Ministry of Finance discusses definition of rich person

The definition of a “rich person” might be officially added to the national legislation of Kazakhstan, according to Yerulan Zhamaubayev, minister of finance.

The country’s government is going to adopt a new Tax Code by 2025. Therefore, the Ministry of Finance wants members of the parliament to discuss new rates for income tax and value-added tax as they might be differentiated between different groups of people. Those who are considered rich will pay higher taxes.

«These two taxes are the bedrock for our financial system, so all the debates are going around these taxes. We have to make this differentiation right. I mean there will be lower taxes for some activities and higher ones for others,» Zhamaubayev said.

He also hasn’t ruled out such a novelty as adding the definition of a “rich person” to the tax code. The minister said this in response to a question by journalists.

«Everything is possible. We are going to present the draft document and this notion can be added there,» he noted.

However, when journalists wanted the minister to specify who can be called a rich person, his response was quite vague.

«This is a very complicated question. I believe that a rich person is anyone who is happy from a spiritual point of view,» Zhamaubayev said.

Earlier this year Kazakhstani officials talked a lot about the so-called luxury tax for prestigious real estate and fancy vehicles that was supposed to be part of a new tax code.

President Kassym-Jomart Tokayev was the first top official in Kazakhstan to come up with the idea of a luxury tax. During his national address on September 1, 2022, he also noted that this new tax should affect the middle class.