Number of Russian enterprises in Kazakhstan on the rise

The number of enterprises with Russian capital has grown nearly 10% in Kazakhstan for the last year, Tax Committee of the Finance Ministry told a Business Resource journalist. Back in 2009 their number stood at a bit over 3 000, in 2010 the figure reached 3 422. Taxes paid by these enterprises to the Kazakh budget in 2010 totaled $293 million. “Given that investors’ growing interest to Kazakhstan in light of the Customs Union, many Russian enterprises unexpectedly find themselves initiating new projects in Kazakhstan”, Business Resource quoted Sergei Parshnikov, Head of the S&MBs; Development Department of the Ministry for Industry and Trade for Novosibirsk oblast, as saying. Kazakhstan offers tax equality for both residents and non-residents. Income tax rate for non-residents has been cut down from 20% to 15%. Investors are exempted from any tax on dividends in case they have owned shares in non-extraction enterprises for over 3 years. Tengrinews.kz reported earlier that according to the customs statistics, in 2010 external trade between Kazakhstan and Russia grew by 40%, reaching $17.5 billion. Following creation of the Customs Union, Russian companies are mass-seeking registration in Kazakhstan, Alexander Shokhin, Chairman of the Russian Union of Industrialists and Entrepreneurs, reported to Russia’s Prime Minister Vladimir Putin, Business Resource reported April 22, citing Russia's GZT.ru. The Customs Union between Russia, Kazakhstan and Belarus came into existence on January 1, 2010 to boost trade and investment. According to the statement made at the press-conference in Minsk, the Customs Union was formed on the WTO principles.