The Ministry of Finance of the Republic of Kazakhstan continues a series of meetings with large businesses, representatives of SMEs and local authorities in the regions of Kazakhstan. A meeting on taxation of the mining and metallurgical industry of the country was held in Karaganda today.
Karaganda region is a mineral resource region of Kazakhstan, where significant reserves of coal, iron-manganese and polymetallic ores and other minerals are concentrated.
There are 604 subsurface users in the region, including Kazakhmys and Qarmet. 113 thousand people or more than 20% of the employed population of the region are involved in the mining and manufacturing industries. For 10 months of this year, tax revenues from enterprises in the region amounted to more than 507 billion tenge.
Finance Minister Madi Takiev and Akim of Karaganda region Ermaganbet Bulekpayev informed entrepreneurs of three regions (Karaganda, Pavlodar and Akmola regions) that the new Tax Code is aimed at supporting businesses by optimizing tax administration.
In particular, the new Tax Code proposes to exclude payments where there is no significant fiscal return.
"In his Message to the People of Kazakhstan, the Head of State instructed the Government to work on improving business conditions. The new tax code proposes to transfer the unified land tax (EDT) to the individual income tax. It is proposed to combine 3 fees: for the use of water resources, for forest use and for the use of wildlife. In general, the number of payment rates will be reduced by 77. It is proposed to reduce 6 types of fees. According to them, 34 types of bets will be excluded. 5 types of state duties are also excluded, the rates on them will be reduced by 51," Finance Minister Madi Takiev said.
"Universal" investment incentives will be provided for all categories of taxpayers, regardless of the size of the entity.
Investment tax preferences are offered in the form of a one-time 100% deduction of costs for the purchase/construction of buildings, structures, machinery, equipment, software without reference to its functional purpose. In addition, a reduced income tax rate is proposed for the production and sale of own-made products.
Yerlan Sagnaev, Director of the Department of Tax and Customs Policy of the Ministry of National Economy of the Republic of Kazakhstan, said that the draft of the new Tax Code provides for measures that will preserve production at dwindling fields. "For the extraction of minerals from man-made mineral formations, it is proposed to establish reduced mineral extraction tax rates. We expect that these measures will provide additional revenues to the budget by improving financial indicators and increasing production volumes," said the Director of the Department of Tax and Customs Policy of the Ministry of National Economy of the Republic of Kazakhstan.
The participants of the meeting expressed confidence that open dialogue and cooperation will help to find effective solutions that will ensure further sustainable growth of the mining and metallurgical industry, stable budget revenues and overall strengthening of the country's economy.
After the meeting with business representatives, the Finance Minister visited the workshops of the largest steel and mining company in our country, Qarmet.

Source : https://www.gov.kz/memleket/entities/minfin/press/news/details/875835