Kazakhstan's reduced rate on medicines doubles from January 2027
- Jurisdiction
- Kazakhstan
- Tax
- VAT
- Change type
- Rate change
- Status
- Enacted
- Impact
- Plan ahead
- Announced
- 18 July 2025
- Effective
- 1 January 2027
- Instrument
- KZ-214-VIII-ZRK
- Authority
- Ministry of Justice of the Republic of Kazakhstan
- Systems
- Tax engine, ERP
- Verified
- Fetched from official source · high confidence
Suppliers and importers of medicines, medical devices and their components, and of technical assistive or compensatory aids under Kazakhstan's social-protection legislation.
Update Kazakhstan tax rates for medicines, medical devices and assistive aids from 5% to 10% with effect from 1 January 2027.
Tax engineERP
Article 503(2) of Kazakhstan's new Tax Code (No. 214-VIII ZRK, signed 18 July 2025, in force 1 January 2026) sets a reduced VAT rate for medicines and medical devices: 5 per cent from 1 January 2026, rising to 10 per cent from 1 January 2027. It applies to taxable turnover from the sale and import of medicines (with listed exceptions), medical devices and their components, and technical assistive or compensatory aids under Kazakhstan's social-protection legislation. This is a separate provision from the 16 per cent standard rate already published in W31 as kz-vat-rate-16.
What changed in detail
Article 503(2) of Kazakhstan’s new Tax Code (No. 214-VIII ZRK, signed 18 July 2025, in force 1 January 2026) sets a reduced VAT rate for medicines and medical devices: 5 per cent from 1 January 2026, rising to 10 per cent from 1 January 2027. It applies to taxable turnover from the sale and import of medicines (with listed exceptions), medical devices and their components, and technical assistive or compensatory aids under Kazakhstan’s social-protection legislation. This is a separate provision from the 16 per cent standard rate already published in W31 as kz-vat-rate-16.
What it means
This step-up was written into the Tax Code from the outset rather than announced as a new measure, which is precisely why it is easy to miss — there will be no separate amending instrument to catch. The 5% rate that took effect on 1 January 2026 was always a one-year figure. Note it sits against a 16% standard rate, so the reduced rate remains materially favourable even after doubling.
Proof
2. Ставка налога на добавленную стоимость составляет с 1 января 2026 года - 5 процентов, с 1 января 2027 года - 10 процентов и применяется: 1) к размеру облагаемого оборота по реализации и импорта: лекарственных средств ... медицинских изделий, комплектующих медицинских изделий, а также технических вспомогательных (компенсаторных) средств в соответствии с законодательством Республики Казахстан о социальной защите.
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