Amendments to Legislative Acts of the Kyrgyz Republic 

The draft Law of the Kyrgyz Republic “On Amendments to Certain Legislative Acts of the Kyrgyz Republic in the Sphere of Taxation,” initiated by the Cabinet of Ministers of the Kyrgyz Republic, has been approved by the Jogorku Kenesh of the Kyrgyz Republic (Parliament).

The document particularly provides:

• Expansion of the single tax regime without limiting the amount of revenue (currently brings up to 30 million soms).
• Indefinite tax exemption for individual entrepreneurs with annual revenue from the sale of goods, works, and services up to 8 million soms complying with the requirement on CR (cash registers).
• Imposing a 0.1% tax for entrepreneurs in markets with annual turnover not exceeding 100 million soms;

Besides, the following reductions have been amended for the single tax rate reduction for trade from 4% in cash and 2% in non-cash payments:

• 0.5% with an annual turnover of up to 30 million soms;
• 1% with a turnover of 30 million soms to 50 million soms;

A single tax rate for residents of the Park of Creative Industries is proposed as:

• 0.5% in 2023 and 2024.
• 1% in 2025 and 2026.
• 2% starting from 2027.

Regardless of revenue, the single tax rates for catering services are reduced as follows:

– In Bishkek and Osh:

1. 6% in cash form.
2. 4% in non-cash form.

– In other territories of the Kyrgyz Republic:

1. a) 4% in cash form.
2. b) 2% in non-cash form.

The following rules are to be introduced as well:

• VAT exemption for exporting certain goods from FEZ (Free Economic Zone) to Kyrgyzstan.
• the registration of agricultural producers was extended until January 1, 2024.
• Postponing fine’s introduction for non-use of electronic consignment notes from January 1, 2024.

The reduction in the amount of the fine for violation of the requirements for the use of an ETTN (electronic consignment note) will be:

– a warning for the first offense.

– for the second offense – 30 calculated indicators for individuals and 130 for legal entities.

– for subsequent offenses, 100 calculation indices for individuals and 280 for legal entities.

The document will go into effect upon signing by the President.