/19.

15) services of a tour operator for inbound tourism;

16) borrowing operations in cash on the terms of payment, urgency and repayment;

17) goods placed under the customs procedure of duty-free trade;

18) scrap and waste of non-ferrous and ferrous metals;

19) services for religious associations to conduct religious rites and ceremonies in accordance with the legislation of the Republic of Kazakhstan;

20) religious items by religious associations registered with the justice authorities of the Republic of Kazakhstan.

The list of specified goods and the criteria for its formation are approved by the Government of the Republic of Kazakhstan;

21) funeral services of funeral homes, services of cemeteries and crematoriums;

22) special social services provided by non-profit organizations in accordance with the legislation of the Republic of Kazakhstan on special social services;

23) services for holding socially significant events in the field of culture, spectacular cultural events carried out within the framework of a state assignment in accordance with the legislation of the Republic of Kazakhstan on culture;

24) services for the implementation by museums of cultural, educational, scientific and research functions and ensuring the popularization of the historical and cultural heritage of the Republic of Kazakhstan;

25) services for the implementation by libraries of informational, cultural, educational functions;

26) services and work in the field of culture and education provided by theaters, philharmonic societies, cultural and leisure organizations;

27) scientific and restoration work on historical and cultural monuments, carried out on the basis of a license for the right to carry out this type of activity;

28) educational services in the field of preschool education and training;

29) services for additional education provided by an educational organization that has a license to engage in educational activities;

30) educational services in the field of primary, basic secondary, general secondary, technical and vocational, post-secondary, higher and postgraduate education, carried out under appropriate licenses for the right to carry out these types of activities;

31) services for the implementation by autonomous educational organizations that meet the conditions of subparagraph 2) or 4) of paragraph 1 of Article 291 of this Code, types of activities defined by subparagraph 2) of paragraph 1 of Article 291 of this Code;

32) services for the provision of temporary use of library collections, including in electronic form, by educational organizations licensed to engage in educational activities, as well as autonomous educational organizations specified in subparagraphs 2), 4) and 6) of paragraph 1 of Article 291 of this Code;

33) medicines of any form, including pharmaceutical substances (active pharmaceutical substances), medical products, including prosthetic and orthopedic products and audiophile equipment, as well as materials and components for their production;

34) medicines of any form used (used) in the field of veterinary medicine, including pharmaceutical substances (active pharmaceutical ingredients); products for veterinary purposes, including prosthetic and orthopedic products, and veterinary equipment; materials and components for the production of medicines of any form used (used) in the field of veterinary medicine, including pharmaceutical substances (active pharmaceutical ingredients) and veterinary products, including prosthetic and orthopedic products, and veterinary equipment;

35) services in the form of medical care in accordance with the legislation of the Republic of Kazakhstan (including when carrying out medical activities that are not subject to licensing), provided by a healthcare entity that has a license to carry out medical activities;

36) services in the field of sanitary and epidemiological welfare of the population provided by the state organization of sanitary and epidemiological service in accordance with the legislation of the Republic of Kazakhstan in the field of healthcare;

37) services provided in the field of veterinary medicine:

individuals or legal entities licensed to carry out activities in the field of veterinary medicine;

individuals and legal entities included in the state electronic register of permits and notifications for carrying out entrepreneurial activities in the field of veterinary medicine, provided for by the legislation of the Republic of Kazakhstan in the field of veterinary medicine;

state veterinary organizations created in accordance with the legislation of the Republic of Kazakhstan in the field of veterinary medicine;

38) vehicles and (or) agricultural machinery while simultaneously meeting the following conditions:

the vehicle and (or) agricultural machinery being sold includes previously imported raw materials and (or) materials that are exempt from value added tax in accordance with subparagraph 15) of paragraph 1 of Article 399 or subparagraph 4) of paragraph 2 of Article 451 of this Code;

the import of raw materials and (or) materials as part of the vehicle and (or) agricultural machinery being sold was carried out by a legal entity selling the specified vehicles and (or) agricultural machinery;

vehicles and (or) agricultural machinery are included in the list of vehicles and agricultural machinery, the sale of which is exempt from value added tax, approved by the authorized body in the field of state support of industrial and innovative activities in agreement with the central authorized body for state planning and the authorized body;

39) goods, works and services sold on the territory of the special economic zone “International Center for Cross-Border Cooperation “Khorgos”;

40) research work carried out on the basis of contracts for the implementation of a state task;

Subclause 41 is valid until January 1, 2027

41) goods, works, services sold by an organization specializing in improving the quality of loan portfolios of second-tier banks, the sole shareholder of which is the Government of the Republic of Kazakhstan, for the types of activities provided for in Article 292 of this Code;

42) services provided by physical culture and sports organizations on the basis of contracts for the implementation of state assignments;

Subclause 43 was amended in accordance with the Law of the Republic of Kazakhstan dated December 28, 2018 No. 211-VI (see previous edition)

43) pharmaceutical services, services for accounting and sale of medicines and medical devices within the framework of transfers from the budget to the social health insurance fund to pay for the guaranteed volume of free medical care;

The article was supplemented with subparagraph 43-1 in accordance with the Law of the Republic of Kazakhstan dated December 28, 2018 No. 210-VI (came into force on January 1, 2020)

43-1) goods produced and sold in the territory of the special economic zone “Astana - New City”, while simultaneously meeting the following conditions:

goods are completely consumed during the construction and commissioning of infrastructure facilities, hospitals, clinics, schools, kindergartens, museums, theaters, higher and secondary educational institutions, libraries, schoolchildren's palaces, sports complexes, administrative and residential complexes in accordance with the design estimates documentation;

goods are included in the list of goods approved by the authorized state body that carries out state regulation in the field of creation, operation and abolition of special economic zones, in agreement with the central authorized body for state planning and the authorized body;

existence of an agreement (contract) for the supply of goods with organizations carrying out construction of infrastructure facilities, hospitals, clinics, schools, kindergartens, museums, theaters, higher and secondary educational institutions, libraries, school palaces in the territory of the special economic zone “Astana - New City” , sports complexes, administrative and residential complexes;

availability of copies of shipping documents confirming the shipment of goods;

availability of copies of documents confirming receipt of goods by the buyer.

For the purposes of this article, goods completely consumed during the construction process are understood as goods directly involved in the construction of infrastructure facilities, hospitals, clinics, schools, kindergartens, museums, theaters, higher and secondary educational institutions, libraries, schoolchildren's palaces, sports complexes , administrative and residential complexes (except for electricity, gasoline, diesel fuel and water), provided that such goods are placed by the supplier and buyer under the customs procedure of a free customs zone and are under customs control, if such goods are subject to placement under the procedure of a free customs zone in accordance with with the customs legislation of the Republic of Kazakhstan;

44) works and services performed and provided by a cinematographic organization for an investor in the production of films;

45) goods produced and sold by participants of the international technology park “Astana-Hub”, corresponding to the conditions of paragraph 4-3 of Article 293 of this Code;

The article is supplemented by subparagraph 46 in accordance with the Law of the Republic of Kazakhstan dated December 26, 2018 No. 203-VI (entered into force on January 1, 2020, valid until January 1, 2029)

46) works, services sold by participants of the international technology park “Astana-Hub”, corresponding to the conditions of paragraph 4-3 of Article 293 of this Code.

The list of goods specified in subparagraph 33) of part one of this article is approved by the authorized body in the field of healthcare in agreement with the central authorized body for state planning and the authorized body.

The list of goods specified in subparagraph 34) of part one of this article is approved by the authorized body in the field of development of the agro-industrial complex in agreement with the central authorized body for state planning and the authorized body.

The list of works and services specified in subparagraph 44) of part one of this article is approved by the central executive body that carries out management and intersectoral coordination in the field of cinematography, in agreement with the central authorized body for state planning and the authorized body.
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Deadlines for payment of import VAT in 2020

In 2020, VAT when importing goods from the EAEU countries must be paid “import” VAT within the usual time limits - no later than the 20th day of the month following the one in which (clause 19 of Appendix 18 to the Treaty on the EAEU):

• the goods have been accepted for accounting;
• the payment deadline under the leasing agreement has arrived (if goods are imported into Russia under a leasing agreement, which provides for the transfer of ownership of the goods to the lessee).

Table 2. Deadlines for payment of import VAT in 2020

What is the value of the VAT tax period?

The tax period for VAT is

quarter. This value is determined by the norm contained in Art. 163 Tax Code of the Russian Federation.

Tax legislation regulates cases in which the registration of a taxpayer is carried out during such a period. For example, if a registration certificate was received by an enterprise after January 1, then the tax period will start on the date indicated in this document. There is a separate rule on this matter, contained in paragraph 2 of Art. 55 Tax Code of the Russian Federation.

A similar situation arose with the moment of liquidation of the taxpayer as a business entity. Tax period for VAT from 2014

year does not change, and in such circumstances the legislation considers it to be equal to the time interval that has passed from the beginning of the next quarter until the moment of liquidation or reorganization. This date is taken from the record sheet on the withdrawal of the organization from the register (clause 3 of Article 55 of the Tax Code of the Russian Federation).

Deadlines for payment of VAT by tax agents and special regime officers in 2020

The deadlines for paying VAT for tax agents and special authorities who accidentally or intentionally issued an invoice to the buyer differ from the standard ones. So, companies and individual entrepreneurs that:

• purchase works or services from foreign companies that are not registered for tax purposes in Russia and are recognized as tax agents. They transfer VAT to the budget simultaneously with the payment of money to the “foreigner”;
• special regimes apply; when issuing an invoice to the buyer with the allocated amount of VAT, they must pay it to the budget by the 25th day of the month following the reporting quarter. For example, a simplified tax system company that issued an invoice to the buyer in February 2020 must transfer the entire amount of VAT for the first quarter no later than April 27, 2020.