An investment agreement is an agreement for the implementation of an investment project concluded by a decision of the Government of the Republic of Kazakhstan between a person authorized by the Government of the Republic of Kazakhstan and a legal entity, including one registered in the jurisdiction of the Astana International Financial Center, providing for the implementation of investments in an amount of no less than seven and a half million times the monthly calculation indicator established by the law on the republican budget and in effect on January 1 of the relevant financial year.
The legislation does not establish a list of priority activities for concluding investment agreements, but a negative list of activities is established. Investment agreements cannot be concluded for the implementation of projects in the following activities:
activities related to the circulation of narcotic drugs, psychotropic substances and precursors;
production and (or) wholesale distribution of excisable products;
holding a lottery;
activities in the gambling business;
activities related to the circulation of radioactive materials;
banking activities (or certain types of banking operations) and activities in the insurance market (except for the activities of an insurance agent);
auditing activities;
professional activity in the securities market;
activities in the field of digital mining;
activities of credit bureaus;
security activities;
activities related to the circulation of civilian and service weapons and ammunition for them;
activities in the field of subsoil use, including the activities of prospectors;
sale of minerals, including the activities of traders, activities for the sale of coal and oil.
The investment agreement shall determine the conditions and procedure for granting preferences and benefits stipulated by the legislation of the Republic of Kazakhstan at the time of conclusion of the investment agreement, and shall also establish reciprocal obligations for legal entities that have concluded the investment agreement.
The investment agreement provides for tax exemption:
CIT;
Land tax;
Property tax;
VAT exemption for participants of special economic zones (SEZ)
Reduction of tax liabilities;
Other preferences in accordance with the terms of the Agreement;
To conclude an agreement, the applicant applies to the Task Force Department of JSC National Company KAZAKH INVEST with the following documents in the state and Russian languages on paper and electronic media:
application in accordance with Appendix 1;
a copy of the applicant’s charter, a certificate of state registration (re-registration) of the applicant;
business plan of the investment project in accordance with Appendix 2;
feasibility study;
design and estimate documentation of the investment project;
the conclusion of a comprehensive non-departmental examination of construction projects, certified by the signature of the manager, in the manner determined by the legislation of the Republic of Kazakhstan (in the event of tax preferences being granted);
information confirming the right to use the licensed technology (agreement or other document regulating the right to use).
The information specified in subparagraphs 4), 5), 6), 7) of this paragraph shall be provided if available.
The term, procedure and conditions for changing and terminating the SII, as well as the standard application form and the agreement form are established in the Rules for concluding, changing and terminating investment agreements , approved by the authorized investment body.
The provisions of the investment agreement shall remain in effect for twenty-five years from the date of its conclusion in the event of a change in the legislation of the Republic of Kazakhstan, with the exception of those provisions that arise from international treaties ratified by the Republic of Kazakhstan, as well as cases of amendments to the investment agreement by agreement of the parties.