The Parliament of Kazakhstan has ratified the amendments to the Convention between the Governments of Kazakhstan and Azerbaijan on avoiding double taxation of 1996.
According to Minister of Finance of Kazakhstan Bakhyt Sultanov, firstly, the protocol will allow to develop cooperation between the tax services of both states by increasing the exchange of information, and, secondly, to apply the domestic legislation when the tax evasion is discovered and the provisions of the convention are abused.
"The protocol also amends the terms "Kazakhstan" (in accordance with the editorship recommended by the Ministry of Foreign Affairs of Kazakhstan) and "Azerbaijan", the titles of taxes covered by the Convention are updated (obsolete tax names have been replaced by modern ones in accordance with the current tax laws of both countries); the provisions of the article regulating the definition of residency in the contracting states and others are specified. I would also like to note the important role of this protocol as a legislative base for taxation issues between two states", the Minister said speaking at the Senate plenary meeting.
According to the Ministry of Finance, the trade turnover between Kazakhstan and Azerbaijan over the past 10 years amounted to 3.2 billion dollars. The main articles of Kazakhstan's exports are wheat, crude oil products, obtained from bituminous rocks and rolled from iron. The structure of imports is dominated by sugar, hazelnuts. Investments from Azerbaijan to Kazakhstan over the past 10 years amounted to 168.7 million dollars.
The head of the Ministry of Finance assured that the implementation of the protocol will not require financial expenditures from the state budget.
The Parliament has passed this law.