BAKU, Azerbaijan, Aug.12
Trend:
Kazakhstan will introduce a VAT obligation on foreign e-companies from 2022, Vice Minister of Trade and Integration Asel Zhanasova said at the ministry’s board meeting, Trend reports citing LS Agency.
According to Zhanasova the obligation will be applied to the companies selling goods and providing electronic services.
“A notification procedure for registration is envisaged for them. Besides, they may not provide tax reporting. At the same time, the possibility of providing information on transactions to these companies by banks due to risks of double taxation of cross-border e-commerce entities, including within the EAEU [Eurasian Economic Union], is being considered,” she noted.
"We are working on the issue of amendments to the EAEU agreement. They will affect the collection of VAT in the implementation of internal electronic trade in goods in the Union. This is done to harmonize the procedure for the collection of indirect taxes in mutual trade on the Internet. It will also simplify their control," the official further said.
All this, according to the speaker, should increase the share of e-commerce to 15 percent. The number of online customers will grow to 7.7 million in 2025.
Meanwhile, according to Zhanasova, the volume of the e-commerce market in Kazakhstan has grown to 1.1 trillion tenge ($2.6 billion) in 2020 against 700 billion tenge ($1.65 billion) in 2019. The share in the retail segment made up 9.7 percent.