Unofficial translation
Footnote. Through the whole text, the words “aul (rural)” are supplemented by the word “rural” in accordance with the Constitutional Law of the Republic of Kazakhstan dated 03.07.2013 No. 121-V (shall be enforced upon expiry of ten calendar days after its first official publication).
This Law establishes legal, economic and organizational grounds of compulsory social insurance as one of the form of social security of citizens carried out by the state.
Chapter 1. General provisions
Article 1. Basic definitions used in this Law
The following basic definitions shall be used in this Law:
1) wage-earner – a person maintaining family members incapable for work, being on his (her) dependence at the expense of own income;
2) rate of number of dependents – rate considering the number of family members of died (recognized missed or declared decedent) wage-earner being on his (her) dependence;
3) social expenditures – compulsory payments established by this Law, paid to the State social insurance fund, granting the right to participant of compulsory social insurance system for which social expenditures were made, and in case of loss of wage-earner to his (her) family members, being on his (her) dependence, to receive social payments in accordance with this Law;
3-1) debt on social expenditures – sums of social expenditures calculated and not transferred in due time;
4) object of calculating social expenditures – expenses of an employer paid to a worker in the form of incomes for performed works, rendered services. Object for calculation of social expenditures are the incomes received by him (her);
5) authorized organization on accounting of social expenditures and social payments (hereinafter – Centre) – republican state fiscal enterprise created under decision of the Government of the Republic of Kazakhstan having structural subdivisions in regions (hereinafter – structural subdivisions);
6) payer of social expenditures (hereinafter – payer) – employer or self-employed person carrying out calculation and payment of social expenditures to the State social insurance fund in the manner established by this Law;
7) rate of social expenditures – flat amount of compulsory payments to the State social insurance fund expressed in percentage ratio to the size of object of calculating social expenditures;
8) social risk – occurrence of event entailing loss of earning capacity and (or) loss of work, loss of wage-earner, as well as loss of income due to pregnancy and childbirth, adoption of newly born child (children) and care for a child upon his (her) attainment of the age of one year, in the result of which a participant of compulsory social insurance system for which social expenditures were made, or in case of his (her) death, the family members being on his (her) dependence shall acquire the right to receive social payments in accordance with this Law;
9) social payments – payments carried out by the State social insurance fund in favour of recipient of social payment;
10) authorized body on assignment of social payments – central executive body in the field of social protection of population and its territorial subdivisions;
11) recipient of social payment (hereinafter – recipient) – an individual for which social expenditures were made or which paid social expenditures as self-employed person to the State social insurance fund before occurrence of social risk and in relation of which, the authorized body on assignment of social payments rendered decision on assignment of social payments, and in case of death of a person being participant of compulsory social insurance system, for which social expenditures were made – family members of died (recognized by court as missed or declared decedent) wage-earner being on his (her) dependence;
12) loss of earning capacity – loss of ability of a worker to perform work, render services, degree of which shall be expressed in percentage ratio to lost earning capacity;
13) rate of loss of earning capacity – rate which shall be determined depending on degree of full loss of earning capacity of a participant of compulsory social insurance system for which social expenditures were made;
13-1) rate of number of days of incapacity for work – rate which shall be determined depending on number of days specified in the list of temporary disability;
14) rate of length of participation – rate which shall be determined depending on total length of participation in compulsory social insurance system;
15) State social insurance fund (hereinafter – Fund) – a legal entity producing accumulation of social expenditures and payments to participants of compulsory social insurance system, in relation of which the case of social risk is occurred, including family members-dependents in case of loss of wage-earner – participant of compulsory social insurance system;
16) assets of the State social insurance fund – social expenditures, late fee, received for delay in paying social expenditures, investment income and other incomings to the State social insurance fund provided by the legislation of the Republic of Kazakhstan minus commission remuneration to ensuring of activity of the State social insurance fund, funds oriented to social payments and return of wrongly accepted or overpaid funds;
17) compulsory social insurance – set of measures, organized, controlled and guaranteed by the state for compensation of part of income due to loss of earning capacity and (or) loss of work, as well as loss of wage-earner, loss of income due to pregnancy and childbirth, adoption of newly born child (children) and care for a child upon his (her) attainment of one year;
18) compulsory social insurance system – set of rules and regulations established and guaranteed by the state, regulating relations between participants of compulsory social insurance system;
18-1) total length of participation in compulsory social insurance system – total number of months for which social expenditures are received;
19) participants of compulsory social insurance system – a payer; participant of compulsory social insurance system for which social expenditures were made; Centre; Fund; Government of the Republic of Kazakhstan; National Bank of the Republic of Kazakhstan; other authorized bodies;
20) participant of compulsory social insurance system for which social expenditures were made – an individual for which social expenditures are paid and which shall have the right to receive social payments upon occurrence of cases of social risk provided by this Law;
21) self-employed person (relating to this Law) – an individual entrepreneur, private notary, private officer of justice, lawyer, ensuring themselves by work bringing income to them.
Self-employed persons in relation of peasant or farm enterprises, applying special tax regime shall be recognized as individual entrepreneurs – head, as well as adult members of peasant or farm enterprise from beginning of calendar year, next to the year of their attainment of majority age;
22) rate of income replacement – rate which determines ratio of social payment to amount of income, taken as the basis upon calculation of social expenditures;
23) authorized body – state body carrying out regulation, control and supervision functions of the activity of Fund.
Footnote. Article 1 is in the wording of the Law of the Republic of Kazakhstan dated 10.07.2012 No. 34-V (shall be enforced from the date of its first official publication); as amended by the Laws of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 2. Relations regulated by this Law
This Law regulates relations linked with creation of additional forms of social security of participants of compulsory social insurance system depending on occurrence of the case of social risk by types of compulsory social insurance provided by this Law.
Article 3. Legislation of the Republic of Kazakhstan on compulsory social insurance
1. Legislation of the Republic of Kazakhstan on compulsory social insurance is based on the Constitution of the Republic of Kazakhstan and consists of this Law and other regulatory legal acts of the Republic of Kazakhstan.
2. If international treaty ratified by the Republic of Kazakhstan establishes other rules than those contained in this Law, the rules of international treaty shall be applied.
Article 4. Types of compulsory social insurance
Compulsory social insurance shall be divided into the following types:
1) in case of loss of earning capacity;
2) in case of loss of wage-earner;
3) in case of loss of work;
4) in case of loss of income due to pregnancy and childbirth;
5) in case of loss of income due to adoption of newly born child (children);
6) in case of loss of income due to care for a child upon his (her) attainment of the age of one year.
Footnote. Article 4 as amended by the Law of the Republic of Kazakhstan dated 19 December 2007 No. 9-IV (the order of enforcement see Article2).
Article 5. Main principles of compulsory social insurance
Main principles of compulsory social insurance are:
1) generality of compliance and fulfillment of the legislation of the Republic of Kazakhstan on compulsory social insurance;
2) guaranteeing of measures by the state applied for ensuring of social payments;
3) obligatoriness of participating in compulsory social insurance payment;
4) use of social expenditures for social payments in accordance with this Law;
5) obligatoriness of social payments on conditions provided by this Law;
6) differentiation of amounts of social payments;
7) publicity in activity of state bodies ensuring compulsory social insurance.
Article 6. Right to receive social payments
The state shall guarantee the right of receiving social payments for citizens upon occurrence of the cases of risks by types of compulsory social insurance on conditions established by this Law.
Foreign persons and stateless persons permanently residing in the territory of the Republic of Kazakhstan shall enjoy the right to receive social payments equally with citizens of the Republic of Kazakhstan.
Footnote. Article 6 as amended by the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 7. Ensuring of safety of social expenditures
1. The state shall guarantee safety and intended use of social expenditures in the Fund.
2. Safety of social expenditures shall be ensured by:
1) regulation of the activity of Fund by establishment of the relevant regulations and limits ensuring its financial strength determined by the Government of the Republic of Kazakhstan;
2) carrying out of investment activity through the National Bank of the Republic of Kazakhstan;
3) consideration of all operations on investment assets management of the Fund in the National Bank of the Republic of Kazakhstan;
4) keep separate accounting of own funds and assets of the Fund;
5) introduction of restrictions of expenses for ensuring of activity of the Fund;
6) obligatoriness of conducting annual audit;
7) regular financial accountability of the Fund in the manner established by the legislation of the Republic of Kazakhstan;
8) determination of the list of financial tools for investment of assets of the Fund by the Government of the Republic of Kazakhstan.
Footnote. Article 7 as amended by the Law of the Republic of Kazakhstan dated 19.03.2010 No. 258-IV.
Article 8.Persons subject to compulsory social insurance
Workers, self-employed persons including foreign persons and stateless persons, permanently residing in the territory of the Republic of Kazakhstan and carrying out the activity bringing income in the territory of the Republic of Kazakhstan, with the exception of recipients of pension payments from the Centre.
Footnote. Article 8 is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 8-1. Competence of the Government of the Republic of Kazakhstan in the scope of compulsory social insurance
Government of the Republic of Kazakhstan in the scope of compulsory social insurance shall:
1) establish limit value of percentage rate of commission remuneration received from the assets of the Fund;
2) approve the procedure and terms of calculation and transferring of social expenditures;
3) approve the rules of calculating (determination), assignment, recalculation and increase of amounts of social payments from the Fund;
4) adopt decision on increase of amounts of social payments from the Fund in cases of loss of earning capability and loss of wage-earner;
5) perform other functions imposed on it by the Constitution of the Republic of Kazakhstan, this Law, other Laws of the Republic of Kazakhstan and acts of the President of the Republic of Kazakhstan.
Footnote. Chapter 1 is supplemented by Article 8-1 in accordance with the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 9. Competence of the authorized body on assignment of social payments
1. Authorized body on assignment of social payments shall:
1) adopt decision on assignment or refusal in assignment of social payments;
2) establish degree of loss of earning capacity;
3) verify credibility of documents;
4) establish requirements on receipt and transfer of documents required for assignment of social payments.
2. Authorized body on assignment of social payments shall be obliged to:
1) inform an applicant in written form on adopted decision on assignment or refusal in assignment of social payments through the structural subdivisions of the Centre;
2) ensure control of well-timed and full assignment of social payments and their receipt;
3)
is excluded by the Law of the Republic of Kazakhstan dated 13.01.2014 No. 159-V (shall be enforced upon expiry of ten calendar days after the date of its first official publication).
Footnote. Article 9 as amended by the Laws of the Republic of Kazakhstan dated 27.04.2012 No. 15-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 13.01.2014 No. 159-V (shall be enforced upon expiry of ten calendar days after the date of its first official publication).
Article 10. Rights and obligations of Centre and its structural subdivisions
1. Centre and its structural subdivisions shall have the right to:
1) carry out receipt and verification of completeness of documents for transfer of their authorized body on assignment of social payments;
2) direct requests on transfer of money on account of Centre on the basis of decision of the authorized body on assignment of social payments;
3) receive the funds from republican budget for rendering of services provided by this Law in the manner established by the legislation of the Republic of Kazakhstan;
4) suspend social payment upon expiration of the term of validity of documents required for assignment of social payments.
2. Centre and its structural subdivisions shall be obliged to:
1) carry out accounting of social expenditures and social payments on the base of individual identification number and make reconciliation of receipt of social expenditures with tax bodies once a week;
1-1) carry out return of wrongly accepted or overpaid sums of social expenditures and (or) late fees for untimely and (or) incomplete payment of social expenditures;
2) notify recipient on deductions made from social payments;
3) notify recipient in case of necessity of return of overpaid sums through the Centre;
4) ensure equal conditions of servicing of persons subject to compulsory social insurance, independently from the size and terms of expenditure to the Fund;
5) transfer social expenditures to the Fund within three banking days;
6) form and transfer documents to the authorized body on assignment of social payments for assignment of social payments within the terms provided by this Law;
7) ensure transfer of social payments to recipients in due time;
8) carry out transfer of overpaid sums of social expenditures to payers within three banking days from the date of transferring of these funds from the Fund on account of the Centre;
9) protect the confidentiality of information on condition and movement of social expenditures and social payments except for the cases provided by the legislative acts of the Republic of Kazakhstan;
10) provide necessary report to the authorized body on assignment of social payments and the Fund in accordance with this Law;
11) give necessary clarifications on the issues of receiving social payments.
Footnote. Article 10 as amended by the Laws of the Republic of Kazakhstan dated 12.01.2007 No. 224 (shall be enforced from 01.01.2012); dated 12.01.2012 No. 538-IV (the order of enforcement see Article 2); dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 10-1. State monopoly in the scope of compulsory social insurance
1. Centre and its structural subdivisions shall carry out the following types of activity related to the state monopoly:
1) personified accounting and formation of centralized data base of social expenditures and social payments of participants of compulsory social insurance system;
2) organization of social payments from funds of the Fund;
3) interaction with authorized body on assignment of social payments on the issues of receipt of documents, formation of layouts of cases on assignment, recalculation of social payments from the Fund;
4) provision of information services to participants of compulsory social insurance system in accordance with the types of activity of the Centre in recognition of requirements of the legislation of the Republic of Kazakhstan in ensuring of confidentiality of information on condition and social payments;
5) carrying out of transfers of social expenditures and (or) late fees for untimely and (or) incomplete payment of social expenditures from payers to the Fund, returns of overpaid (wrongly) sums of social expenditures and (or) late fees on them to payers;
6) provision of registers of received and returned social expenditures of payers to authorized body carrying out management personnel in the scope of ensuring of receipt of taxes and other compulsory payments to the budget;
7) return of sums of social expenditures to a payer transferred for participant of compulsory social insurance system not having individual identification number and (or) in banking details of which there are mistakes.
2. Centre and its structural subdivision shall interact with the fund on the issues of accounting, transfer, returns of social expenditures.
3. Prices for goods (works, services) produced and (or) sold by subject of state monopoly shall be established by the Government of the Republic of Kazakhstan.
Footnote. Article 1 is supplemented by Article 10-1 in accordance with the Law of the Republic of Kazakhstan dated 10.07.2012 No. 34-V (shall be enforced from the date of its first official publication); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 11. Competence of the authorized body
Authorized body shall:
1) carry out analysis, assessment and control of financial stability of the Fund;
2) determine the list, forms, terms of representing financial and other reports by the Fund for ensuring own control and supervision functions;
3) give a consent to appointment of leading employees of the Fund;
4) have the right to receive details on activity of the Fund, as well as details from state bodies and organizations required for carrying out own control and supervision functions;
5) carry out internal control of activity of the Fund in the manner established by the legislation of the Republic of Kazakhstan on state control and supervision;
6) develop standards and limits ensuring financial stability of the Fund;
7) develop the list of financial tools for investing the assets of the Fund;
8) develop the procedure for carrying out of the activity by the Fund, linked with securities and other financial tools;
9) develop proposal on establishment of limit value of percentage rate of commission remuneration received from the assets of the Fund on an annual basis;
10) develop procedure and terms of calculating and transferring social expenditures;
11) develop the rules of calculating (determining), assignment and increase of the amounts of social payments from the Fund;
12) develop proposal on increase of amounts of social payments from the Fund for the cases of loss of earning capability and loss of wage-earner;
13) develop the rules of paying the sums of social payments not received in due time or received not in full due to the fault of authorized body on assignment of social payments, Centre and (or) Fund;
14) carry out other powers provided by this Law, other Laws of the Republic of Kazakhstan, acts of the President of the Republic of Kazakhstan and Government of the Republic of Kazakhstan.
Footnote. Article 11 is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 12. Rights and obligations of a participant of compulsory social insurance system for which social expenditures were made and a recipient
1. Participant of compulsory social insurance system for which social expenditures were made and a recipient shall have the right to:
1) apply for assignment of social payments through the Centre and its structural subdivisions to the authorized body on assignment of social payments upon occurrence of the cases of social risk provided by this Law;
2) receive social payments from the Fund in the manner provided by this Law independently from recipient of state social benefits;
3) request and receive information on a gratuitous basis from recipient, Centre and Fund on completeness and timeliness of transferring and admission of social expenditures and social payments, as well as on procedure for assignment and receipt of social payments;
4) appeal the actions of authorized body on assignment of social payments and other state bodies, Centre and its structural subdivisions, Fund linked with restriction of the rights for receipt of additional forms of social ensuring established by this Law.
2. Participant of compulsory social insurance system for which social expenditures were made and recipient shall be obliged to:
1) represent documents required for assignment of social payments in the manner established by the legislation of the Republic of Kazakhstan;
2)
is excluded by the Law of the Republic of Kazakhstan dated 19 December 2007 No. 9-IV (the order of enforcement see Article 2);
3) carry out return of wrongly paid sums;
4) pass recertification and comply with the terms of undergoing recertification in cases provided by the legislation of the Republic of Kazakhstan;
5) notify structural subdivisions of the Centre on all changes, influencing to fulfillment of obligations of the Fund on social payments during the period of receipt of social payments within ten calendar days from the date of occurrence of such changes.
Footnote. Article 12 as amended by the Laws of the Republic of Kazakhstan dated 19.12.2007 No. 9-IV (the order of enforcement see Article 2); dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 13. Rights and obligations of a payer
1. A payer shall have the right to:
1) return of wrongly paid sums of social expenditures and (or) late fees for untimely and (or) incomplete payment of social expenditures;
1-1) return of sums of social expenditures transferred for participant of compulsory social insurance system not having individual identification number and (or) in banking details of which there are mistakes;
2) request and receive necessary information from the Centre on a gratuitous basis on transferred sums in the manner established by the legislation of the Republic of Kazakhstan;
3) implementation of other rights in accordance with this Law.2. A payer shall be obliged to:
1) pay social expenditures and late fee for untimely and (or) incomplete payment of social expenditures in due time and in full measure;
2) carry out calculation and recalculation of amounts of social expenditures paid to the Fund on an independent basis, as well as calculation of late fee in case of untimely and (or) incomplete payment of social expenditures;
3) represent calculations on accrued and transferred social expenditures to tax bodies.
Footnote. Article 13 as amended by the Laws of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Chapter 2. Social expenditures
Article 14. Amount of social expenditures
1. Social expenditures subject to payment to the Fund for participants of compulsory social insurance system shall be established in amount:
from 1 January 2005 – 1,5 percent from the object of calculati ng social expenditures;
from 1 January 2006 – 2 percent from the object of calculating social expenditures;
from 1 January 2007 – 3 percent from the object of calculating social expenditures;
from 1 January 2009 – 4 percent from the object of calculating social expenditures;
from 1 January 2010 – 5 percent from the object of calculating social expenditures.
2. For self-employed persons on which special tax regime is applied in accordance with the tax legislation of the Republic of Kazakhstan, amount of social expenditures paid by them in own favour shall be:
from 1 January 2005 – 1,5 percent from minimal wages established by the Law on republican budget for the relevant financial year;
from 1 January 2006 – 2 percent from minimal wages established by the Law on republican budget for the relevant financial year;
from 1 January 2007 – 3 percent from minimal wages established by the Law on republican budget for the relevant financial year;
from 1 January 2009 – 4 percent from the object of calculating social expenditures, but no less than 4 percent from minimal wages established by the Law on republican budget for the relevant financial year;
from 1 January 2010 – 5 percent from the object of calculating social expenditures, but no less than 5 percent from minimal wages established by the Law on republican budget for the relevant financial year.
By this, maximal amount of social expenditures of self-employed persons shall not exceed the sum of calculated social tax for accounting period.
Footnote. Article as amended by the Laws of the Republic of Kazakhstan dated 19 December 2007 No. 9-IV (the order of enforcement see Article 2); dated 10.12.2008 No. 101-IV (shall be enforced from 01.01.2009).
Article 15. Calculation and transfer of social expenditures
1. Calculation of expenses of an employer paid to a worker in the form of incomes shall be performed in the manner provided by the Tax Code of the Republic of Kazakhstan including financial allowance of military servants, employees of special state and law enforcement bodies in expenses of the employer paid in the form of incomes to the workers.
2. Calculation and transfer of social expenditures paid for participants of compulsory social insurance system shall be performed on an annual basis.
By this, monthly income shall be accepted for calculation of social expenditures in amount not exceeding ten-fold amount of minimal wages established by the Law on republican budget.
In case if object of calculating social expenditures for calendar month is less than minimal amount of wages established by the Law on republican budget and being in force by 1 January of the relevant financial year, the social expenditures shall be calculated, transferred proceeding from minimal amount of wages.
2-1. Under decision of legal entity-resident, its branches, representatives may be considered as payers of social expenditures.
3.
Is excluded by the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Footnote. Article 15 as amended by the Laws of the Republic of Kazakhstan dated 13.12.2004 No. 11 (shall be enforced from 01.01.2005); dated 19.12.2007 No. 8-IV (the order of enforcement see Article 2); dated 21.07.2011 No. 467-IV (shall be enforced from 01.01.2009); dated 18.01.2012 No. 547-IV (shall be enforced upon expiry of ten calendar days after its first official publication); dated 13.02.2012 No. 553-IV (shall be enforced upon expiry of ten calendar days after its first official publication); dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 16. Procedure for paying social expenditures
1. Social expenditures to the fund shall be paid by a payer by carrying out of payments through banking account of the Centre not later than 25 day of month next to accounting, unless otherwise established by this Article.
2.
(Is excluded).
2-1. Peasant or farm enterprises applying special tax regime, subject of small business applying social tax regime on the basis of simplified declaration, individual entrepreneurs applying special tax regime on the basis of a patent shall pay the sums of social expenditures within the terms provided by the tax legislation of the Republic of Kazakhstan.
3. The date of paying social expenditures carried out in non-cash form shall be the date of receiving the bill of acceptance of payment commission to amount of social expenditures from the bank or organization carrying out separate types of banking operations, in cash form – from the moment of introduction of social expenditures to the bank.
Footnote. Article 16 as amended – by the Law of the Republic of Kazakhstan dated 13 December 2004 No. 11 (shall be enforced from 1 January 2005); dated 10.12.2008 No. 101-IV (shall be enforced from 01.01.2009).
Article 17. Responsibility of a payer for untimely transfer of social expenditures
Footnote. Title of Article is in the wording of the Law of the Republic of Kazakhstan dated 10.12.2008 No. 101-IV (shall be enforced from 01.01.2009); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
1. Sums of social expenditures not transferred in due time shall be recovered by tax bodies or subject to transfer by a payer with accrued late fee to account of the Fund in amount of 2,5-fold official rate of refinancing established by the National Bank of the Republic of Kazakhstan for each day of arrears (including the date of paying to the Fund).
2. In case of incomplete and (or) untimely transfer of social expenditures, tax bodies shall have the right to recover money within formed debt from banking accounts of a payer.
Recovery of debt on social expenditures shall be performed on the basis of collection order of tax body with referral of notification to a payer in the manner established by the Government of the Republic of Kazakhstan.
Such notification shall not be referred in case if debt on social expenditures doesn’t exceed the sum in amount of one monthly calculation index established by the Law on republican budget.
A payer shall be obliged to represent the list of participants of compulsory social insurance system to the tax body, for which social expenditures are made, within the terms established by the Government of the Republic of Kazakhstan.
In case of absence or deficiency of money on banking accounts for satisfying all the requirements submitted to a client, the bank shall perform exemption of money of the client in the manner of priority established by the Civil Code of the Republic of Kazakhstan.
In case of absence of money on banking accounts in the national currency of a payer, the recovery of debt on social expenditures shall be performed from banking accounts in foreign currency of the payer on the basis of collection orders set by tax bodies in the national currency.
2-1. Upon expiry of five business days from the date of delivery of notification provided by paragraph 2 of this Article, in case of non-presentation of the list of participants of compulsory social insurance system by a payer having a debt on social expenditures, the tax body shall suspend debit operations on banking accounts and cash register of the payer.
Upon regulation of tax bodies, the banks and organizations carrying out separate types of banking operations shall be obliged to suspend all debit operations on banking accounts of payers and fulfill the instructions concerning transfer of compulsory social expenditures, pension contributions and debts for tax in the manner established by the legislation of the Republic of Kazakhstan.
Regulation of tax body on suspension of debit operations on banking accounts and cash register shall be annulled by tax body, issued such regulations not later than one business day next to the date of eliminating the reasons of suspension of debit operations on banking accounts and cash register.
3. Banks and organizations carrying out separate types of banking operations shall be obliged to transfer the sums of social expenditures to account of the fund on the date of debiting these sums from banking account of a payer.
4. Suspension of debit operations on banking accounts and cash register of a payer shall be carried out in the manner established by the Government of the Republic of Kazakhstan.
Footnote. Article 17 as amended by the Laws of the Republic of Kazakhstan dated 13.12.2004 No. 11 (shall be enforced from 1 January 2005); dated 11.12.2006 No. 201 (shall be enforced from 1 January 2007); dated 10.12.2008 No. 101-IV (shall be enforced from 01.01.2009); dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 05.12.2013 No. 152-V (shall be enforced from 01.01.2014); dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 18. Notification on made expenditures
A payer shall represent declaration on individual income tax and social tax on a quarter basis within the term established by the tax legislation of the Republic of Kazakhstan in which shall reflect details on accrued social expenditures for participants of compulsory social insurance system, unless otherwise established by the legislation of the Republic of Kazakhstan.
Form of declaration and procedure for its drawing up shall be established by the Government of the Republic of Kazakhstan.
Footnote. Article 18 is in the wording of the Law of the Republic of Kazakhstan dated 26.12.2012 No. 61-V (shall be enforced from 01.01.2013).
Article 19. Return of (wrongly) overpaid social expenditures and (or) late fees for untimely and (or) incomplete payment of social expenditures
Sums of (wrongly) overpaid social expenditures and (or) late fees for untimely and (or) incomplete payment of social expenditures by a payer shall be subject to transfer to banking account of the Centre within seven banking days from the date of receipt of application of the payer to the Fund for the following transfer to banking account of the payer by the Centre within three banking days in the manner established by the Government of the Republic of Kazakhstan.
Footnote. Article 19 is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); as amended by the Law of the Republic of Kazakhstan dated 21.06.2013 No. 106-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Chapter 3. Assignment of social payments
Article 20. Application for assignment of social payments and terms of considering the documents for assignment of social payments
1. Application for assignment of social payments shall be carried out by submission of the application in structural subdivisions of the Centre at the place of residence of an applicant. The application shall be accompanied by documents, the list of which shall be established by this Law.
2. Within five business days from the date of acceptance of documents required for assignment of social payments, the structural subdivisions of the Centre shall transfer them to the authorized body on assignment of social payments.
3. Within five business days from the date of receipt of documents, the authorized body on assignment of social payments shall consider them and adopt decision on assignment or refusal in assignment of social payments. In case of refusal in assignment of social payments, it shall be obliged to notify an applicant in written on the reasons of refusal and return originals of represented documents to the applicant through structural subdivisions of the Centre.
4. Authorized body on assignment of social payments shall have the right to perform verification of credibility of represented documents. For these purposes it may direct requests on credibility of represented documents to the state bodies and relevant organizations and verify existence of documents that are the ground for their issuance. By this an applicant shall be notified in written on occurred delay in adoption of decision on assignment of social payments and terms of extension of adoption of decision, but no more than one month.
5. Upon the following applications, the authorized body on assignment of social payments within five business days from the date of repeated application shall adopt decision on assignment or refusal and notify an applicant in written through the structural subdivision of the Centre with specification of the reason for refusal and procedure for appeal.
Decision of the authorized body in assignment of social payments may be appealed in a judicial proceeding.
6. Social payments from the Fund shall be assigned from the date of creation of the right to social payments from the Fund.
Right to social payments from the Fund shall be created:
in case of loss of earning capacity – from the date of establishment of the degree of total loss of earning capacity of participant of compulsory social insurance system by the authorized body on assignment of social payments, for which social expenditures were made to the Fund;
in case of loss of wage-earner – from the date of death mentioned in death certificate, or from the date mentioned in court decision o recognition of citizen as missed or on declaration of citizen as decedent.
Right to allocation of share of social payment in case of loss of wage-earner shall be created from the date of applying to the authorized body on assignment of social payments for its allocation;
in case of loss of work – from the date of applying of participant of compulsory social insurance system for which social expenditures were made to the Fund, for registration as unemployed person to the authorized body on the issues of employment;
in case of loss of income due to pregnancy and childbirth – from the date of pregnancy leave and childbirth mentioned in the list of temporary incapacity for work;
in case of loss of income due to adoption of newly born child (children) – from the date of leaves of workers, adopted newly born child (children) mentioned in the list of temporary incapacity for work;
in case of loss of income due to care for a child upon his (her) attainment of the age of one year – from the date of birth mentioned in certificate of birth of the child, in cases of adoption of child (children) and appointment of trusteeship over a child left without parental custody at the age up to one year – from the date of entering of court decision into force on adoption of child (children) or from the date of appointment of a trustee.
Terms of applying for assignment of social payments from the Fund in cases of loss of work, loss of income due to pregnancy and childbirth, adoption of newly born child (children) and care for a child upon his (her) attainment of the age of one year may not exceed twelve months from the date of creation of right to social payment from the Fund.
7. Date of applying for assignment of social payments from the Fund shall be the date of submitting the application to structural subdivision of the Centre.
8. Sums of social payments not received in due time or non-completely due to the fault of authorized body on assignment of social payments, Centre and (or) Fund, shall be paid for the past time without restriction of terms and subject to indexation in amount no more than 2-fold official rate of refinancing established by the National Bank of the Republic of Kazakhstan for the date of paying these sums for each date of arrears (including the date of payment) in the manner determined by the Government of the Republic of Kazakhstan.
Footnote. Article 20 as amended by the Laws of the Republic of Kazakhstan dated 19.12.2007 No. 9-IV (the order of enforcement see Article 2); dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 21. Assignment and amount of social payment in case of loss of earning capacity
1. Social payment in case of loss of earning capacity shall be assigned to participant of compulsory social insurance system for which social expenditures were made, independently from that if the work is terminated at the time of applying for social payment or is continued.
2. For assignment of social payment in case of loss of earning capacity, the application shall be accompanied by:
1) document certifying identity;
2) details on place of residence (address certificate or certificate of akim of rural district);
3) details on conduct of certification and establishment of degree of total loss of earning capacity;
4) details on number of banking account opened in banks and (or) organizations carrying out separate types of banking operations, or control account of cash holdings of correctional institution.
3. Certification and establishment of degree of total loss of earning capacity of person shall be carried out by conduct of medical and social assessment by territorial subdivisions of authorized body in the field of social protection of population in accordance with the legislation of the Republic of Kazakhstan on social protection of disabled persons.
4. Social payment for the case of loss of earning capacity shall be assigned from the date of creation of the right to social payments from the Fund for the whole established period of loss of earning capacity.
In case of change of degree of loss of earning capacity, the social payment shall be carried out in amount conforming to newly established degree of loss of earning capacity, from the date of change of degree of loss of earning capacity. By this the authorized body on assignment of social payments shall notify Centre and its structural subdivisions within three business days in respect of rendered decision on change of amount of social payments.
5. Amount of monthly social payment in case of loss of earning capacity shall be determined by multiplying average amount of income considered as the object of calculating social expenditures minus eighty percent from minimal amount of salary established by the Law o republican budget, by the relevant rate of income replacement, loss of earning capacity and length of participation.
Average amount of income considered as object of calculating social expenditures shall be determined by division of sum of incomes from which social expenditures were made for the last twenty four calendar months by twenty four (independently from if there were suspensions in social expenditures in this period) preceding the month in which the right to social payment is occurred.
By this, the rate of income replacement is 0,6.
Rate of loss of earning capacity is:
for persons that lost earning capacity, the degree of total loss of earning capacity of which is from eighty to one hundred percent – 0,7;
for persons that lost earning capacity, the degree of total earning capacity of which is from sixty to eighty percent – 0,5;
for persons that lost earning capacity, the degree of total loss of earning capacity of which is from thirty to sixty percent – 0,3.
Rate of length of participation for participant of compulsory social insurance system for which social expenditures were made is:
less than six months – 0,1;
from six to twelve months – 0,7;
from twelve to twenty four months – 0,75;
from twenty four to thirty six months – 0,85;
from thirty six to forty eight months – 0,9;
from forty eight to sixty months – 0,95;
from sixty and more months – 1,0.
6. Social payment in case of loss of earning capacity shall be terminated:
1) from the date of assignment of pension payments for recipient from the Centre;
2) due to death of recipient (recognition as missed or declaration as decedent). Social payment shall be carried out on month of death of recipient (from the date of entering of court decision into force on recognition as missed or declaration as decedent) included;
3) from the date of rendering of decision of authorized body on assignment of social payments on recognition of recipient as capable for work.
7. Social payment in case of loss of earning capacity shall be suspended from the date of end of established period of loss of earning capacity of recipient up to establishment of regular period of loss of earning capacity.
Footnote. Article 21 is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 22. Assignment and amount of social payment in case of loss of wage-earner
1. The following family members of died (recognized as missed or declared decedent by court) wage-earner – participant of compulsory social insurance system for which social expenditures were made, shall have the right to assignment and receipt of social payments in case of loss of wage-earner:
1) children as well as adopted children, brothers, sisters and grandchildren not attained the age of eighteen years and older than this age, if they became disabled persons until attainment of eighteen years. By this brothers, sisters and grandchildren – upon condition, if they don’t have parents capable for work or if they don’t receive alimonies from parents. Persons mentioned in this subparagraph older than eighteen years of age studying in general secondary, technical and professional, post-secondary and higher education organizations of full time course shall have the right to receive social payments until the end of study within the ambits not exceeding twenty three years of age;
2) one of parents or spouse or grandfather, grandmother, brother or sister independently from the age and capability for work, if he (she) is engaged in care for children, brothers, sisters or grandchildren of decedent (recognized as missed or declared decedent by court) wage-earner not attained three years.
2. Social payments assigned to children left without parental custody – participants of compulsory social insurance system for which social expenditures were made, shall be paid to adoptee, trustee for each lost parent in accordance with the legislative acts of the Republic of Kazakhstan.
3. Social payments for persons recognized as disabled persons of groups I or II shall be assigned for the term of establishment of disability.
4. For assignment of social payment in case of loss of wage-earner, the application shall be accompanied by:
1) document certifying identity;
2) details on family composition;
3) details on place of residence (address certificate or certificate of akim of rural district);
4) copy of death certificate of wage-earner or court decision on recognition of person as missed or on declaration as decedent;
5) copies of documents certifying relative relations with a decedent person (recognized as missed or declared decedent by court), certificates on conclusion of marriage (matrimony), on birth of children of decedent wage-earner, on adoption;
6) certificate from general secondary, technical and professional, post-graduate and higher education organizations that family members are those studying in full time course of study (shall be updated on an annual basis in beginning of academic year);
7) certificate on appointment as trustee (in case of necessity);
8) details on extension of certification and establishment of group of disability (in case when children, as well as adopted children, brothers, sisters and grandchildren not attained the age of eighteen years and older than this age are recognized as disabled persons of groups I and II from childhood);
2) details on number of banking account opened in banks and (or) organizations carrying out separate types of banking operations, or control account of cash holdings of correctional institution.
5. One social payment shall be assigned to all family members being in dependence on decedent (recognized as missed or declared decedent by court) wage-earner having the right to assignment and receipt of social payments in case of loss of wage-earner.
6. Upon written application of a family member being in dependence on decedent (recognized as missed or declared decedent by court) wage-earner, his (her) share of social payment shall be allocated and paid to him (her) separately.
Allocation of share of social payment shall be performed from the date of applying to authorized body on assignment of social payments.
7. In case of change of number of family members being in dependence on decedent (recognized as missed or declared decedent by court) wage-earner, the authorized body on assignment of social payments shall adopt decision on recalculation of social payments on the basis of written application of recipient. By this, amount of social payment shall be increased or reduced respectively on the number of family members having the right to receive social payments.
8. Amount of monthly social payment in case of loss of wage-earner shall be determined by multiplication of average amount of income considered as the object of calculating social expenditures minus eighty percent from minimal amount of salary established by the Law on republican budget by the relevant rates of income replacement, number of dependents and length of participation.
Average amount of income considered as the object of calculating social expenditures shall be determined by division of sum of incomes from which social expenditures were made for the last twenty four calendar months by twenty four (independently from if there were suspensions in social expenditures in this period) preceding the month in which the right to social payment is occurred.
Social payments in case of loss of wage-earner shall be paid to family members of decedent (recognized as missed or declared decedent by court) wage-earner being in his (her) dependence on a monthly basis during the period within which family member (members) of decedent (recognized as missed or declared decedent by court) wage-earner shall preserve the right to receive social payments.
9. Rate of number of dependence shall be determined depending on number of persons being in dependence on participant of compulsory social insurance system for which social expenditures were made before occurrence of death and is 0,4 upon one dependent, 0,5 – two dependents, 0,6 – three dependents, 0,8 – four and more dependents.
By this the rate of income replacement and rate of length of participation shall be calculated in accordance with Article 21 of this Law.
10. Social payment in case of loss of wage-earner shall be suspended:
1) from the date of expiration of term of establishing disability for persons recognized as disabled persons of groups I and II from childhood being in dependence on decedent (recognized as missed or declared decedent by court) wage-earner before recertification;
2) from the date of expiration of validity term of certificate of secondary, technical and professional, post-secondary and higher education organizations that family members are those studying or students of full time course of study. Social payment in case of loss of wage-earner shall be reproduced upon regular representation of certificate from the moment of suspension.
11. Social payment in case of loss of wage-earner shall be terminated:
1) due to death of person being in dependence of decedent (recognized as missed or declared decedent by court) wage-earner. Social payment in case of loss of wage-earner shall be carried out on month of death included;
2) from the date of expiration of the term of establishing disability for person being in dependence on decedent (recognized as missed or declared decedent by court) wage-earner;
3) from the date of attainment of the age of eighteen years by person being in dependence of decedent (recognized as missed or declared decedent by court) wage-earner (with the exception of persons being disabled persons upon attainment of eighteen years), and in case of study of mentioned person in general secondary, technical and professional, post-secondary and higher education organizations in full time of study – the age of twenty four years.
Footnote. Article 22 is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 23. Assignment and amount of social payment in case of loss of work
1. Social payment in case of loss of work shall be assigned from the date of applying of participant of compulsory social insurance system for registration as unemployed to authorized body on the issues of employment.
2. For assignment of social payment in case of loss of work, the application shall be accompanied by:
1) document certifying identity;
2) details on place of residence (address certificate or certificate of akim of rural district);
3) certificate of authorized body on the issues of employment;
4) details on number of banking account opened in banks and (or) organizations carrying out separate types of banking operations or control account of cash holdings of correctional institution.
3. Amount of social payment in case of loss of work shall be determined by multiplying average amount of income considered as the object of social expenditures by the relevant rates of income replacement and rate of length of participation.
Average amount of income considered as the object of calculating social expenditures shall be determined by division of sum of incomes from which social expenditures were made for the last twenty four calendar months by twenty four (independently from if there were suspensions in social expenditures in this period) preceding the month in which the right to social payment on loss of work was occurred.
By this the rate of income replacement is 0,3, and the rate of length of participation shall be considered in accordance with Article 21 of this Law.
4. Participant of compulsory social insurance system for which social expenditures were made in case of loss of work shall be assigned:
for one month – in case when social expenditures were made for him (her) from six to twelve months;
for two months – in case when social expenditures were made for him (her) from twelve to twenty four months;
for three months – in case when social expenditures were made for him (her) from twenty four to thirty months;
for four months – in case when social expenditures were made for him (her) from thirty and more months.
5. Social payment in case of loss of work upon the following application shall be assigned proceeding from that for each month of previously received social payment in case of loss of work; twelve months shall be deducted from the general length of participation in compulsory social insurance system.
6. Social payment in case of loss of work shall be terminated upon expiry of month of deregistration of recipient by authorized body on the issues of employment.
Footnote. Article 23 is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 23-1. Assignment and amount of social payment in case of loss of income due to pregnancy and childbirth, adoption of newly born child (children)
1. Social payment in case of loss of income due to pregnancy and childbirth, adoption of newly born child (children) shall be assigned to participant of compulsory social insurance system having the right to receive social payments from the Fund beginning from 1 January 2008.
2. For assignment of social payment in case of loss of income due to pregnancy and childbirth, adoption of newly born child (children), the application shall be accompanied by:
1) document certifying identity;
2) details on place of residence (address certificate or certificate of akim of rural district);
3) sheet (sheets) of temporary incapacity for work;
4) standard type certificate (certificates) from the place of work on incomes for the last twelve calendar months before occurrence of social risk;
5) details on number of banking account opened in banks and (or) organizations carrying out separate types of banking operations or control account of cash holdings of correctional institution;
6) in addition for self-employed persons:
cope of certificate on state registration as individual entrepreneur;
reconciliation act on taxes and other compulsory payments to the budget issued by tax bodies.
3. Social payment in case of loss of income due to pregnancy and childbirth, adoption of newly born child (children) shall be assigned for the whole period mentioned in the sheet of temporary incapacity for work issued in the manner established by the Government of the Republic of Kazakhstan.
Social payment for cases of loss of income due to pregnancy and childbirth, adoption of newly born child (children) shall be assigned to inhabitants of the city of Baikonur being participants of compulsory social insurance system on the basis of sheet of temporary incapacity for work issued by federal health care organizations of the Russian Federation and their subdivisions located in the territory of the city of Baikonur for the period of leave due to pregnancy and childbirth, adoption of newly born child (children) in accordance with Labour Code of the Republic of Kazakhstan.
4. Amount of social payment in case of loss of income due to pregnancy and childbirth, adoption of newly born child (children) shall be determined by multiplying average amount of income considered as the object of calculating social expenditures by the relevant rate of quantity of disability days.
Average amount of income considered as the object of calculating social expenditures shall be determined by division of sum of incomes from which social expenditures were made for the last twelve calendar months by twelve (independently from if there were suspensions in social expenditures in this period) preceding the month in which the right to social payment is occurred.
Rate of quantity of disability days shall be determined by division of quantity of days, for which the sheet of temporary disability is issued, by thirty calendar days.
5. An employer shall pay leave on pregnancy and childbirth, leave of workers, adopted newly born child (children) with preservation of average salary, if this is provided by conditions of labour and (or) collective agreement, act of the employer with the deduction of sum of social payment in case of loss of income due to pregnancy and childbirth, adoption of newly born child (children) in accordance with labour legislation of the Republic of Kazakhstan.
Footnote. Chapter 3 is supplemented by Article 23-1 in accordance with the Law of the Republic of Kazakhstan dated 19.12.2007 No. 9-IV (the order of enforcement see Article 2); is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 23-2. Assignment and amount of social payment in case of loss of income due to care for child upon his (her) attainment of the age of one year
1. Social payment in case of loss of income due to care for child upon his (her) attainment of the age of one year shall be assigned to participant of compulsory social insurance system for which social expenditures were made and having the right to receive social payments from the Fund beginning from 1 January 2008.
2. Upon birth of two and more children, social payment in case of loss of income due to care for child upon his (her) attainment of the age of one year shall be assigned separately for each child.
3. For assignment of social payment in case of loss of income due to care for child upon his (her) attainment of the age of one year, the application shall be accompanied by:
1) document certifying identity;
2) details on place of residence (address certificate or certificate of akim of rural district);
3) copy of birth certificate of a child (children), as well as originals for their reconciliationж
4) details on family composition;
5)
is excluded by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014);
6) details on number of banking account opened in banks and (or) organizations carrying out separate types of banking operations or control account of cash holdings of correctional institution;
7) in cases of adoption of child (children) at the age up to one year – copy of abbreviate from court decision on adoption of child (children) issued by body carrying out the functions on trusteeship or guardianship;
8) in cases of establishment of trusteeship over child (children) at the age up to one year – copy of court decision carrying out the functions on trusteeship or guardianship.
4. Social payment in case of loss of income due to care for child upon his (her) attainment of the age of one year shall be assigned from the date of birth mentioned in birth certificate of the child till the date of his (her) attainment of the age of one year included.
In case of death of child not attained the age of one year, social payments shall be performed on month of death included.
5. Monthly social payments in case of loss of income due to care for child upon his (her) attainment of one year shall be determined by multiplying average monthly amount of income by the rate of income replacement.
Average monthly amount of income considered as object of calculating social expenditures shall be determined by division of the sum of incomes from which social expenditures were made for the last twenty four months by twenty four (independently from if there were suspensions in social expenditures in this period) preceding the month in which the right to social payment is occurred.
Rate of income replacement is 0,4.
By this the maximal amount of social payment in case of loss of income due to care for child upon his (her) attainment of one year shall not exceed forty percent from ten-fold amount of minimal salary established by the Law on republican budget, and minimal amount of social payment – no less than amount of monthly state benefit on care for child upon his (her) attainment of the age of one year.
6. In case of death (recognition as missed or declared decedent by court), deprivation or restriction of parental rights, serving punishment in places of deprivation of freedom of recipient, social payment in case of loss of income due to care for child upon his (her) attainment of the age of one year shall be made to person carried out care for child upon his (her) attainment of the age of one year, with the exception of cases of placing the child on full state security, on the basis of the following documents:
1) document certifying identity;
2) copies of death certificate, court decision on recognition as missed or declaration as decedent, deprivation or restriction of parental rights, court verdict on serving punishment at the places of deprivation of freedom of recipient of social payment in case of loss of income due to care for child upon his (her) attainment of the age of one year;
3) copy of court decision entered into force on adoption;
4) certificates on appointment as trustee.
7. Social payment in case of loss of income due to care for child (children) upon his (her) attainment of the age of one year shall be terminated:
1) upon expiry of month in which death of child (children) is occurred;
2) upon expiry of month in which child (children) is (are) placed on full state security;
3) upon expiry of month in which parents were deprived or restricted in parental rights, decisions on adoption are recognized invalid or annulled, trustees are released or suspended from fulfilling their obligations, in cases established by matrimonial legislation of the Republic of Kazakhstan.
Footnote. Chapter 3 is supplemented by Article 23-2 in accordance with the Law of the Republic of Kazakhstan dated 19.12.2007 No. 9-IV (the order of enforcement see Article 2); is in the wording of the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); as amended by the Law of the Republic of Kazakhstan dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 24. Calculation, recalculation and increase of amount of social payment
Footnote. Article 24 is excluded by the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Chapter 4. Social payments and deductions from them
Article 25. Social payment from the Fund
Social payment shall be made for current month through the Centre by transferring on banking accounts of recipient. For delay of payments, the late fee shall be accrued in accordance with paragraph 8 of Article 20 of this Law.
Footnote. Article 25 is in the wording of the Law of the Republic of Kazakhstan dated 19 December 2007 No. 9-IV (the order of enforcement see Article 2).
Article 26. Deductions from social payments
In case of loss of earning capacity and (or) loss of work, as well as loss of income due to pregnancy and childbirth, adoption of newly born child (children) and care for child upon his (her) attainment of the age of one year, compulsory pension contributions shall be deducted from social payments and directed to unified pension savings fund in accordance with the legislation of the Republic of Kazakhstan on pension provision.
Footnote. Article 26 is in the wording of the Law of the Republic of Kazakhstan dated 21.06.2013 No. 106-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Chapter 5. State social insurance fund
Article 27. State social insurance fund
1. State social insurance fund – non-commercial organization if the form of joint stock company, the single chairman and participant of which is the state.
2. Fund shall entail responsibility on own obligations by all its property.
Article 27-1. Requirements submitted to leading employees of the Fund
1. Leading employees of the Fund are the chief executive officer of executive body and his (her) deputies, accountant.
2. The following requirements shall be established to leading employees of the Fund:
1) for the chief executive officer of executive body and his (her) deputies:
education – higher professional (legal, financial and economic);
work experience on leading positions no less than five years linked immediately with professional activity on securities market and in organizations carrying out activity on financial market, or existence of work experience no less than six years on leading positions in the scope of social protection of population;
2) for senior accountant:
education – higher professional (financial, economic);
financial and accounting work experience no less than five years, as well as no less than five years on leading positions.
3. The person as follows may not be elected (appointed) as leading employee of the Duns:
1) not having higher professional education;
2) not having minimal required work experience in the scopes of activity provided by paragraph 2 of this Article;
3) not having unblemished business reputation;
4) previously being the chief executive officer, senior accountant of legal entity that was recognized bankrupt or subject to sanction, conservation, compulsory liquidation in the period when the person was in position of chief executive officer, deputy of chief executive officer, senior accountant of this legal entity.
Footnote. Chapter 5 is supplemented by Article 27-1 in accordance with the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 28. Activity of the Fund
Fund shall carry out its activity at the expense of commission remuneration received from the assets of the Fund.
Own funds of the Fund shall be formed and consist of charter capital of the Fund and commission remuneration.
Footnote. Article 28 as amended by the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 29. Rights and obligations of the Fund
1. Fund shall have the right to:
1) carry out accumulation of social expenditures;
2) engage in activity linked with securities and other financial tools in the manner determined by the Government of the Republic of Kazakhstan;
2-1) conduct advisory and explanatory work on the issues of compulsory social insurance;
3) receive commission remuneration on carrying out of the activity of the Fund;
4) receive information from the Centre on flow of funds;
5) request and receive information from participants of compulsory social insurance system required for ensuring of activity of the Fund with the exception of cases provided by the legislative acts of the Republic of Kazakhstan;
6) carry out return of overpaid (wrongly paid) sums of social expenditures and (or) late fees for untimely and (or) incomplete payment of social expenditures.
2. Funs shall be obliged to:
1) ensure transfer of funds for carrying out of social payments by the Centre in due time;
2) place temporary free funds of the Fund in financial tools through the National Bank of the Republic of Kazakhstan;
3) ensure conduct of annual audit;
4) fulfill other obligations in accordance with the legislative acts of the Republic of Kazakhstan.
3. Fund shall not have the right to:
1) transfer assets of the Fund in gage;
2) engage in entrepreneurial and other activity not provided by this Law.
Footnote. Article 29 as amended by the Laws of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 21.06.2013 No. 106-V (shall be enforced upon expiry of ten calendar days after its first official publication); dated 10.01.2014 No. 156-V (shall be enforced from 01.01.2014).
Article 30. Investment activity of the Fund
1. Fund shall carry out investment activity by placing the assets of the Fund into financial tools through the National Bank of the Republic of Kazakhstan on the basis of agreement concluded between the Fund and National Bank of the Republic of Kazakhstan.
2. National Bank of the Republic of Kazakhstan shall keep records of all operations on accumulation and placing the assets of the Fund, on receipt of investment income and represent report to the Fund on quarter basis on condition of accounts and investment activity with the assets of the Fund in accordance with concluded agreement.
Article 31. Formation of assets of the Fund
1. Assets of the Fund shall be formed at the expense of:
1) social expenditures, late fee received for delay in payment of social expenditures, investment income minus commission remuneration for ensuring of the activity of the Fund;
2) other sources provided by the legislation of the Republic of Kazakhstan.
2. Assets of the Fund may be used exclusively for the following purposes:
1) carrying out of social payments in accordance with this Law;
2) placement into financial tools, the list of which shall be determined by the Government of the Republic of Kazakhstan;
3) return of overpaid sums of social expenditures and other wrongly accepted funds.
3. Levy of executions on the assets of the Fund shall not be allowed.
Footnote. Article 31 as amended by the Law of the Republic of Kazakhstan dated 04.02.2013 No. 75-V (shall be enforced upon expiry of ten calendar days after its first official publication).
Article 32. Accounting and reporting
1. Fund shall keep business accounting and represent financial reporting separately on own funds and assets of the Fund in the manner established by the legislation of the Republic of Kazakhstan.
2. Fund shall be obliged to ensure accounting and keeping of documents used in business accounting and upon drawing up of reporting. The list of main documents subject to keeping, and terms of their keeping shall be established by the legislation of the Republic of Kazakhstan.
Chapter 6. Final provisions
Article 33. Resolution of disputes
All the disputes arising between the Fund, Centre, state bodies, individuals and legal entities on fulfillment of this Law shall be resolved in accordance with the legislation of the Republic of Kazakhstan.
Article 34. Responsibility for violation of the legislation of the Republic of Kazakhstan on compulsory social insurance
Persons guilty in violation of the legislation of the Republic of Kazakhstan on compulsory social insurance shall bear responsibility in accordance with the Laws of the Republic of Kazakhstan.
Article 35. Procedure for enforcement of this Law
This Law enters into force from 1 January 2005.
The President
of the Republic of Kazakhstan
