Kyrgyzstan maintains some of the lowest tax rates in Central Asia

Kyrgyzstan has one of the most lenient tax regimes among Central Asian countries. This was stated by Maria Nazarova, Tax Director at Schneider Group, while presenting an overview of tax policy in the region.

According to her, key tax rates in Kyrgyzstan remain significantly lower than those of its neighbors. For example, the corporate income tax rate is 10%, while in Uzbekistan it is 15% and in Kazakhstan 20% (up to 25% for banks and the gambling industry).

A similar situation is observed with regard to value-added tax: in Kyrgyzstan and Uzbekistan, the VAT rate is 12%, whereas in Kazakhstan, it will increase to 16% starting in 2026 (with a preferential rate of 5% applying to the pharmaceutical sector).

Kazakhstan and Uzbekistan have no sales tax, but in Kyrgyzstan, sales tax rates remain low—between 1% and 3%.

Withholding tax in Kyrgyzstan is set at 5–10%, whereas in neighboring countries the range is wider—from 5% to 20%.

Personal income tax in Kyrgyzstan is also among the lowest in the region—ranging from 1% to 10%. By comparison, in Uzbekistan the rate ranges from 5% to 12% (7.5% for residents of IT parks), and in Kazakhstan from 10% to 15%.

Thus, Kyrgyzstan maintains a competitive advantage in terms of tax burden, which can serve as an additional factor for attracting investment and fostering business development in the country.