Kazakhstan's New Tax Code: Travel Bans and Cyber Risks Spark Outrage

Kazakhstan's New Tax Code Sparks Controversy: Travel Restrictions and Cyberattack Risks Kazakhstan's recently implemented tax code has ignited a firestorm of debate, particularly concerning a new rule restricting international travel for tax debtors. While authorities claim the measure aims to improve tax compliance, experts warn of potential negative consequences for businesses and citizens alike. "This measure is punitive and should be reconsidered," stated Ayazhan Uteuova, a member of the Interregional Council of Business Women in Astana, expressing concern that many small businesses might be unfairly impacted. The new rules, she argues, could prevent entrepreneurs from attending crucial international business meetings or signing contracts. Official statistics reveal a 12% increase in tax revenue in 2024, exceeding planned targets. However, experts counter that this doesn't necessarily reflect improved compliance, but rather the increased use of stringent enforcement measures. Saken Kary, Chairman of the Board of the Kazakhstan Association of Tax Consultants, voiced concerns about the potential for the new system to drive businesses into the informal economy. Moreover, the video highlights significant technical vulnerabilities in the new tax system, including system failures and the risk of phishing attacks. These concerns underscore the need for a more nuanced approach to tax collection, balancing enforcement with the protection of taxpayers' rights and the overall health of the economy.