In 2026, when reviewing VAT on medicines and medical services, accountants must take into account that the list for applying the stipulated exemption is established by the Government of the Republic of Kazakhstan. VAT should be calculated in accordance with the provisions of the Tax Code of the Republic of Kazakhstan applicable to the specific turnover, the date on which it occurred, and the taxpayer’s status. From 1 January 2026, a 5% rate is stipulated for certain medicines, medical devices, and medical services, while certain turnover within the GVFMC, CSHI, and treatment of specified diseases is exempt from VAT.
Which VAT provisions should be checked in the Code
Working with VAT is not limited to finding a single article. An accountant must determine sequentially:
- whether the organization is a VAT payer;
- whether the transaction constitutes taxable turnover;
- whether an exemption is stipulated;
- which rate applies to the specific goods, work, or service;
- in which tax period the turnover is recognized;
- whether there are grounds for crediting VAT;
- whether excess VAT arises and whether its refund may be claimed.
The provision should be read together with the definitions, exceptions, transitional provisions, and lists approved by the authorized bodies. This is particularly important in 2026: the name of the goods or service alone may be insufficient to select the rate or confirm the exemption.
Before recognizing a transaction, the accountant should document its substance, date, the status of the seller and buyer, source documents, and the intended use of the purchase. The circumstances of the transaction can then be compared with the provisions of the Code. This procedure reduces the risk of applying a general provision instead of a special one.
VAT in the healthcare sector from 2026
Different regimes are stipulated for the healthcare sector. The sale of medicines and medical services by a healthcare entity licensed to conduct medical activities is exempt from VAT if the sale is carried out:
- within the guaranteed volume of free medical care;
- within compulsory social health insurance;
- for the treatment of orphan and socially significant diseases.
An exemption is also stipulated for the import of medicines within the GVFMC and CSHI, as well as for the treatment of orphan and socially significant diseases. The list of medicines and medical services covered by this exemption is established by the Government of the Republic of Kazakhstan. Therefore, it is not sufficient for an accountant to check only the purpose of the supply: they must ensure that the goods, service, and documents meet the requirements of the relevant list.
From 1 January 2026, the 5% VAT rate applies to the sale of medicines that are not covered by the exemption, medical devices, their components, and technical aids, that is, assistive devices. The same rate is stipulated for medical services provided by a licensed healthcare entity if the services are not exempt from VAT. A 10% rate is stipulated for these transactions from 1 January 2027.
In practice, this means that a healthcare organization must first check whether an exemption is available and only then select the special rate. Holding a license does not in itself mean that every medical service is automatically exempt from tax.
What the query “VAT Code Art. 468” means
An article number without the text of the provision and an indication of the version of the Code does not make it possible to reliably determine the tax consequences of a transaction. When searching for “VAT Code Art. 468,” an accountant should open the official version of the Tax Code effective on the date of the turnover and check not only the article itself but also the related provisions.
The content of an article from a previous version of the Code must not be applied to 2026 transactions merely because the number is the same. Numbering, wording, and cross-references may change. If the article refers to a list, rules, or another provision, these must also be checked in the current version.
For a working conclusion, it is useful to record the date of the document’s version and list the conditions of the provision: the subject matter of regulation, the categories of taxpayers, exceptions, and the required supporting documents. If even one condition is not confirmed, applying a rate or exemption based only on the title of the article is risky.
Refund of excess VAT
A refund of excess VAT is processed in accordance with the established rules and is linked to the declaration in which the refund claim is stated. The documents take into account the tax period, the amount claimed, the amount confirmed by a tax audit, amounts refunded previously, and the balance of the unrefunded excess.
The refund conclusion form separately states the amount refundable based on a 1/20 share of the excess VAT in accordance with Article 129 of the Tax Code. In addition, the rules provide for the separate recognition of the amount based on responses received to inquiries concerning the buyer of processed products in the case stipulated by paragraph 6 of Article 473 of the Tax Code.
Before submitting the claim, the accountant must reconcile the figures in the declaration, the tax periods, and the documents supporting the amount claimed. A reference to an article in the rules does not in itself mean an automatic right to a refund: the final amount depends on compliance with the conditions and the results of the prescribed procedures.
Frequently Asked Questions
Where should VAT rules be found in the Code? — The entire related set of provisions should be checked: taxable turnover, exemptions, rates, credits, the reporting period, and refunds. A single article found is generally insufficient to reach a conclusion on a specific transaction.
What VAT rate applies to medical services in 2026? — A 5% rate is stipulated from 1 January 2026 for non-exempt medical services provided by a licensed healthcare entity. Exempt services must be identified based on the conditions of the Code and the applicable lists.
Are all medicines subject to VAT at the 5% rate? — No. Certain transactions involving medicines are exempt from VAT, particularly where the conditions relating to the GVFMC, CSHI, and orphan and socially significant diseases are met.
Can Article 468 be applied based only on its number? — No. The text of the article in the version effective on the transaction date, its cross-referenced provisions, and the transitional provisions must be checked.
Is filing a declaration sufficient to obtain a refund of excess VAT? — No. The claim is stated in the declaration, but the refundable amount is determined with regard to the established rules, confirmation, and the results of the prescribed verification procedures.