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

Article 43. Features of tax accounting by a trust manager fulfilling tax obligations for corporate and individual income taxes

1. In the event that a tax obligation for corporate and individual income taxes on trust management activity in accordance with Article 40 of this Code is fulfilled by a trust manager, income, expenses and assets from trust management of assets are income expenses and assets of the trust manager for income tax purposes.

Remuneration provided for by a trust management agreement or in other cases of the emergence of trust management of assets is included in the total annual income of a trust manager that is accounted separately from the proceeds from the trust management of assets.

Identifying a taxable item for trust management activity, a trust manager recognizes as deduction the amount of remuneration included in his/her/its total annual income that is accounted separately from the proceeds from the trust management of assets.

2. A trust manager shall draw up and submit a single corporate income tax declaration for all the activity, including that in the interests of the founder of trust management, and annexes to the declaration for trust management activity separately for each trust management agreement or another case of emergence of trust management of assets and other activities.

3. A trust manager that is a legal entity fulfills obligations for corporate income tax in accordance with the procedure set forth in this Code, with due regard to that:

the rate of corporate income tax on the activity on trust management of assets specified in paragraph 1 of Article 313 of this Code shall be applied;

the provisions of Chapter 29 and Section 21 of this Code for the activity on trust management of assets shall not apply;

special tax regimes for the activity on trust management of assets shall not apply.

4. In cases when the founder of trust management is a legal entity, a trust manager, who is an individual,:

fulfills a tax obligation for calculating individual income tax on the activity on trust management of assets at the rate specified in paragraph 1 of Article 313 of this Code without applying the provisions of Article 341 of this Code;

is not entitled to apply special tax regimes to the activity on trust management of assets;

fulfills other tax obligations for individual income tax in accordance with the procedure set forth in the Special Part of this Code for persons, including a trust manager.

5. In cases when the founder of trust management is a resident individual, a trust manager, who is an individual,:

fulfills a tax obligation for calculating individual income tax on the activity on trust management of assets without applying the provisions of Article 341 of this Code;

shall not be entitled to apply a special tax regime on trust management activity;

fulfills other tax obligations for individual income tax in accordance with the procedure set forth in the Special Part of this Code for persons, including a trust manager.

6. In cases when the founder of trust management is non-resident individual, a trust manager, who is an individual, fulfills tax obligations for individual income tax in accordance with the procedure determined by this Code, with due regard to that:

the rate specified in subparagraph 1) of paragraph 1 of Article 646 of this Code for the activity on trust management of assets shall be applied;

the provisions of Article 341 of this Code shall not apply;

special tax regimes shall not apply.

Footnote. Article 43 as amended by the Law of the Republic of Kazakhstan dated 02.04.2019 No. 241-VI (shall come into effect since 01.01.2018 ).