In 2026, there is no single GWS code for all scientific and technical services: the code is selected based on the specific subject matter of the contract and the service actually rendered, while expenses for research, scientific and technical, and experimental design work are deductible subject to compliance with the conditions and availability of the documents stipulated by the Tax Code (Art. 269 of the Tax Code of the RK).
What Is a GWS Code and Where Is It Required?
The GWS Directory is a directory of types of work and services used when completing an electronic invoice in the E-Invoicing IS. If an organization provides scientific and technical services and issues an electronic invoice, the relevant directory item is selected for the service line. The selection is based not on the contractor's general area of activity but on the substance of the specific transaction.
The name of the service in the contract, acceptance certificate, and electronic invoice and the selected GWS code must be consistent in meaning. For example, if the result of the contract is the development of a technology, a code from the group of consulting services is appropriate only when the actual subject matter of the transaction was consulting rather than development work.
How to Select a Code for a Scientific and Technical Service
The term “scientific and technical services” may cover different types of work. To select a code, first determine what result is delivered to the customer:
- scientific research — fundamental or applied research whose result is documented in a report on scientific or scientific and technical activities;
- experimental design and technological development — creation of prototypes, technologies, design documentation, or process documentation;
- testing, measurement, and analysis — laboratory research, testing, and preparation of the relevant test reports or opinions;
- engineering and design services — technical design, calculations, and other engineering work stipulated by the contract;
- scientific and technical consulting — preparation of expert opinions, technology analysis, and consulting support.
Procedure:
- Review the subject matter of the contract and the technical specifications, then note the wording that describes the substance and final result of the service.
- Find items in the current GWS Directory matching this wording. When searching, also use words with similar meanings: “research,” “development,” “testing,” “analysis,” “design,” and “engineering.”
- Compare the descriptions of the items found with the actual result: a report, prototype, test report, opinion, or documentation.
- Select the most specific item corresponding to the substance of the service. Use the item for other services when the directory contains no more precise description.
- Record the selected correspondence in an internal table or another accounting document and apply it to transactions with the same substance.
The name of the service or the GWS code alone is insufficient for a tax deduction. For an entity's own research, scientific and technical, and experimental design work, the supporting documents are a report on scientific and (or) scientific and technical activities and documents confirming the related expenses. When such work is acquired, the actually completed technical specifications and acceptance certificates for completed stages are required. In addition, the article requires a notification from the authorized body in the field of science and excludes from this deduction expenses for the acquisition and installation of fixed assets, as well as other capital expenditures (Art. 269 of the Tax Code of the RK).
If several services differing in substance are provided under one contract, such as research and subsequent testing, it is advisable to show them as separate lines in the electronic invoice, using the code corresponding to each service. Such separation must follow from the contract, technical specifications, and source documents.
Who Needs to Consider This in 2026?
This applies to:
- scientific organizations and higher education institutions performing research, scientific and technical, and experimental design work under contracts;
- testing laboratories and centers documenting the results of research, testing, and measurements;
- engineering and design companies;
- enterprises commercializing the results of their own developments or rights to intellectual property;
- customers' accountants who receive electronic invoices and verify that the service corresponds to the contract, acceptance certificate, and technical specifications.
The new Tax Code of the Republic of Kazakhstan applies from January 1, 2026. When updating accounting policies and internal instructions, the current article numbering and up-to-date wording of the provisions should be used instead of references from documents prepared under the previous code.
For the purposes of the Tax Code, scientific and (or) scientific and technical activities, including scientific research and the use or commercialization of intellectual property, are classified as activities in the social sector if conducted by entities accredited by the authorized body in the field of science. For an organization to be recognized as operating in the social sector, income from the relevant types of activities, taking into account the income stipulated by the code, must comprise at least 90 percent of aggregate annual income (Art. 15 of the Tax Code of the RK). Merely describing a service as scientific in an electronic invoice does not replace these conditions.
Tax Considerations That Depend on the Type of Service
When documenting a scientific and technical service, the accountant must consider not only the GWS code but also the substance of the transaction and the supporting documents:
- VAT. The exemption applies to supplies expressly specified in the Tax Code. The general provision on exempt supplies contains a list of transactions and refers to Articles 475–478; Article 474 does not establish a separate general exemption for every service merely because it is scientific or scientific and technical in nature (Art. 474 of the Tax Code of the RK);
- deduction of expenses by the customer. Acquired research, scientific and technical, and experimental design work requires actually completed technical specifications and acceptance certificates for completed stages. Capital expenditures are not deductible under this provision (Art. 269 of the Tax Code of the RK);
- acquisition of exclusive rights. Expenses for acquiring exclusive rights from the higher education institutions, scientific organizations, autonomous educational organizations, and startup companies listed in the code for subsequent commercialization are deductible on the basis of a registered license agreement or an agreement assigning the exclusive right (Art. 269 of the Tax Code of the RK);
- organization's status. For scientific or scientific and technical activities to be classified as activities in the social sector, the entity's accreditation by the authorized body in the field of science and the prescribed share of the relevant income are material (Art. 15 of the Tax Code of the RK).
Therefore, the GWS code should be selected after analyzing the subject matter of the contract, while tax accounting should be based on the substance of the transaction and the conditions of the applicable provision. A directory code alone does not substantiate entitlement to a deduction or VAT exemption without the grounds and documents stipulated by the Tax Code.
How to Avoid Errors in Practice
- Maintain a unified correspondence directory. Prepare an internal table with the columns “type of service — GWS code — contractual wording — result of the service — basis for selection.” In the accounting system, the code may be assigned to the service item card, with separate cards created for different transactions.
- Compare the contract, technical specifications, acceptance certificate, and electronic invoice. The wording may vary in scope but must make it possible to clearly match the service ordered, performed, and recorded in the electronic invoice.
- Check the documents required for the deduction. For acquired research, scientific and technical, and experimental design work, verify the availability of the completed technical specifications and acceptance certificates for completed stages, as well as compliance with the other conditions of Article 269 of the Tax Code of the RK.
- Do not copy the counterparty's code without analysis. Even where commercial names are similar, the actual substance and results of the services may differ.
- Check that the item is current. Before issuing the first electronic invoice under a new contract, find the code in the current version of the E-Invoicing IS directory and compare its description with the transaction.
- Separate different services. If the documents make it possible to identify independent results, show them as separate lines so that each type of service has its own name and code.
- Correct any identified discrepancy. If, after an electronic invoice has been issued, it is established that the code does not correspond to the actual service, amend the electronic document in accordance with the prescribed correction procedure.
Frequently Asked Questions
Is there one universal GWS code for all scientific and technical services? — No. The code is selected based on the specific substance and result of the service: research, development, testing, design, engineering, or consulting. The selection is based on the contract, technical specifications, and performance documents.
What should be done if the directory does not contain the exact name of the service? — Compare the substance of the contract and the result of the work with the descriptions of the current items and select the most specific applicable item. Record the basis for the selection in an internal correspondence table. Use the general item for other services if no more precise item is available.
Can one code be specified if the contract covers several types of work? — If the work constitutes independent services with different results, show them as separate lines in the electronic invoice and select a code for each line. The separation must correspond to the contract, technical specifications, and acceptance certificates rather than being created only when the invoice is issued.
Does the GWS code affect VAT? — The code describes the type of service, but the grounds for VAT exemption are determined by the Tax Code. Article 474 contains a list of exempt supplies and refers to Articles 475–478; it does not provide a general exemption for every scientific and technical service based solely on its name (Art. 474 of the Tax Code of the RK).
What documents does the customer need to deduct expenses for acquired scientific and technical work? — The actually completed technical specifications and acceptance certificates for completed stages of work. The deduction is also linked to the availability of a notification from the authorized body in the field of science; expenses for fixed assets, their installation, and other capital expenditures are excluded under this provision (Art. 269 of the Tax Code of the RK).
Do the codes need to be reviewed because of the new 2026 Tax Code? — The code itself is selected based on the current GWS Directory and the substance of the transaction. At the same time, references to Tax Code provisions in internal documents should be updated: in particular, the rules for deducting expenses for research, scientific and technical, and experimental design work are established by Article 269 of the Tax Code of the RK.