Google, Netflix and Temu exceed Kazakhstan’s tax plan almost three-fold 

According to Data Hub, a Kazakhstani Telegram channel focused on finances, over the first 11 months of the year, major international internet companies paid $67.66 million in taxes in Kazakhstan — a 2.6-fold increase compared to the initially planned figure of approximately $25.9 million.

The so-called «Google tax» — a 12% value-added tax (VAT) on the turnover paid by foreign corporations in this sector — was introduced in 2022. All such entities offering their services in Kazakhstan are subject to this tax. Starting from 2022, the international corporation contributed approximately $135.33 million to the state budget.  

The list of 98 foreign entities registered in Kazakhstan includes prominent companies such as Alibaba, Apple, Google, Huawei, Netflix, Pinduoduo and Temu. Non-compliance with the tax regulations may result in severe penalties, including the banning of their operations in Kazakhstan.

In 2022, foreign companies contributed over $19.33 million to Kazakhstan’s budget through the so-called «Google tax.» In 2023, this amount increased to $47.17 million, with a target of $46.4 million. Earlier this month, the Ministry of Finance reported that the overall tax collection plan for the period between January and November was fulfilled at only 75.5%, with the VAT collection plan reaching just 72.1%.