Foreign Taxation In Kazakhstan
Foreign individuals shall be registered in Kazakhstan taxation authorities in the following cases:
- Opening of the accounts in banks being tax residents of Kazakhstan
- Acquisition of income from Kazakhstan source non-taxable from source of payment in Kazakhstan
- Acquisition of tax resident status.
Tax registration is usually performed at the residential address indicated in foreigners’ migration card.
- of department of non-resident entity is performed based upon data of national registers of identification numbers, i.e. automatically after registration in justice authorities;
- of non-resident entity conducting its business in Kazakhstan through permanent agency without opening a branch, representative office – in taxation authorities by the place of location of permanent agency.
The residents are subject to taxation with regard to income earned both in Kazakhstan and abroad.
The non-residents are subject to taxation with regard to income from Kazakhstan sources only, irrespective of the place of payment.
As a rule, income is considered earned from Kazakhstan source if it is paid for works (services) performed (rendered) in Kazakhstan or income earned from a resident or non-resident acting in Kazakhstan through permanent agency. Kazakhstan source income includes interest, dividend and royalty return among other things.
Foreign individuals are deemed to be residents if they stay in the country for at least 183 days in any 12-month period which ends in the current tax period. An individual is considered as non-resident for a period following the last day of its stay in Kazakhstan if a person does not become a resident in a year following the year when a stay of that person in Kazakhstan expired.
Double taxation treaties may indicate different rules to define resident status.