Transfer Pricing in Kazakhstan: recent developments

Briefly

We remind you that theamendments to the Transfer Pricing Law ("TP") adopted in July 2025 came into force on 1 January 2026.

In details

The main changes are presented below:

• Introduction of a new principle of substance over form when comparing the terms of controlled transactions with market conditions and conducting a functional analysis. The new principle may allow tax authorities tocompareterms of controlled transactions withmarket.
• Reduction of the deadline for providing information and documentsconfirming the reasonableness of the transaction price at the request of authorized bodies,from 90 to 30 days.
• Introduction ofa definitionof "intangible asset."

The changes are aimed atincreasein theTPcontroland may cause uncertainty in practical application. Considering that the principle of substance over form places increased emphasis on the functional profiles of the parties in controlled transactions, we recommend:

• conducting an analysis of agreements and actual conditions for controlled transactionson compliancewith new substance over form principle, along with preparing the necessary documentation;
• makingappropriate changesto contractual relationships and pricing for transactions, if necessary;
• developing internal TP policy and preparing defensefilethat confirm the functional profiles of the parties in complex controlled transactions (i.e.transactions with complex financing and/orsalesstructures).

How can we help you?

We will be happy to discuss with you the amendments and their impact on your business, as well as to perform short diagnostics of your obligations arising under TP consideringtaking into accountthe introduced amendments and provide the necessary consulting support. You may send our team a separate request via the link on our website.