UPDATE: Kazakhstan delays VAT on foreign e-services to 2021

3 February 2020

Kazakhstan has postponed extending its Value-Added Tax (VAT) system to include digital services supplied by non-resident (foreign) companies to 1 January 2021.

At present, foreign businesses providing digital services in Kazakhstan do not have to charge VAT on their sales. However, in an effort to remove the unfair advantage this gives to non-resident companies over Kazakh resident providers, the Kazakhstan government has announced that VAT at 20% will be applied on these types of transactions from January 2021.

The new tax will apply to a range of electronic services including streaming games, music, apps, films, e-books, e-journals and internet services.
 

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