Article 288. Adjustment of deductions of the Tax Code of the Republic of Kazakhstan

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 1. An adjustment of deductions is an increase or decrease in the amount of deductions for the reporting tax period within the amount of the previously recognized deduction in the cases established by this article.

 2. Deductions are subject to adjustment in the following cases::

 1) full or partial refund of goods;

 2) changes in the terms of the transaction;

 3) price changes, compensation for purchased goods, works, and services. The provision of this subparagraph also applies when changing the amount to be paid in the national currency for purchased goods, work performed, services rendered based on the terms of the contract.;

 4) discounts on prices, discounts on sales.

 3. The deductions are adjusted in the tax period in which the cases specified in paragraph 2 of this article occurred.

The Code of the Republic of Kazakhstan dated July 18, 2025 No. 214-VIII SAM.

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Republic of Kazakhstan

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From January 1, 2026, to invalidate the Code of the Republic of Kazakhstan dated December 25, 2017 "On Taxes and Other Mandatory payments to the Budget" (Tax Code) in connection with the entry into force of the Tax Code dated July 18, 2025 No. 214-VIII SAM.

Article 288. Reduction of taxable income of the Code on Taxes and Other Mandatory Payments to the Budget (Tax Code) of the Republic of Kazakhstan

1. A taxpayer has the right to reduce taxable income for the following types of expenses:

1) taxpayers who were monitored by large taxpayers during the tax period – in the amount of a total amount not exceeding 3 percent of taxable income:

the amount of excess of the expenses actually incurred over the income to be received (received) during the operation of social facilities provided for in Article 239 of this Code;

the value of the gratuitously transferred property, the recipient of which is:

non-profit organization;

an organization that carries out activities in the social sphere;

charitable assistance if there is a taxpayer's decision based on an application from the person receiving the assistance.

The provisions of this subparagraph shall also apply to taxable income from contractual activities of a subsurface user.;

2) taxpayers, with the exception of taxpayers specified in subparagraph 1) of this paragraph, in the amount of a total amount not exceeding 4 percent of taxable income:

the amount of excess of the expenses actually incurred over the income to be received (received) during the operation of social facilities provided for in Article 239 of this Code;

the value of the gratuitously transferred property, the recipient of which is:

non-profit organization;

an organization that carries out activities in the social sphere;

charitable assistance if there is a taxpayer's decision based on an application from the person receiving the assistance.

The provisions of this subparagraph shall also apply to taxable income from contractual activities of a subsurface user.;

3) 2 times the amount of expenses incurred for the remuneration of persons with disabilities and 50 percent of the amount of calculated social tax on wages and other payments to persons with disabilities;

3-1) subjects of social entrepreneurship included in the register of subjects of social entrepreneurship – in the amount of expenses incurred to pay for vocational training, vocational training, retraining or advanced training of employees who are persons with disabilities; parents and other legal representatives raising a child with a disability; pensioners and citizens of pre-retirement age (within five years before the age of entitlement to retirement benefits); pupils of children's villages and graduates of orphanages, boarding schools for orphans and children left without parental care, under the age of twenty-nine; persons released from serving sentences from institutions of the penal enforcement (penitentiary) system, within twelve months after release; candace, but not more than 120-a multiple of the monthly calculation index established by the law on the republican budget and effective on January 1 of the relevant fiscal year, per employee for the tax period.

When changing the status of an employee provided for in part one of this subparagraph, a reduction in the amount of taxable income is made based on the proportion of months in the tax period when the employee was a person with a disability; a parent and other legal representative raising a child with a disability; a pensioner and a citizen of pre-retirement age (within five years before the age retirement benefits by age); a pupil of children's villages and a graduate of orphanages, boarding schools for orphans and children left without parental care, under the age of twenty-nine; a person released from serving a sentence from institutions of the penal enforcement (penitentiary) system, within twelve months after release; candace.

When applying a reduction in taxable income in a tax period to an employee in subsequent tax periods, such a reduction is not applied.;

3-2) acquisition costs from a non–resident - an interconnected party registered in a state with preferential taxation, management, consulting, consulting, auditing, design, legal, accounting, advocacy, advertising, marketing, franchising, financial (except for remuneration costs), engineering, agency services, royalties, rights to use facilities intellectual property – in the amount of a total amount not exceeding 3 percent of taxable income.

For the purposes of this subparagraph, interrelated parties are recognized as interrelated parties recognized as such in accordance with subparagraph 23) of Article 264 of this Code.;

4) expenses for the training of an individual who is not in an employment relationship with the taxpayer, subject to the conclusion of an agreement with the individual on the obligation to work with the taxpayer for at least three years.

For the purposes of this subparagraph, the training costs include:

actual tuition fees incurred;

actual living expenses incurred within the limits of the norms established by the authorized body;

expenses for the payment of a sum of money to a trainee in the amounts determined by the taxpayer, but not exceeding the norms established by the authorized body;

actual expenses incurred for travel to the place of study upon admission and back after graduation;

the actual expenses incurred for insurance in case of illness of the trainee during a temporary stay outside the Republic of Kazakhstan during the period of study.

The provisions of this subparagraph shall not apply in the following cases::

failure to conclude an employment contract with an individual for whose tuition costs the provisions of this subparagraph have been applied, within three months from the date of graduation by an individual, except in the case of reimbursement by an individual of tuition costs in whole or in part during a period of time, including the tax period in which the individual completed his education, as well as the subsequent tax period period. In the case of such reimbursement, the provisions of this subparagraph shall not apply to the amount of tuition fees not reimbursed by an individual.;

termination of an employment contract with an individual for whose tuition costs the provisions of this subparagraph have been applied, before the expiration of three years from the date of conclusion of an employment contract with such a person, except in the case of reimbursement by an individual of tuition costs in whole or in part during a period of time, including the tax period in which the termination of the employment contract, as well as the subsequent tax period. In the case of such reimbursement, the provisions of this subparagraph shall not apply to the amount of tuition fees not reimbursed by an individual.;

the application by the subsurface user of the provisions of Article 261 of this Code in relation to such training expenses;

5) the value of the gratuitously transferred property, the recipient of which is an autonomous educational organization, as defined in paragraph 1 of Article 291 of this Code;

5-1) in the amount of 50 percent of the amount of expenses (expenses) deducted in accordance with Article 254 of this Code for:

research, scientific, technical and (or) development work in connection with the creation of an object of industrial property, including work for which there is a security document;

acquisition of exclusive intellectual property rights from organizations of higher and (or) postgraduate education, scientific organizations and start-up companies under a license agreement or an assignment agreement for the purpose of commercialization of the results of scientific and (or) scientific and technical activities.

The provisions of this subparagraph shall apply in the case of carrying out the specified work and (or) introducing (using) the results of scientific and (or) scientific and technical activities in the territory of the Republic of Kazakhstan.

research, scientific, technical and (or) development work in connection with the creation of an object of industrial property, including work for which there is a security document;

Confirmation of research, scientific, technical and development work and (or) the introduction (use) of the result of these works and (or) the results of scientific and (or) scientific and technical activities is an act of introduction (use) of the results of scientific and (or) scientific and technical activities, drawn up in the form and agreed upon in accordance with the procedure determined by the authorized body in the field of science in coordination with the authorized bodies of the relevant industry.

6) It was valid until 01.01.2023 in accordance with the Law of the Republic of Kazakhstan dated 25.12.2017 No. 121-VI.

7) acquisition or construction of industrial buildings and structures that comply with the requirements of paragraph 4 of Article 274 of this Code.

The provisions of this subparagraph are applied by a small business entity in accordance with the Entrepreneurial Code of the Republic of Kazakhstan, operating in the manufacturing industry, applying a generally established taxation procedure, in an amount not exceeding the amount of taxable income for the reporting tax period.

The assets provided for in the first part of this subparagraph are not recognized as fixed assets in accordance with paragraph 3 of Section 7 of this Code and are not subject to preferences for the purposes of applying paragraph 4 of Section 7 of this Code.

For the purposes of this paragraph, the value of the gratuitously transferred property is determined by:

when transferring money – in the amount of the transferred money;

when performing work, rendering services – in the amount of expenses incurred for performing such work, rendering such services;

for other property – in the amount of the book value of the transferred property specified in the act of acceptance and transfer of the said property.

2. A taxpayer has the right to reduce taxable income by the following types of income:

1) remuneration under the lease agreement, with the exception of penalties (fines, penalties);

2) remuneration on debt securities that are on the official list of a stock exchange operating in the territory of the Republic of Kazakhstan as of the date of accrual of such remuneration;

Note from <url>! Subparagraph 3) is provided for in the wording of the Law of the Republic of Kazakhstan dated 12.12.2023 No. 45-VIII (effective from 01.01.2030).

3) remuneration on government-issued securities, agency bonds;

Note from <url>! Subparagraph 4) is provided to be deleted by the Law of the Republic of Kazakhstan dated 12.12.2023 No. 45-VIII (effective from 01.01.2030).

4) income from the increase in value from the sale of government-issued securities, reduced by losses from the sale of government-issued securities;

5) income from the increase in value from the sale of agency bonds, reduced by losses incurred from the sale of agency bonds;

6) the value of property received in the form of humanitarian aid in the event of natural and man-made emergencies and used for its intended purpose;

7) the cost of fixed assets received on a gratuitous basis by the republican state enterprise from the state body or the republican state enterprise on the basis of the decision of the Government of the Republic of Kazakhstan;

RCPI's note! The first part of subparagraph 8) is amended by the Law of the Republic of Kazakhstan dated 26.12.2018 No. 203-VI (effective 01.01.2029).

8) gains from the sale of shares issued by a resident legal entity or shares in a resident legal entity or consortium established in the Republic of Kazakhstan, reduced by losses incurred from the sale of shares issued by a resident legal entity or shares in a resident legal entity or consortium established in the Republic of Kazakhstan. Kazakhstan, unless otherwise specified in subparagraphs 9) and 11) of this paragraph, subject to the following conditions::

as of the date of sale of shares or participation shares, the taxpayer has owned these shares or participation shares for more than three years;

Such a legal entity is an issuer or a legal entity in which a participation interest is being realized, or a participant in such a consortium that implements a participation interest in such a consortium, is not a subsurface user.;

the property of persons (persons) who are (are) subsurface users (subsurface users) in the value of assets of such an issuing legal entity or such a legal entity in which the share of participation is being sold, or the total value of assets of participants in such a consortium in which the share of participation is being sold, as of the date of such sale, is not more than 50 percent.

The term of ownership of shares or participation shares specified in this subparagraph by the taxpayer is determined collectively, taking into account the terms of ownership of shares or participation shares by the former owners, if such shares or participation shares were obtained by the taxpayer as a result of the reorganization of the former owners.

For the purposes of this subparagraph, a subsurface user is not recognized as a subsurface user who is such solely because of the possession of the right to extract groundwater and (or) widespread minerals for his own needs, as well as a subsurface user who carries out subsequent processing (after the initial processing) during the twelve-month period preceding the first day of the month in which shares or participation interests are realized. processing) at least 70 percent of the mineral raw materials extracted during the specified period, including coal, on own and (or) owned by a legal entity-to a resident who is an interconnected party, production facilities located on the territory of the Republic of Kazakhstan.

When determining the volume of mineral raw materials, including coal, sent for subsequent processing, raw materials are taken into account:

aimed directly at the production of products obtained as a result of any processing following the primary processing;

used in the production of primary processed products for further use in subsequent processing.

In this case, the share of property of persons (persons) who are (are) subsurface users (subsurface users) in the value of assets of a legal entity or consortium, whose shares or participation interests are being sold, is determined in accordance with Article 650 of this Code.;

9) gains from value gains from the sale by open trading on a stock exchange operating in the territory of the Republic of Kazakhstan of securities listed on the official lists of this stock exchange on the day of sale, reduced by losses incurred from the sale by open trading on a stock exchange operating in the territory of the Republic of Kazakhstan of securities located on the day of sale in the official lists of this stock exchange;

RCPI's note! Subparagraph 10) is valid until 01.01.2027 in accordance with the Law of the Republic of Kazakhstan dated 25.12.2017 No. 121-VI.

10) remuneration under the bank deposit agreement received by the sustainability organization, 100 percent of the voting shares of which belong to the National Bank of the Republic of Kazakhstan, within the framework of the Housing Mortgage Loan Refinancing Program (mortgage loans) transferred by an organization specializing in improving the quality of loan portfolios of second-tier banks, the sole shareholder of which is the Government of the Republic of Kazakhstan;

RCPI's note! Subparagraph 11) is valid until 01.01.2029 in accordance with the Law of the Republic of Kazakhstan dated 26.12.2018 No. 203-VI.

11) income from the increase in value from the sale of shares issued by legal entities specified in subparagraph 6) of paragraph 1 of Article 293 of this Code, shares in legal entities specified in subparagraph 6) of paragraph 1 of Article 293 of this Code, reduced by losses incurred from the sale of shares issued by legal entities specified in subparagraph 6) paragraph 1 of Article 293 of this Code, shares of participation in the legal entities specified in subparagraph 6) paragraph 1 of Article 293 of this Code.

Note from <url>! Paragraph 2 is provided to be supplemented with Part two in accordance with the Law of the Republic of Kazakhstan dated 12.12.2023 No. 45-VIII (effective from 01.01.2030).

The Code of the Republic of Kazakhstan dated December 25, 2017 No. 120-VI SAM.

This Code establishes the fundamental principles of taxation, regulates power relations for the establishment, introduction, amendment, cancellation, procedure for calculating and paying taxes and other mandatory payments to the budget, as well as relations related to the fulfillment of tax obligations.

President

Republic of Kazakhstan

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