For foreign companies entering the Kazakhstan market, registering a legal entity is only the beginning. Once a company starts operating, it must deal with accounting, tax reporting, payroll, corporate documents and other compliance requirements.

For founders from outside the Eurasian Economic Union (EAEU), these processes can be unfamiliar. Kazakhstan has its own accounting standards, tax rules, reporting deadlines and electronic systems. A company may also have additional obligations depending on its industry, employees, turnover and transactions with non-residents.

This guide explains the basics of accounting services Kazakhstan for foreign-owned companies and what international founders should know before starting operations.

1. Why Accounting and Compliance Matter for Foreign Companies in Kazakhstan

A foreign-owned company is generally subject to the same core accounting and tax framework as other Kazakhstan entities, but its international ownership and cross-border transactions can make compliance more complex.

After incorporation, a company may need to manage:

• bookkeeping and accounting records
• tax calculations and reporting
• VAT obligations
• corporate income tax
• payroll and employee-related taxes
• social payments
• invoices and primary accounting documents
• annual financial statements
• payments to foreign suppliers
• withholding tax on certain non-resident payments
• currency and banking documentation
• corporate records

The exact obligations depend on the company’s activities. For example, an IT company providing services to foreign customers can have very different accounting requirements from a company importing goods into Kazakhstan.

Accounting is not only about filing taxes

A common mistake among foreign founders is to view accounting as simply submitting tax declarations. In practice, proper accounting helps a company:

1. understand its financial position

2. calculate taxes correctly

3. document business expenses

4. prepare reports for banks

5. support international transactions

6. distribute profits properly

7. prepare for potential tax inspections

8. maintain accurate corporate records

For this reason, accounting should be considered part of the company’s infrastructure from the beginning.

2. What Accounting Obligations Does a Company Have in Kazakhstan?

The accounting obligations of a Kazakhstan company depend on its legal structure, tax regime and business activities.

A typical company may need to maintain accounting records covering:

• income and expenses
• assets and liabilities
• bank transactions
• sales
• purchases
• employee payments
• taxes
• contracts
• invoices
• fixed assets
• foreign-currency transactions

The company should also retain supporting documents for its transactions.

Tax reporting

Depending on the company’s circumstances, tax reporting can include:

• corporate income tax reporting
• VAT reporting
• individual income tax and payroll-related reporting
• social payments
• other taxes or fees applicable to the business

Not every company has the same reporting schedule. A foreign founder should therefore determine the company’s tax obligations before beginning commercial activity.

Primary accounting documents

Transactions should generally be supported by appropriate documentation.

• contracts
• invoices
• acts of completed services
• payment documents
• customs documents
• employment documents
• other supporting records

For a foreign-owned company, this becomes particularly important when money moves between Kazakhstan and another country.

3. Tax Compliance for Foreign-Owned Companies

One of the most important parts of accounting services Kazakhstan is ensuring that the company’s tax obligations are correctly identified and reported.

Corporate income tax

Companies generally calculate corporate income tax based on their taxable income under Kazakhstan’s tax rules. The general corporate income tax rate is 20%, although special rules and rates can apply in certain circumstances.

Value-added tax

VAT may become relevant depending on the company’s activities and turnover. From 2026, Kazakhstan’s standard VAT rate is 16%. A company should determine whether and when it is required to register for VAT and how VAT applies to its transactions.

Payroll taxes and social payments

If a company employs people in Kazakhstan, it can have additional obligations connected with individual income tax, social tax, pension contributions, social contributions and medical insurance contributions. The exact calculation depends on the employee’s status and applicable legislation.

Payments to non-residents

A Kazakhstan company may make payments to foreign consultants, software providers, international contractors, parent companies or foreign shareholders. Certain Kazakhstan-source payments to non-residents can trigger withholding tax. The applicable treatment may depend on the type of income, the country of the recipient, the applicable double tax treaty, documentation confirming tax residency and the nature of the service. Therefore, foreign companies should review international payments before making them rather than trying to correct the tax treatment afterward.

4. Accounting for International Transactions

Cross-border transactions are one of the areas where foreign-owned businesses may face additional complexity.

For example, a Kazakhstan company might:

• receive payments from foreign customers
• pay a foreign parent company
• purchase software from abroad
• pay international consultants
• receive shareholder financing
• distribute dividends to foreign owners

Each type of transaction can have different accounting and tax implications.

What should foreign founders pay attention to?

1. Currency

Transactions may be denominated in USD, EUR, GBP or another currency. The company needs to account for the transaction correctly in its accounting records and consider applicable exchange-rate differences.

2. Supporting documents

The company should maintain contracts, invoices, acts and payment documentation supporting international transactions.

3. Withholding tax

Some payments to non-residents can be subject to withholding tax.

4. Tax treaties

If Kazakhstan has a double taxation agreement with the recipient’s country, the treaty may affect the applicable tax treatment.

5. Transfer pricing

Transactions involving related parties may require additional analysis and documentation under Kazakhstan’s transfer-pricing rules.

5. Compliance: What Should Foreign Founders Monitor?

Accounting is only one part of corporate compliance. A foreign-owned company should also monitor its corporate and administrative obligations.

• maintaining up-to-date information about shareholders
• keeping corporate documents
• maintaining employment documentation
• updating information about the company when required
• complying with licensing requirements
• maintaining beneficial ownership information
• complying with banking KYC requirements
• meeting tax-reporting deadlines
• maintaining accounting records
• keeping supporting documents

Corporate documents

A company should keep important documents organised, including:

• incorporation documents
• charter
• shareholder decisions
• director appointment documents
• contracts
• employment agreements
• banking documents
• tax documents
• accounting records

This becomes especially important when the founder is located outside Kazakhstan and delegates day-to-day management to a local director or accountant.

Electronic government systems

Many administrative and tax procedures in Kazakhstan are performed electronically. A company may need appropriate access, electronic signatures and authorised representatives to work with relevant government systems. For a foreign founder, having a local accountant or professional representative can significantly simplify this process.

6. How Accounting Services Kazakhstan Can Help Foreign Companies

For an international founder, outsourcing accounting can be more practical than hiring a full-time accountant immediately. Professional accounting services Kazakhstan can cover different levels of support depending on the company’s needs.

Basic accounting support

• bookkeeping
• preparation of tax reports
• payroll calculations
• tax calculations
• accounting documentation
• monitoring reporting deadlines

Full accounting outsourcing

• monthly bookkeeping
• tax reporting
• payroll
• VAT accounting
• financial statements
• primary documentation
• communication with tax authorities
• accounting consultations

Accounting plus tax advisory

• international transactions
• non-resident payments
• withholding tax
• tax treaties
• transfer pricing
• tax optimisation within the law
• restructuring

The right level of support depends on the company’s size and business model.

Outsourcing vs hiring an accountant

Factor	Outsourced accounting	In-house accountant
Initial cost	Usually lower	Usually higher
Recruitment	Not required	Required
Local expertise	Available through provider	Depends on employee
Replacement	Provider handles continuity	Company must recruit
Scalability	Easy to increase/decrease	More difficult
Suitable for foreign founders	Often convenient	Depends on business size

For a newly established foreign-owned company, outsourcing can provide access to local expertise without creating a full accounting department.

7. Common Accounting Mistakes Made by Foreign Companies

Mistake 1: Starting operations before understanding tax obligations

A company may sign contracts and receive payments before determining its VAT, withholding tax or reporting obligations. Better approach: review the tax structure before commercial operations begin.

Mistake 2: Treating personal and company money as the same

Company funds should be properly separated from the founder’s personal finances. Payments should have a clear business purpose and supporting documentation.

Mistake 3: Ignoring non-resident payments

Paying an overseas contractor is not necessarily just an ordinary bank transfer. The transaction may have tax and documentation consequences.

Mistake 4: Choosing an accountant based only on price

The cheapest accounting service is not always the cheapest option in the long term. An error in tax reporting can create additional costs, penalties and administrative problems.

Mistake 5: Leaving accounting until the end of the year

Accounting should be maintained continuously. Trying to reconstruct an entire year’s transactions shortly before filing deadlines can be expensive and risky.

FAQ

1. Does a foreign-owned company in Kazakhstan need an accountant?

A company must maintain accounting records and comply with applicable reporting requirements. The work can be performed by an internal accountant or outsourced to an accounting provider, depending on the company’s structure and needs.

2. What taxes does a foreign company pay in Kazakhstan?

Depending on its activities, a company may have corporate income tax, VAT, payroll-related taxes and other obligations. Payments to non-residents can also create withholding-tax considerations.

3. Can a foreign company outsource accounting in Kazakhstan?

Yes. Many foreign-owned businesses use external accounting providers instead of maintaining a full-time accounting department, particularly during the early stages of entering the Kazakhstan market.

4. Do foreign companies need to file VAT reports?

Not every company is automatically subject to VAT. The obligation depends on the company’s circumstances, turnover and applicable tax rules. A company’s VAT position should be determined during the initial tax structuring process.

5. What happens if a company does not maintain proper accounting?

Failure to maintain accounting records or comply with tax and reporting requirements can result in additional administrative and financial risks. The consequences depend on the specific violation and circumstances.

Get Professional Support With Accounting and Compliance in Kazakhstan

For foreign companies, accounting and compliance should be planned from the moment the business enters Kazakhstan.

The right accounting structure can help you avoid unnecessary tax risks, keep documentation organised and focus on operating the business instead of dealing with administrative issues.

Matias provides support for international entrepreneurs and companies entering Kazakhstan, including business setup, tax and compliance coordination and other market-entry services.

Meldir Erbulekova is an expert working with international clients entering Kazakhstan and Central Asia.

Book a free consultation with Matias.

We can review your business model and help identify the accounting, tax and compliance requirements relevant to your company.

This article is provided for general informational purposes only and does not constitute individual legal, tax or accounting advice. Tax rates, reporting requirements and regulations may change. The applicable rules should be verified for the specific circumstances of each company.