- The founder of the Uchet group of companies, Maxim Baryshev, expressed concerns about the possible increase in the shadow economy due to the proposed increase in VAT from 12% to 16%.
- Baryshev believes that the higher VAT may lead many businesses to resort to “shadow” schemes, which could result in price increases and diversion of funds from investment projects.
- If the VAT rate is increased, the real GDP growth rate will decrease by 1%.
- Baryshev suggests that alternative options, such as the 10% VAT rate in South Korea, can create a favorable economic environment and help the country lead globally.
- He also mentions the successful experience of tax reforms in Kazakhstan in the early 2000s, where the reduction of corporate income tax and VAT contributed to business development and attracted investments.
- Baryshev believes that reducing the VAT rate to 10% can strengthen the economy, improve the investment climate, and enhance the well-being of citizens.
Source: uchet.kz
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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