How to temporarily suspend a business
07.06.2020
To temporarily stop a business in Kazakhstan means to suspend the submission of tax reports. This is a right of the taxpayer — both an LLP and an individual entrepreneur — under Article 117 of the Tax Code in force since 1 January 2026. The procedure for filing the application is set out in the Rules for submitting tax reports approved by Order of the Minister of Finance No. 695 of 12 November 2025 (the Rules). Below: what the suspension gives, how to arrange it, when it is refused and how to resume work.
What the suspension gives
A taxpayer (tax agent) has the right to suspend the submission of tax reports and to resume it before the suspension period expires (Article 117(1) of the Tax Code). Information on the suspension is published on the authorized body’s Internet resource no later than the date of the tax authority’s decision. This publication is the basis for not submitting tax reports for the period specified in the tax application (Article 117(2)).
Important limits under the same article:
- if there are taxable objects, the submission of tax reports is not suspended;
- upon resumption of business, the taxpayer must resume submitting tax reports;
- the total period of suspension must not exceed the limitation period.
How to file the application
Having decided to suspend its activities, the taxpayer files with the state revenue body at its location a tax application for the coming period and the tax reports from the beginning of the tax period up to the date of suspension stated in the application (paragraph 63 of the Rules).
The application can be filed (Annex 2 to the Rules for the provision of public services — Annex 30 to Order No. 695):
- with the state revenue body;
- through the State Corporation “Government for Citizens”;
- through the eGov e-government portal;
- through the “Taxpayer Cabinet” web application knp.kgd.gov.kz, including through banks’ mobile applications.
An electronic filing requires an electronic digital signature. The public service is free of charge.
How long the decision takes
Within 1 working day from the date of receipt of the tax application, the state revenue body suspends the submission of tax reports or refuses (paragraph 67 of the Rules). Information on the suspension is published on the website of the State Revenue Committee no later than the date of the decision (paragraph 68 of the Rules).
When it is refused
The suspension is refused if, on the date of the application (Article 117(3) of the Tax Code, paragraph 70 of the Rules):
- there are tax arrears or arrears on social payments;
- the taxpayer is included in the register of inactive taxpayers;
- there are unfulfilled notifications from the tax authority.
So before filing, it is worth checking the personal account and notifications in the “Taxpayer Cabinet”. If you disagree with a notification on the results of a tax audit, the appeal procedure is described in the article “How to Appeal a Tax Audit Notice in Kazakhstan in 2026“.
Why you should not simply stop filing reports
Upon the expiration of the deadline for submitting the initial or regular tax reports, the tax authority’s information system automatically generates the corresponding tax reporting with zero indicators (Article 115(6) of the Tax Code). And a taxpayer who has not independently submitted tax reports within twelve months after submitting the last one is included in the register of inactive taxpayers. This does not apply to taxpayers who have suspended the submission of tax reports under the Code (Article 108(1)). The decision on inclusion is made annually no later than 30 April (Article 108(2)).
A taxpayer is excluded from the register when it submits additional tax reports for a tax period for which tax reports were automatically recognized as submitted with zero indicators (Article 108(3)). While the taxpayer is in the register, it cannot suspend its reporting — this is one of the grounds for refusal.
LLPs and entrepreneurs registered for VAT
From the date of suspension to the date of resumption of the submission of tax reports, the VAT payer’s issuance of electronic invoices is suspended (Article 117(1), Article 88(1)(4) of the Tax Code). In addition, when deciding to suspend its activities, a VAT payer simultaneously files a tax application on VAT registration for the purpose of deregistration (paragraph 64 of the Rules).
Individual entrepreneurs
An individual entrepreneur suspends reporting in the same way. Article 117 makes no exceptions for special tax regimes, including the simplified declaration. The individual entrepreneur (and a private practitioner) is not an object of social tax during the period of suspension of tax reporting under Article 117 (Article 556(4) of the Tax Code).
For how long, and how to resume
The total period of suspension must not exceed the limitation period (Article 117(1)). The limitation period is five years for the categories listed in Article 65(2)(1) of the Tax Code, including large business entities and taxpayers conducting activities under a subsoil use contract, and three years for the rest.
Having decided to resume its activities, the taxpayer files a tax application before the suspension period ends (paragraph 65 of the Rules). The tax authority also recognizes the submission of tax reports as resumed (Article 117(4)):
- upon submission of tax reports by the taxpayer — from the date of their submission;
- upon discovery of the fact that the taxpayer resumed activity during the period of suspension or from the date of resumption of activity.
Resumption of activity means the beginning of activities leading to a tax obligation to calculate and pay taxes and payments to the budget, and to a social obligation.
During a state of emergency
During a state of emergency or an emergency situation, the submission of tax reports is suspended for taxpayers whose location is in the area where it has been introduced or declared — for its duration — and for taxpayers affected by the circumstances that led to it — for a period not exceeding one month from the date of its end (Article 91(4) of the Tax Code). The basis is the list of taxpayers submitted by the local executive body (Article 91(5)).
Suspend or close
Suspension is temporary: its total period is limited by the limitation period. If the company does not plan to resume work, it can be liquidated — see “Liquidation and reorganization of LLPs in Kazakhstan“.
How we help
We will check whether the company or the entrepreneur has grounds for refusal, prepare the tax application and the reports from the beginning of the tax period, and for a VAT payer, the application for VAT deregistration, and file them. We will also help with resumption. Ongoing support is described on the page “Legal support of business“.
The first consultation is free. Call us: +7 700 500 05 53 or write on WhatsApp.