After constructive dialogue between representatives of the OpenAI LLC and the State Revenue Committee, on the last days of May, 2025, OpenAI, the developer of ChatGPT, registered for VAT. The registration was expected by the revenue authorities, considering the VAT framework for non-resident providers of digital services.
In 2022, the Kazakh government enacted an indirect tax framework for non-resident providers of digital services.
OpenAI has sent an informative notice to all registered local subscribers, informing them that, starting from August, their subscription-based fee will be increased by the value of the VAT.
Entry info force
As of August 1, 2025, a VAT rate of 12% shall be applied to the subscription fee.
Scope of changes
The national VAT rules mandate that for the B2C transactions, the collection and remittance obligation is an administrative task that belongs to the non-resident provider of digital services. In its informative notice, OpenAI transparently explained to its subscribers that an increase in the price will affect natural persons. In contrast, locally registered taxpayers are not obliged to pay VAT.
Taxable persons, duly registered for VAT, have the right not to pay the VAT if they indicate a validated VAT number in their account section.
The State Revenue Authority, as part of the Ministry of Finance, is responsible for tax collection and the monitoring of tax administration. Since the adoption of the tax framework for non-resident providers of electronically supplied services, many internationally well-known digital platforms and e-marketplaces have registered for VAT in the country.
Considering the growth of AI-supported digital service providers, the revenue authority is moving forward with its strategy to place the “most influential” players from the digital ecosystem in the tax bracket as soon as possible.
Takeaway
Non-resident providers of digital services to customers based in Kazakhstan have been mandated to register for VAT since 2022. With the rise of AI-first digital service providers, the State Revenue Authority is “loudly” explaining that the scope of the VAT regime for non-resident providers of digital services applies equally to them.
Author: Aleksandar Delic