According to the amendments and additions to the Tax Code, retrospectively, from 01.01.2023, the special tax regime (hereinafter referred to as the STR) of retail tax was resumed.

Thus, the STR of retail tax is entitled to be applied by taxpayers who meet the following conditions:

1) the average number of employees for the tax period does not exceed 200 people;

2) income for a calendar year does not exceed 600,000 monthly calculation index established by the law on the republican budget and effective on January 1 of the corresponding financial year;

3) carry out exclusively one or more of the types of activities defined by the Government of the Republic of Kazakhstan for the purposes of applying this regime.

Please note that legal entities whose founder or participant is at the same time the founder or participant of another legal entity applying a special retail tax regime are not entitled to apply the STR of retail tax.

At the same time, we note that the transition (transfer) to the STR of retail tax is carried out from any applicable tax regime.

Since the procedure for the transition (transfer) to the STR of retail tax retrospectively (from 01.01.2023) is temporary, improvements to the information system (hereinafter referred to as IS) of the SRC for the application of this norm have not been made.

In this connection, such a transition (transfer) is proposed to be carried out as follows.

1. For taxpayers who are not VAT payers.

Taxpayers who have expressed their intention to switch to the retail tax STR from 01.01.2023 must submit a Notification on the STR to the state revenue authorities by May 1 of this year with a note in the 2nd section «G. on the STR of retail tax», the reasons «B. for non-compliance with the conditions for the application of the STR», specifying the date 01.01.2023, which will allow this regime to be applied from any date starting from 01.01.2023 to 30.04.2023.

For example, in the Notification on the STR with a mark in the 2nd section «G. on the STR of retail tax», the reasons «B. for non-compliance with the conditions for the application of the STR», the taxpayer specified the date 20.02.2023, respectively, the SRC will automatically transfer such a taxpayer from 1.02.2023.

The Notification on the STR is submitted at the place of activity in electronic form or on paper.

It should be noted that taxpayers who have submitted a Notification on the applicable taxation regime (hereinafter referred to as the Notification on the STR) in connection with the implementation of exclusively one or more of the established types of activities in the field of public catering, in case of exceeding the «VAT threshold» in the period from 01.01.2023 to 01.05.2023, do not have the obligation to file a tax application for VAT registration, despite the provisions of Article 82 of the Tax Code (VAT threshold).

2. Taxpayers who are VAT payers.

VAT payers who have expressed a desire to switch to the retail tax STR from the date of submission of the Notification on the STR must submit to the state revenue authorities by May 1 of this year:

- Notification on the STR with a mark in the 2nd section «G. on the STR of retail tax» due to «A. voluntary decision-making»;

- a tax statement on the registration of value added tax payers (hereinafter referred to as VAT) (in terms of de-registration for value added tax);

- liquidation tax reporting on VAT.

The notification on the STR is submitted by VAT payers at the place of activity exclusively on paper.

For these taxpayers, the date of the beginning of the application of the retail tax SNR will be the date of the provision of such Notification under the STR.

3. Also, taxpayers have the right to switch to the STR of retail tax according to the generally accepted rules of such a transition, i.e. from the 1st day of the month following the month in which the Notification on the STR is submitted with a mark in the 2nd section «G. on the STR of retail tax» due to «A. voluntary decision-making».

The notification on the STR is submitted at the place of activity on paper or in electronic form.