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PRESS RELEASEto the draft resolutionOf the Government of the Republic of KazakhstanOn changes to theResolutionof the Government of the Republic of Kazakhstandated August 19, 2010 No. 824

PRESS RELEASE

to the draft resolutionOf the Government of the Republic of KazakhstanOn changes to theResolutionOf the Government of the Republic of Kazakhstandated August 19, 2010 No. 824 On approving the rules on VAT tax exemptionforimport of goodsin Customs unionandchanges and additionsto the Resolutionof the Government of the Republic of Kazakhstandated December 23, 2008 No. 1229 and dated January 26, 2009 No. 56

Draft Resolutionwas developedto improve the VAT exemption mechanismof theprosthetic and orthopedic appliances components (hereinafter, POA), imported from the Customs union.

While applying the Clause 7 of the Rules VAT tax exemption for import of goods in Customs union (hereinafter, the Rules), in case of import of goods (materials, equipment, raw materials and components) to produce any form of the medicine, including thesubstance medicine, medial products, includingPOA, and medical equipment tothe Republic of Kazakhstanfrom the participating states of the Customs union,there are thevarious readings, connected with theinaccurate regulations.

Thus, according to the rules, one of the required conditions is:

Providing a copy of the Registration Certificatefor Medicine, medical products, medical equipment orapproving by thestate authority,related to thecirculation of medicine, medical products and medical equipmentfor import to RKof medicine, medical equipment and medical products, in there is no foreign representation established in RK – formedicine, medical equipment and medical products, registered in RK,or approval of the state authority, related tothe circulation of medicine, medical products and medical equipment for import of the medicine non-registeredin RK, in cases, provided by the Clause 3 Article 80 of the Code of RKOn health of people and health care system.

Observing these conditionsfor obtaining thecertificateis impossible, since the POA production componentsrefer neither tomedicine, nor t medical products, nor to medical equipment, and are not subject tothe state registration,according to the requirements of theArticle 71 RK CodeOn health of people and health care system.

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