Growth in tax rates and deductions: what is important for businesses to know in 2025?

28.11.2024

In his September Address to the people of Kazakhstan, the President instructed to postpone the adoption of the new Tax Code until 2026. Thus, the current Tax Code will continue to be in force in 2025. According to its provisions, as well as the provisions of the Social Code, businesses should prepare for a number of changes that will come into force in the near future.

1. From January 1, 2025, there will be an increase in the rate of social contributions. In accordance with Article 244 of the Social Code, their amount will increase from the current 3.5% to 5% of the object of calculation of social contributions.
    
2. In addition, the range of persons subject to compulsory social insurance is expanding. From January 1, 2025, according to Article 243 of the Social Code, they will include individuals who receive income under civil law contracts (civil law contracts).
   
   For such individuals, the object of calculation of social contributions will be the amount of income received under a civil law contract. At the same time, the obligation to pay social contributions falls on tax agents who have entered into such agreements. In other words, legal entities and individual entrepreneurs working with civil law contracts have an obligation to pay social contributions for an individual. These payments must be made no later than the 25th day of the month following the month in which the income was received.
    
3. Also, from 2025, the social tax rate will be increased. Article 485 of the Tax Code states that it will increase from 9.5% to 11%. However, if the new Tax Code in its current version comes into force in 2026, the social tax rate will be 6%. This suggests that the 11% rate will only be valid during 2025.
    
4. The changes will also affect mandatory pension contributions of employees (MPC). In accordance with Article 251 of the Social Code, the MPR rate will increase from 1.5% to 2.5% from January 1, 2025. Current legislation provides for a further increase in these contributions, up to 5% by 2028.

All these changes will require businesses to adapt and revise their approaches to calculating tax and social payments in a timely manner. Already, entrepreneurs should take into account the new rates in their plans for 2025 and beyond.

Author: Tashkarayev Zhanture

---

Dear journalists, use of material from the REVERA website in publications is only possible with our written permission. 

To approve material, please contact i.antonova@revera.legal or Telegram: https://t.me/PR_revera