Alibaba to be taxed in Kazakhstan

Published
Business News Correspondent
Alibaba
Alibaba to pay VAT in Kazakhstan / Photo: Reuters/Tingshu Wang

China’s Alibaba International Digital Commerce Group (AIDC) will be conditionally registered as a value-added tax (VAT) payer in Kazakhstan, according to the country’s State Revenue Committee (SRC).

SRC officials recently held a meeting with representatives of AIDC to discuss changes in legislation and tax administration related to e-commerce in Kazakhstan.

«Following the meeting, the committee determined that Alibaba International Digital Commerce Group should be conditionally registered as a VAT payer,» the SRC stated.

AIDC is a division of the Alibaba Group. It operates popular platforms like AliExpress, a global online marketplace, and Lazada, an e-commerce platform widely used in Southeast Asia.

Currently, Kazakhstan’s lawmakers are reviewing a new draft law on the protection of consumer rights. The proposed legislation seeks to clearly define and distinguish key e-commerce concepts, including «marketplace,» «online store» and «information and advertising platform.»

Under the new rules, online trading platforms will be required to establish seller registration guidelines and formalize contracts with them. Platforms that violate consumer rights may face fines or account suspensions. Additionally, buyers will gain access to certificates of conformity for goods purchased online.

In late October, Minister of Trade Arman Shakkaliyev met with representatives of marketplaces operating in Kazakhstan. The discussions focused on curbing shadow turnover and boosting sales of domestic goods.

Earlier, analysts from Finprom.kz, a business and finance portal, highlighted that Chinese marketplaces Temu and Pinduoduo are not registered in Kazakhstan, despite their increasing popularity. As a result, these platforms do not contribute taxes to the country’s budget. In contrast, Russian marketplaces Wildberries and Ozon have established representative offices in Kazakhstan.

In recent months, several countries across Southeast Asia and Europe have filed claims against Temu and Pinduoduo for operating without proper permits and violating local regulations.

Meanwhile, although a company named Alibaba.kz is registered in Kazakhstan, it is unclear whether it functions as a representative office of the Alibaba Group. Kursiv.media reached out to the SRC for an official comment.

Read also