Government plans to change the tax legislation

The government of Kazakhstan plans to change the tax legislation in order to "create an additional motivation" for a renewal of main industrial funds, Danial Akhmetov, prime minister of RK, said on 8 July at a regular government session.

According to him, changes in the tax legislation had to be made by 1 September, 2004.

However, the head of government admitted that "a lot is being said today about errors in the oil operations taxation system". The head of government called his colleagues to "deal attentively with that issue" saying that "the working group has already been charged with a task to draw out main parameters, which would allow to activate activities in this direction by 1 September".

"If we make a brief analysis of investments into the main capital, it is perfectly obvious that more than 80% of investments are directed to raw material sectors, therefore it is necessary to create a motivation for an attraction of investments into other sectors", - the head of government said meaning the government fiscal policies in the first place. "This task must be formulated by 1 September (2003)", - he stressed.