On taxes and other obligatory payments to the budget (Tax Code)

Article 51. Order and conditions for deferrals or payment by installments of taxes and (or) fees

1. Deferrals or payment by installments of taxes and (or) fees is changing deadlines for the payment of taxes and (or) fees given the grounds provided for by this article, with one-time or phased payment of taxes and (or) fees, respectively.

Deferred one-time payment of taxes and (or) fees is allowed for a period not exceeding six months.

An installment plan with monthly or quarterly payment of taxes and (or) fees in equal installments is granted for a period not exceeding three years. At the same time, an installment plan for the payment of taxes and (or) fees for a period of more than one year can only be granted against the pledge of real estate of the taxpayer and (or) a third party and (or) against a bank guarantee.

Deferrals or payment by installments may be allowed for one or several taxes and (or) fees.

2. Deferrals or payment by installments of taxes and (or) fees may be allowed to a taxpayer whose financial position does not allow the payment of a tax and (or) fee before the prescribed deadline, but there are reasonable grounds to believe that the possibility of their payment will arise within the time period for which deferrals or payment by installments is allowed, given one of the following grounds:

1) damage to the taxpayer was caused as a result of force majeure (emergency situations of social, natural, technogenic, ecological nature, military actions and other circumstances of force majeure);

2) the production and (or) sale of goods, works or services by the taxpayer is seasonal;

3) the property status of an individual not registered as an individual entrepreneur (without regard to assets which, in accordance with the legislation of the Republic of Kazakhstan, may not be foreclosed on) rules out the possibility of one-time tax payment;

4) a court declared a decision to apply the procedure for resolving insolvency;

5) the taxpayer’s basic activity is part of an economic sector of strategic importance according to the laws of the Republic of Kazakhstan;

6) the taxpayer filed additional tax returns;

7) the taxpayer’s consent to the amounts of charged taxes and (or) fees specified in the audit findings report. The provisions of this subparagraph shall not apply to taxpayers whose period from the date of registration as a taxpayer to the date of filing an application for a deferral or installment is less than five years.

3. The following documents shall be attached to an application for changing a deadline for the fulfillment of a tax obligation to pay taxes and (or) fees:

1) a list of counterparties-debtors of a taxpayer with the prices of contracts concluded with relevant counterparties-debtors (the amount of other obligations and grounds for their emergence), and deadlines for their fulfillment, as well as copies of these contracts (documents confirming the existence of other grounds giving rise to an obligation). The provisions of this subparagraph do not apply to an individual not registered as an individual entrepreneur, a private practice owner;

2) documents confirming the existence of grounds for changing deadlines for the payment of taxes and (or) fees specified in paragraph 4 of this article;

3) documents on assets that can be a pledged item with an attached report of an appraiser on the market value of assets to be pledged or a bank guarantee agreement concluded between a guarantor bank and a taxpayer, and a bank guarantee. This appraiser’s report on the market value of pledged assets must be drawn up within ten business days prior to the taxpayer’s submission of an application for deferrals or payment by installments.

4. Documents confirming the existence of grounds for changing a deadline for the payment of taxes and (or) fees on the ground provided for by:

subparagraph 1) of paragraph 2 of this article areconfirmation by relevant authorized state bodies of the commencement of force majeure in respect of a taxpayer;

subparagraph 2) of paragraph 2 of this article are a document drawn up by a taxpayer to confirm that the share of his/her/its income from seasonal branches and activities in his/her/its total income from the sale of goods, works, services, is at least 50 percent;

subparagraph 3) of paragraph 2 of this article are data on the income for a year preceding the date of submission of the application, on movables and real estate of an individual, furnished by a relevant authorized body within ten business days prior tothe application’s submission.

5. A decision to change a deadline for the fulfillment of a tax obligation to pay taxes and (or) fees or to refuse to change it is made by a body authorized to make such a decision in accordance with Article 50 of this Code, within twenty business days from the receipt of the taxpayer’s application in the form established by the authorized body. Alongside this, a schedule for the tax obligation fulfillment shall be attached to the decision on granting an installment plan for the payment of taxes and (or) fees.

A decision to change a deadline for the fulfillment of a tax obligation to pay taxes and (or) fees shall take effect on the day of its signing.

6. A decision to refuse the change of a deadline for the fulfillment of a tax obligation to pay taxes and (or) fees must be well-reasoned.

7. The schedule for the fulfillment of a tax obligation may be revised on the basis of a motivated application of the taxpayer.

At the same time, the schedule for the tax obligation fulfillment can be revised no more than once.

Footnote. Article 51 as amended by Law of the Republic of Kazakhstan No. 213-VI dated 03.01.2019 (shall be enforced upon expiry of ten calendar days after the day of its first official publication); dated 10.12.2020 No. 382-VI (effective from 01.01.2021); dated 20.12.2021 No. 85-VII (shall be enforced from 01.03.2022); dated 21.12.2022 No. 165-VII (shall be enforced from 01.01.2023).