Registration and running a business in Kazakhstan: advantages, taxation features and available forms of companies

Advantages of opening companies in Kazakhstan

Located at the crossroads of Europe and Asia, Kazakhstan offers strategic business opportunities due to its stable economy, rich natural resources and access to international markets through participation in the Eurasian Economic Union (EAEU). Kazakhstan’s legal framework, which is favorable to foreign investors, promotes the development of entrepreneurship, especially in the areas of industry, trade and IT. In addition, Kazakhstan is actively developing the financial sector, offering special conditions for companies in the Astana International Financial Center (AIFC), which provides a preferential tax regime and a simplified registration procedure.

Step-by-step process of registering a company in Kazakhstan

Selecting a unique Company names: The name must be checked for uniqueness in the Ministry of Justice database to avoid conflicts with other companies.
Preparation of statutory documents: In This stage includes the preparation of the company’s charter, which defines the corporate structure, overall activities, and owner shares. The charter must be certified by a notary.
Submission of documents for registration: The company is registered with government agencies, where the statutory documents, application for registration and other required documents. Registration takes approximately 3-5 business days. Obtaining a tax number (BIN): In order to conduct commercial activities, a company must obtain a BIN (business identification number) from the tax authorities, which gives it the right to fulfill all tax obligations.
*Opening a bank account: After completing the company registration, a bank account is opened in a local bank, which is necessary for financial transactions.

Organizational and legal forms for non-residents

Kazakhstan offers several options for company forms for foreigners:

– Limited Liability Company (LLC): The most common form for small and medium-sized businesses. Owners are liable only to the extent of their investment. founders.

– Joint-Stock Company (JSC): A more formal structure suitable for large companies and businesses planning to attract investment through the issue of shares . Shares can be preferred or ordinary, and the process of registering a JSC itself requires a certain minimum capital.

– International Financial Center “Astana” ( AIFC): A special legal zone for companies engaged in financial activities. AIFC offers simplified registration and preferential tax conditions, including exemption from certain taxes.

Features of taxation in Kazakhstan

The tax system of Kazakhstan is quite transparent and attractive for business. The basic corporate tax rate is 20%, and the value added tax (VAT) is 12%. Special tax regimes at preferential rates are provided for small businesses. Dividends paid to non-residents are taxed at a rate of 15%, however, if an agreement on the avoidance of double taxation has been signed between the countries, the rate can be reduced. In addition, companies operating in the AIFC are exempt from corporate tax, VAT and dividend tax for a period of up to 50 years.

Features of doing business in Kazakhstan

Kazakhstan provides a favorable environment for business with developed infrastructure and simplified registration procedures. Features of doing business include:

Access to the EAEU market: Kazakhstan is a member of the Eurasian Economic Union, providing companies with access to a large common market, which includes Russia, Belarus, Armenia and Kyrgyzstan.

SEZ in Kazakhstan:

SEZ “Astana – New City”:Located in the country’s capital, this zone is aimed at developing innovative technologies, construction and production of building materials.
SEZ “Chemical Park Taraz”:Specializes in the chemical industry, offering investors opportunities to produce high-value-added chemical products.
Pavlodar SEZ:Focuses on developing the metallurgical and chemical industries, using the region’s rich natural resources.

Terms for investors:

Regulatory flexibility: Kazakhstan actively supports foreign investment and offers simplified procedures for entering the market. In particular, registration and tax accounting can be completed in the shortest possible time. Opening and running a business in Kazakhstan for non-resident companies requires compliance with certain requirements, in particular on management, accounting and tax reporting.

Company Management:

Director: The company must have at least one director. Kazakhstani legislation does not impose any requirements for the residency of the director, i.e. he or she can be either a resident or a non-resident of the country. However, for effective management and interaction with local authorities, it is recommended to appoint a director familiar with local legislation and business practices.
Founders:A company may have one or more founders, who may be either individuals or legal entities. There are no requirements for the residency of founders.

Accounting and reporting:

Record keeping:Companies are required to maintain accounting records in accordance with International Financial Reporting Standards (IFRS). This ensures transparency of financial activities and compliance with international standards.
Financial reporting:Companies must annually prepare and submit financial statements to the tax authorities. Joint-stock companies may be required to undergo an external audit.
Tax reporting:Companies are required to file tax returns and pay taxes in accordance with the established deadlines.

Other requirements:

Legal address:The company must have a registered legal address in Kazakhstan. This can be either your own premises or rented ones.
Real presence (substance):Although the law does not require the mandatory presence of an office or staff, in practice banks and tax authorities may require confirmation of the real economic presence of the company in the country. This may include the presence of an office, local staff, or the implementation of real economic activity.

Advantages of cooperation with Finance Business Service

Finance Business Service provides full support at all stages of opening a company in Kazakhstan: from consultations and document preparation to obtaining a tax number and opening accounts. Our team helps optimize the structure of your business in accordance with the current needs and regulatory requirements of the country. You will be able to effectively launch a business project in Kazakhstan with the support of experienced experts in the field of corporate and tax law.

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