30.04.2024
Changes in the tax legislation for desk audits in Kazakhstan
On 12 December 2023, the President of the Republic of Kazakhstan (the RK) signed the Law of the RK "On Amendments and Additions to the Code of the Republic of Kazakhstan "On Taxes and Other Obligatory Payments to the Budget" (the Tax Code) and the Law of the RK "On Enactment of the Code of the Republic of Kazakhstan "On Taxes and Other Obligatory Payments to the Budget" (the Tax Code)", providing for important changes and amendments in the field of desk control. They will come into force 60 calendar days after the first official publication of the Law - 12 February 2024.
• A taxpayer is exempt from the obligation to attach extracts from tax and accounting registers and documents relating to the said violations to an explanation of disagreement with the violations identified by a desk audit.
• Instead of attaching copies of documents confirming the fact that transactions specified in the violations were carried out, a taxpayer will be obliged to indicate the circumstances of the relevant transactions confirmed by the documents.
• The obligation to provide an explanation specifying the circumstances of the disagreement and attaching documents is retained only for high-risk notifications.
• State revenue authorities retain the right to make a decision to declare a notification unexecuted only in relation to high-risk notifications.
• A decision by a state revenue authority to recognise as unexecuted a notification on the elimination of violations identified by a desk audit is no longer grounds for suspending debit transactions on a taxpayer's bank accounts.
• The order to suspend debit transactions on bank accounts shall be cancelled within 1 business day following the day when the reasons for such suspension are eliminated.
• The grounds for conducting a thematic audit to determine the tax liability of a taxpayer in respect of which a state revenue authority has applied restrictions on the issuance of electronic invoices have been supplemented.
• The ground for a thematic audit "failure by a taxpayer (tax agent) to execute a notification" has been replaced by "confirmation of the existence of violations specified in the notification".
• Additional ways of informing a taxpayer of a decision to restrict the issuance of electronic invoices are introduced: by registered mail with notification or to the taxpayer against signature.
• A taxpayer (tax agent) is provided with the opportunity to submit complaints against a notification of the results of an audit through the e-government portal and to receive electronically decisions on such complaints from the state revenue authorities, certified by an electronic digital signature.
Source: State Revenue Committee of the MF RK (www.kgd.gov.kz/ru)
Amendments and additions on desk audit
• A taxpayer is exempt from the obligation to attach extracts from tax and accounting registers and documents relating to the said violations to an explanation of disagreement with the violations identified by a desk audit.
• Instead of attaching copies of documents confirming the fact that transactions specified in the violations were carried out, a taxpayer will be obliged to indicate the circumstances of the relevant transactions confirmed by the documents.
• The obligation to provide an explanation specifying the circumstances of the disagreement and attaching documents is retained only for high-risk notifications.
• State revenue authorities retain the right to make a decision to declare a notification unexecuted only in relation to high-risk notifications.
• A decision by a state revenue authority to recognise as unexecuted a notification on the elimination of violations identified by a desk audit is no longer grounds for suspending debit transactions on a taxpayer's bank accounts.
• The order to suspend debit transactions on bank accounts shall be cancelled within 1 business day following the day when the reasons for such suspension are eliminated.
• The grounds for conducting a thematic audit to determine the tax liability of a taxpayer in respect of which a state revenue authority has applied restrictions on the issuance of electronic invoices have been supplemented.
• The ground for a thematic audit "failure by a taxpayer (tax agent) to execute a notification" has been replaced by "confirmation of the existence of violations specified in the notification".
• Additional ways of informing a taxpayer of a decision to restrict the issuance of electronic invoices are introduced: by registered mail with notification or to the taxpayer against signature.
• A taxpayer (tax agent) is provided with the opportunity to submit complaints against a notification of the results of an audit through the e-government portal and to receive electronically decisions on such complaints from the state revenue authorities, certified by an electronic digital signature.
Source: State Revenue Committee of the MF RK (www.kgd.gov.kz/ru)