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Kyrgyzstan to Increase Sales Tax Rate to 5%

|Proposed Changes|Kyrgyzstan
Kyrgyzstan

The Kyrgyzstan Ministry of the Economy has announced a draft law that includes measure to replace the current differentiated rates of sales tax (1% to 3%) with a single rate of 5%. As currently provided, the increased rate would only apply for cash payments, which is part of the government's plan to promote the use of non-cash payment (e.g., bank cards).  Value Added Tax, which is levied separately at a standard rate of 12%, would not be impacted by the change.

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