Abolition of taxes on pension earnings in Kazakhstan announced
New Tax Code in Kazakhstan to Affect Businesses and Pension Withdrawals
A new tax code is set to be implemented in Kazakhstan, affecting businesses and pension withdrawals for citizens. The changes, reported by Liter.kz citing Krisha.kz, are scheduled to take effect from January 1, 2026.
Under the current tax regime, a 10% income tax (IPI) is levied on pension withdrawals from mandatory pension savings. However, the specifics of the upcoming changes to this tax have not been detailed in the retrieved documents or current data.
One of the notable changes is the abolition of the 10% IPI for all pension withdrawals, except for those who have already paid the tax. Starting from January 1, 2026, Kazakhstani citizens will no longer pay a 10% IPI on pension withdrawals for housing or medical purposes.
Moreover, the new tax code aims to reduce reporting and increase transparency for businesses. The details of the tax reduction for certain vehicles in Kazakhstan were not specified in the article.
Another significant development is the potential for certain Kazakhstan citizens to become eligible for early retirement. However, the specific criteria for early retirement eligibility were not outlined in the article.
It is important to note that this tax exemption does not apply to non-residents of Kazakhstan. Furthermore, the article does not specify whether the tax reduction for certain vehicles applies to all vehicles or only certain types.
For individuals living abroad who are not considered residents of Kazakhstan, the 10% IPI on pension withdrawals remains. The article also does not provide any information about how these changes will impact individuals who are not eligible for early retirement.
To get the latest legal specifics about Kazakhstan’s pension tax reforms for 2026, it is recommended to consult official Kazakhstan government tax announcements or trusted local legal/tax advisory sources closer to or after that date for accurate and updated information.
The new tax code in Kazakhstan will eliminate the 10% income tax for pension withdrawals, except for those who have already paid the tax, for housing or medical purposes, starting from January 1, 2026. Additionally, the new tax code intends to streamline reporting and boost transparency for businesses in Kazakhstan.
