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

Article 712-4. General provisions

1. For the purposes of this Code, a person who entered into an agreement on investment obligations is a legal entity that corresponds simultaneously to the following conditions:

1) in accordance with the Entrepreneurial Code of the Republic of Kazakhstan, an agreement on investment obligations was concluded with the Government of the Republic of Kazakhstan;

2) is a commodity producer, with the exception of subsoil users extracting hydrocarbon minerals and petroleum products producers. For the purposes of this Chapter, a commodity producer is understood to be a legal entity whose total annual income for the year preceding the year of filing an application for concluding an investment obligation agreement is at least seventy percent, which is the income from the sale of goods of its own production or from the sale of minerals extracted by such person (or) products obtained as a result of processing by such a person of minerals;

3) is a subject of large or medium business in accordance with the Entrepreneur Code of the Republic of Kazakhstan;

4) does not perform activities for production of excisable goods;

5) does not apply special tax regimes.

2. In case of early termination of the agreement on investment obligations, the guarantee of stability of the tax legislation of the Republic of Kazakhstan, provided for in Article 712-5 of this Code, is canceled from the date of its conclusion, with the exception of the case provided for in part three of this paragraph.

In the case, indicated in part one of this paragraph, the taxpayer, no later than thirty calendar days from the date of termination of the agreement on investment obligations, is obliged to submit additional tax reporting for tax periods starting from the date of conclusion of this agreement until the date of its termination inclusive.

If at the time of termination of the agreement on investment obligations, at least ninety percent of the amount provided for by the Entrepreneurial Code of the Republic of Kazakhstan for such agreements, was financed, the guarantee of stability of the tax legislation of the Republic of Kazakhstan, provided for in Article 712-5 of this Code, is canceled from January 1 of the year, in which the agreement on investment obligations is terminated.

Footnote. Article 712-4 as amended by the Law of the Republic of Kazakhstan dated 21.12.2022 No. 165-VII (shall be enforced from 01.01.2023).