Tax Service Chairman Proposes Elimination of E-Consignment Notes
The Chairman of the State Tax Service of Kyrgyzstan, Almambet Shykmamatov, has proposed a significant change regarding electronic consignment notes in the country. At a meeting of the Committee on Budget, Economic, and Fiscal Policy, Shykmamatov suggested canceling the current form of e-consignment notes.
While the initial purpose of implementing e-consignment notes was to enhance business transparency and combat shadow turnover of goods, Shykmamatov believes that the current system has led to numerous complaints from business representatives, particularly those from small and medium-sized enterprises. The system currently covers over 13,000 items of goods, ranging from everyday items like toothpicks to more critical products like petroleum. According to Shykmamatov, this broad coverage has placed an excessive burden on businesses and has reduced the efficiency of administration.
Shykmamatov proposes limiting the use of e-consignment notes to goods with the highest risk of shadow turnover, such as petroleum products, alcohol, tobacco, medicines, and medical products. He suggests exempting other goods from the obligation of using e-consignment notes to ease the burden on businesses.
In his statement, Shykmamatov emphasized the importance of creating a tax administration system that is convenient, not burdensome, and understandable for all market participants. He stressed the need to actively consider the opinions of businesses when developing new systems to create more favorable conditions for their growth and success.
The recent resignation of the former Chairman of the Cabinet of Ministers, Akylbek Japarov, due to scandals in the tax sphere, further highlights the urgency of reforming the current system. President Sadyr Japarov mentioned that the decision was made in light of violations found in the Tax Service, including fraud involving electronic consignment notes.
The appointment of Almambet Shykmamatov as the new Chairman of the State Tax Service on December 18 signifies a new direction in tax administration in Kyrgyzstan. As the country seeks to address the challenges in the tax sphere and promote fair practices, Shykmamatov’s proposed changes to the e-consignment notes system could pave the way for a more efficient and transparent business environment.
