Kazakhstan needs new tax policy - president

Kazakhstan 21 January 2022 17:40 (UTC +04:00)

BAKU, Azerbaijan, Jan. 21


Kazakhstan needs a new tax policy, President Kassym-Jomart Tokayev said at a meeting with representatives of major business circles of the country, Trend reports on Jan. 21 via Akorda.

"We have data from specialized authorities, according to which high-profited giants evade full payment of taxes under various pretexts. I’m ordering the prime minister to finally resolve this problem and provide the treasury with the means due to it," Tokayev said.

Speaking about an effective tax policy, he reminded that by the end of 2020, state budget revenues amounted to $34.6 billion (14.6 trillion tenge) or 20 percent of GDP.

"This is clearly not enough to solve the most important state tasks. In the OECD countries, state budget revenues reach 40-50 percent of GDP. Even in our closest neighbor countries, this ratio is much higher: Ukraine - 40 percent, Russia - 35.4 percent, and Kyrgyzstan - 31 percent," he noted.

"Over 10 years, the share of taxes in the structure of the country's GDP decreased from 9.9 percent to 7.3 percent. Against this background, transfers from the National Fund have grown critically, from 2019 to 2021 – by 12 trillion tenge, that is, nearly $30 billion," Tokayev said.

Such a situation, according to him, requires the adoption of difficult decisions.

"We need a policy transparent and clear to both business and the government," added the president.