IMF Staff Country Reports

Republic of Kazakhstan: Selected Issues

February 7, 2020

Download PDF

Preview Citation

Format: Chicago

Republic of Kazakhstan: Selected Issues, (USA: International Monetary Fund, 2020) accessed November 8, 2024

Also available in: русский

Summary

This Selected Issues paper conducts a review of taxes on labor in Kazakhstan, which, despite the current relatively low level of collections, have the potential to become an important source of non-oil fiscal revenue. This paper focuses on one group of non-oil taxes, personal income tax and other taxes on labor, and reviews their effective burden, progressivity, and efficiency. These taxes are found to have limited responsiveness to oil-sector fluctuations, and thus help enhance the resilience of public finance to oil shocks. The existing labor tax system is characterized by a low, flat headline rate, limited progressivity except at the lower end of household income distribution due to deduction of the minimum wage, and a relatively high tax burden mainly born by the formal sector. Having a more equitable and efficient labor tax system would involve a targeted strategy for deductions and exemptions, expanding the tax base, and continuing to improve tax design, administration, and collection enforcement.

Subject: Budget planning and preparation, Fiscal policy, Fiscal risks, Fiscal rules, Income, National accounts, Personal income, Personal income tax, Public financial management (PFM), Taxes

Keywords: Africa, Australia and New Zealand, Budget planning and preparation, CR, Firm performance, Fiscal risks, Fiscal rules, Global, Income, Infrastructure investment, Infrastructure project, Investment inefficiency, ISCR, Personal income, Personal income tax, PIT progressive, PIT rate, Rate, Tax burden

Publication Details

  • Pages:

    69

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Country Report No. 2020/038

  • Stock No:

    1KAZEA2020002

  • ISBN:

    9781513529288

  • ISSN:

    1934-7685

You May Also Be Interested In...

Colombia: Technical Assistance Report-Report of the Diagnostic Mission on Macro-relevant Climate Change Statistics (July 17–21, 2023)

November 8, 2024

Vietnam: Technical Assistance Report-Report on Residential Property Price Index Mission (April 22-26, 2024)

November 8, 2024

Republic of Tajikistan: Technical Assistance Report-Public Investment Management Assessment with the Climate Module

November 8, 2024

South Africa: Technical Assistance Report-Report on the Compilation of Energy and Air Emissions Accounts Mission (June 10-14, 2024)

November 8, 2024