Latest Amendments to Kazakhstan's State Inspections Regulations | Morgan Lewis – JDSupra – JD Supra

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Morgan Lewis
The president of Kazakhstan signed a new law on 30 December 2021 introducing changes into several legislative acts. The most significant amendments in Law No. 95-VII concern regulation of state inspections and are apparently intended to better protect the legitimate interests of businesses. 
Below is a summary of the key changes concerning the conduct of state inspections introduced into the Entrepreneurial Code and other laws by Law No. 95-VII, “On Amendments into Certain Legislative Acts of the Republic of Kazakhstan on Implementation of a New Regulatory Policy in the Sphere of Entrepreneurship and Redistribution of Functions of Law Enforcement Authorities” (Amendment Law).
Starting from 1 January 2022, the Amendment Law reduces the list of grounds for unscheduled inspections by state authorities by excluding:
Further, according to the Amendment Law, no complaint of a person alleging violation(s) of law will be sufficient in order to initiate an unscheduled inspection. Starting from 1 January 2023, state authorities will only be able to run unscheduled inspections in the presence of “compelling grounds” and supporting evidence enclosed to such complaint. These changes should reduce inefficient spending of state resources on one hand, and restrict the possibility for the state authorities to conduct unscheduled inspections on the other.
The Amendment Law expands types of a so-called preventive control via introducing a new type of control: the purchase of goods for the purposes of subsequent testing thereof vis-à-vis compliance with applicable requirements.
Starting from 1 January 2023, a prohibition to conduct inspections of small and micro-businesses within the first three years of incorporation will apply to any inspections (except for unscheduled inspections). Currently this ban only applies to the inspections conducted on the basis of risk assessment/category of the entity concerned.
The Amendment Law stipulates that starting from 1 January 2023 the scope of inspections—set of compliance requirements—will be limited by the Register of Mandatory Requirements for Businesses. The register will represent a list of legal acts. Authorities performing state inspections in accordance with the Entrepreneurial Code will not be able to bring entrepreneurs to liability for violation of legal acts not included in the register. Any acts issued as a result of inspection in violation of this restriction will have to be cancelled.
Other significant changes introduced by the Amendment Law concern the following (all changes listed below entered into legal force on 11 January 2022):
Trainee associate Asset Nakupov contributed to this LawFlash.
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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.
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