Kazakhstan should introduce wealth or inheritance tax – World BankThe government of Kazakhstan should consider introducing a wealth or inheritance tax, the World Bank (WB) said.“The new net wealth or inheritance tax could be considered in the mid-term. The compliance with the current annual recurrent property tax could be enhanced in combination with the plan to institute a new asset tax (luxury property or vehicles) that is well suited to proximate the wealth tax and make the tax system fairer,” the WB said in its Public Finance Review, entitled Kazakhstan: Strengthening Public Finance for Inclusive and Resilient Growth.According to the WB experts, Kazakhstan should raise the basic deduction for personal income tax (PIT), introduce a progressive tax structure regime to replace the current low flat rate for PIT and improve capital gains taxation.“Compared with its peers, the direct taxes in Kazakhstan are less progressive. (…) The lack of progressivity in Kazakhstan’s tax policy is more pronounced in the PIT regime,” the document reads.Over the mid-term, the current flat rate could be transformed into a progressive, graduated structure consisting of perhaps 4–5 brackets, including the exempt bracket, according to the WB.The existing set of numerous exemptions would violate the standards of a comprehensive income tax base and deplete the base and compromise the integrity of the regime, says the WB.“Over the short term, reviewing and rationalizing the multiple exemptions is sensible, laying the ground for the mid-term transformation of the flat PIT rate into a progressive structure,” the report reads. (ICE ALMATY)

Fonte notizia: INTERFAX