In light of the current geopolitical landscape and the ongoing impact of anti-Russian sanctions in recent years, Kazakhstan is increasingly capturing the attention of foreign companies as a promising destination for business registration.
Authors:Aigerim Massatbayeva,
Legal consultant
Gulim Amrayeva, accountant, tax consultant
Deciding on the organizational and legal form of legalization of a foreign business in Kazakhstan, most often, the choice is between registering a limited liability company and a branch (representative office) of a foreign legal entity in Kazakhstan.
Content
1. Business set-up in Kazakhstan:
● Types of Legal Entities
● Branch/RepOffice
2. Labour aspects
In this article will be described the procedure of changing the founder in a company (LLP) to a foreign citizen or a foreign legal entity. In other words, we will discuss the purchase of a share in a LLP by a foreign citizen or a non-resident legal entity.
Amendments to the “Rules for issuing invitations, coordinating invitations for entry of foreigners and stateless persons into the Republic of Kazakhstan, issuing, canceling, restoring visas of the Republic of Kazakhstan, as well as extending and reducing their validity” [1](hereinafter referred to as “amendments”) come into force on November 17, 2024.
In accordance with the Law "On Migration”, set-up of a legal entity, as well as participation in the authorized capital of commercial organizations by joining the list of participants of existing legal entities for foreigners who have not received C5 visa as business immigrants, is prohibited.[1]
Business Identification Number (BIN) is automatically assigned to all local companies upon their registration in Kazakhstan. However, the Tax Code provides cases in which tax authorities should assign BIN to a foreign company. According to paragraph 2 of Article 75 of the Tax Code, information is entered into the state database of taxpayers regarding:
