Prime Minister of Kazakhstan Olzhas Bektanov explained the decision not to introduce excise taxes in his response to the deputies' request. The government's response was published on the official website of the Senate of the Parliament of Kazakhstan.
"The issue of introducing excise taxes on sugar-containing beverages (hereinafter - SCB) was discussed within the working group on improving tax legislation," said Olzhas Bektanov in response to the parliamentary request.
"According to information from the Association of Non-Alcoholic Beverages and Juices Producers, based on an analysis conducted by the Institute of Economic Research (under the Ministry of National Economy), the introduction of excise taxes on SCB is expected to lead to a 26.4% decrease in beverage production. Changes in rates need to be considered while maintaining a balance between the economic interests of the state and taxpayers. Therefore, considering the mentioned risks, the introduction of excise taxes on SCB is not planned within the framework of the new Tax Code project."
