Kazakhstan: New rules for VAT-free pilot project
Expanded geographical scope and introduction of electronic format for issuing tax-free documents
The Ministry of Finance approved new rules for the VAT-free pilot project, under which a VAT refund is available to foreign citizens who are not citizens of the Eurasian Economic Union (EAEU) member states, provided that they purchase non-food goods from participants in the tax-free system, export the purchased goods outside the EAEU through international airports participating in the pilot project, and submit a duly completed tax-free document.
The new rules make the following key changes:
- Expand the geographical scope of the pilot project beyond the current cities of Astana, Almaty, Shymkent, and Turkestan, to 12 more cities, as well as the village of Burabay in the Akmola Region
- Reduce the minimum purchase value required to qualify for a VAT refund from 20 to 10 times the monthly index factor
- Introduce an electronic format for issuing tax-free documents, using a mobile application and QR code alongside the existing paper-based format
- Designate a Kazakhstan-based tax-free operator (IT Analytics LLP) as an alternative to Global Blue
- Establish the time limits for VAT refunds (i.e., the operator must make the refund no earlier than 14 calendar days and no later than three months from the date of purchase)
- Establish the operator's responsibilities (e.g., maintaining operation of the mobile application, equipping retail outlets with the necessary equipment, transmitting data to the information systems of the state revenue authorities, and supporting participants in the pilot project)
The new rules became effective June 21, 2026, replacing the procedures in effect since January 2025.
Read a July 2026 report prepared by the KPMG member firm in Kazakhstan