If you decide to obtain Kazakhstan citizenship, additional benefits await you. The republic has double taxation treaties with 40 countries, including Russia. If a Kazakhstan resident wants to expand their business and enter the Finnish or German markets, they won't have to pay taxes in both countries simultaneously.
Kazakhstan's economy boasts several sectors that attract entrepreneurs and investors due to their rapidly growing market. E-commerce is one of the fastest-growing niches in the Kazakh market. The QazTrade Center for Trade Policy Development estimates that the e-commerce market will grow to 3.5 trillion tenge (approximately 608 billion rubles) by 2025.
One of the most promising niches in Kazakhstan is pharmaceuticals. During the pandemic, the government committed to supporting and developing the industry, and investment in this sector increased by 5.2% to approximately 712 million rubles.
In Kazakhstan, you can get Visa and MasterCard cards for payments to foreign partners. MIR cards are also accepted in the republic and can be used to transfer funds to Russia.
How to register a company in Kazakhstan
The procedure for registering a business in Kazakhstan is quite simple. An entrepreneur can open a branch or representative office of an existing company, register as a sole proprietor, or establish a limited liability partnership (LLP).
The most popular business structure available to entrepreneurs without Kazakh citizenship is a Limited Liability Partnership (LLP), similar to a Russian LLC. An LLP can be registered online, and the corporate income tax rate is 20%.
Non-residents will find it more difficult to register as a sole proprietor, as they will need Kazakh citizenship or a temporary residence permit and be present in person when submitting documents. However, this legal form does have its advantages: the individual income tax is lower than that of an LLC, at 10%. Sole proprietors are also exempt from tax audits until the end of 2022.
After registering your company, you'll need to open a bank account for your legal entity—this takes about a week. First, you'll need to obtain a business identification number (BIN) and then submit an application to open a bank account. You can open a bank account remotely: at Kaspi Bank, by pre-registering your limited liability company (LLC) in the bank's app, or at Forte Bank, by providing an electronic signature, which can be created in the NCALayer app.
Business in the CIS
Uzbekistan
The World Bank published its Global Economic Prospects report , according to which Uzbekistan could overtake other Central Asian countries in economic growth in the next few years. This was facilitated by the lifting of economic barriers within the country in 2016: the lifting of restrictions on cash circulation, the export and import of goods, and the sale and purchase of foreign currency.
Business opportunities
Uzbekistan is interested in attracting IT specialists. An IT Park has already been established in Tashkent, where resident companies are exempt from corporate tax, and the income tax rate for their employees has been reduced to 7.5%. IT specialists are particularly in demand in the banking sector, which is striving for digitalization: financial institutions are interested in developing applications and services that will simplify and automate customer service.
In Uzbekistan, you can also apply for Visa and jordan telemarketing database MasterCard payment systems, as well as a MIR card, which will be integrated with the national payment system, Uzcard. This will allow you to seamlessly transfer funds within the country and to other countries.
How to register a company
The minimum authorized capital for the most common legal form of enterprise — a limited liability company —is USD 1,800. An LLC with foreign capital will receive tax benefits if its initial authorized capital exceeds USD 150,000.
To register a company in Uzbekistan, you must register in the OneID system and obtain a personal identification number (PIN). Foreign citizens will need a temporary residence permit when submitting documents.
You'll need to arrange for temporary registration with the landlord or the management of the hotel where you'll be staying. But it's not that simple: rental prices in Tashkent aren't as low as foreigners expect. While a one-bedroom apartment in Kazakhstan's capital can be rented for 20,000 rubles, rent in Tashkent is comparable to Moscow.