This post provides a focused overview of the individual income tax framework in Kazakhstan for 2025. The information below is structured for clarity and practical understanding, emphasizing specific rates, tax types, and notable surcharges applicable to residents and non-residents in Kazakhstan.
Overview of Individual Income Taxation in Kazakhstan
Kazakhstan applies a straightforward approach to individual income taxation in 2025, utilizing a flat tax system rather than progressive brackets. The tax is assessed directly on income, with further surcharges applicable to certain types of income and taxpayers. All values are denominated in Kazakhstani Tenge (KZT).
Main Features of Kazakhstan’s Income Tax Framework
| Parameter | Value (KZT / %) |
|---|---|
| Type of Tax | Flat rate |
| Assessment Basis | Income |
| Standard Flat Rate (%) | 10% |
| Currency | KZT |
| Brackets | Not applicable |
There is no progressive scaling or set of brackets; all qualifying income is taxed uniformly at the flat rate noted above. This creates an environment of relative simplicity compared to tiered systems found elsewhere.
Surtaxes on Specific Types of Income
Kazakhstan does levy additional taxes (or higher rates) on particular income categories and taxpayer statuses. The following table summarizes these surtaxes and when they are triggered.
| Condition | Surtax Rate (%) |
|---|---|
| Capital gains, dividend, and interest income (applies to non-residents and residents on foreign-source income) | 15% |
| Dividend income from a resident legal entity exceeding 30,000 times the Monthly Calculated Index (MCI) per calendar year | 10% |
- Capital gains, dividend, and interest income earned by non-residents, as well as by residents on foreign-source income, are subject to a 15% tax rate.
- Dividend income from a resident legal entity is taxed at a 10% rate if annual dividends exceed 30,000 times the official MCI (Monthly Calculated Index; an officially set figure).
Current minimum or maximum holding periods are not specified in the available public data for 2025.
Practical Example: Income Tax Calculation for Residents
Assume a Kazakhstani resident earns KZT 5,000,000 in regular employment income during 2025. The flat tax applied would be:
KZT 5,000,000 x 10% = KZT 500,000
If the income is instead from dividends from a resident entity, and exceeds the high MCI threshold, then the 10% rate would also apply, potentially yielding the same amount, but this threshold is only triggered on very large dividend sums. For income from foreign dividends, the relevant tax rate is 15%.
Comparison Table: Standard Tax vs. Surtaxed Income
| Income Type | Residency Status | Tax Rate (%) | Condition |
|---|---|---|---|
| Ordinary income | Resident | 10% | All qualifying salaries and income |
| Dividend/capital gains/interest | Non-resident | 15% | Applies on gains, dividends, interest |
| Foreign-source dividend/capital gains/interest | Resident | 15% | Only on foreign income |
| Resident entity dividend (over 30,000 x MCI annually) | Resident | 10% | Applies on sums exceeding threshold |
Key Regulatory References
For the official source and updates on individual income taxation, refer to the Kazakhstan State Revenue Committee’s primary portal at kgd.gov.kz.
Pro Tips for Managing Individual Income Tax in Kazakhstan
- Review your income sources. Confirm with a tax advisor whether your income is considered Kazakhstan-sourced or foreign-sourced, as this drives your applicable tax rate.
- Be mindful of dividend thresholds. If you earn significant dividends from Kazakhstani entities, monitor your annual income against the 30,000 x MCI ceiling to anticipate surtax exposure.
- Track your residency status. Non-residents face higher rates on investment income, so clarify your tax residency position each year.
- Calculate taxes on foreign income separately. Income sourced outside Kazakhstan draws a different rate, with compliance best handled via accurate income tracking and source documentation.
- Consult official resources directly. Regulatory changes are published on the State Revenue Committee of Kazakhstan homepage, ensuring you are informed on any legislative updates or policy shifts for 2025.
In summary, Kazakhstan’s individual income tax system for 2025 is characterized by a flat 10% income tax rate and targeted higher rates for specific types of gains and non-resident income. The simplicity of the single-rate system appeals to those seeking predictability, yet for high-income investors or those with cross-border income sources, the applicable surcharges are critical to understand. Awareness of income types, residency status, and official thresholds will help you navigate your tax obligations efficiently under Kazakhstan’s regime.