The legislation of the Kyrgyz Republic introduces norms on taxation of electronic commerce.

The corresponding bill has been developed in order to regulate public relations between government bodies, individuals and legal entities in the field of electronic commerce, of the Government Press Office reported.

The bill provides for the establishment of requirements for electronic transactions for the sale, purchase and exchange of goods, services, including exclusive rights to intellectual property. The innovation provides for amendments to the tax, civil, criminal codes of the Kyrgyz Republic, as well as a number of other regulatory legal acts.

The draft Law of the Kyrgyz Republic "On Amendments to Certain Legislative Acts of the Kyrgyz Republic in the Sphere of Electronic Commerce" was initiated by the deputies of the VI convocation of the Jogorku Kenesh (Parliament) of the Kyrgyz Republic together with the Government of the Kyrgyz Republic to create a legal basis for taxation of electronic goods, works and services, including for the purpose of implementation of "Tax on Google".

It is proposed to add the Tax Code of the Kyrgyz Republic with a new chapter "Tax on activities in the field of electronic commerce", which sets a tax rate of 2%. This will allow taxing electronic goods, works and services provided by foreign legal entities on the territory of the Kyrgyz Republic, regardless of the official presence in the country, such as Google, Facebook and Instagram.

Thus, with the adoption of this draft law, the Parliament will create a legal basis for taxing the designated type of activity from 2021.