Kazakhstan Nearly Meets Tax Collection Target in H1 2025 Despite VAT Shortfall

59 views Economy 0

Kazakhstan’s Ministry of Finance collected 6.5 trillion tenge (approx. $12.7 billion) in taxes in January–June 2025, equal to 99.1% of the plan, according to the republic’s budget execution report as of July 1, 2025, cited by Kursiv.kz.

Total budget revenues reached 10.3 trillion tenge (~$20.2 billion), or 91.8% of plan, with taxes accounting for the bulk of inflows.

Key Tax Items

  • Corporate Income Tax: 2 trillion tenge (+2.1% vs. plan).

  • Domestic taxes on goods, works & services: 3.3 trillion tenge (–4.7%), including VAT: 2.7 trillion (–7.1%).

  • Mineral Extraction Tax: 534.1 billion tenge (+5.2%).

Non-Tax Revenues

Totaled 389.3 billion tenge (+30.5% vs. plan), including:

  • State property lease income: 2.4 billion (2.6× plan).

  • Baikonur Cosmodrome lease payments: 30.3 billion (+12.3%).

  • Military testing range leases: 5.3 billion (+12.5%).

  • Equity income from state-owned legal entities: 680 million (+42.9%).

Additional Highlights

  • Excise on tobacco imported from EAEU states: 6.7 billion tenge — just 23.4% of plan.

  • Excise on imported gasoline & diesel (EAEU): 5.2 billion — 2.6× plan.

  • Fines, penalties & sanctions: 19.5 billion — 17× plan.

Expenditures

Republican budget spending in H1 2025 totaled 11.76 trillion tenge (~$23.0 billion), or 91.4% of plan. Defense outlays came to 416.9 billion tenge, 35.3% below plan.

Bottom line: Kazakhstan is essentially on target for tax revenue despite weaker VAT collections, while non-tax receipts and enforcement-related inflows (fines/penalties) significantly outperformed plans.

CentralasianLIGHT.org
July 18, 2025