An alternative tax may be introduced in Kazakhstan for investors developing depleting fields. Vice Minister of Energy Asqat Khasenov stated this on April 25, 2024.
According to him, in 2023, the concept of "depleting fields," their criteria, and the investor's counter obligations were introduced into the Code of the Republic of Kazakhstan "On Subsoil and Subsoil Use" to attract investments in fields at advanced stages of development.
"This year, amendments to the Tax Code are expected for the application of an alternative tax on subsoil users for such fields (out of 307 oil fields, 24). The full implementation of this reform will give an impetus to investments in geological exploration up to 200 billion tenge annually, an increase in oil production by 60 million tons by 2045, and the preservation of current jobs," Khasenov explained.
On February 7, 2024, at an extended government meeting, the Head of State Kassym-Jomart Tokayev criticized the draft of the new Tax Code of Kazakhstan. According to him, the new Tax Code should ensure a reasonable balance between creating favorable conditions for investors and maintaining the necessary level of budget revenues.
