Ministry of state revenue of Kazakhstan against export duties on oil

/IRBIS, March 2, 00/ - REUTERS informs, with the reference to the head of the ministry, that the Ministry of state revenue of Kazakhstan considers inexpedient to impose crude oil exports duties on foreign oil companies as most of previously signed contracts do not have such clauses. Zeinulla Kakimjanov said imposing export duties and excises on crude oil was inexpedient as it will affect the major oil companies that are under a special taxing conditions. The minister said previously signed contracts were of higher priority according to international norms, and that the ministry would carefully monitor oil export prices. He said they would be much talked about in the press, and that they had already have an information on some oil companies. Some oil producers are evading taxation in Kazakhstan by selling oil at much lower prices than the world price through offshore companies, were saying Kazakhstani mass media and parliament deputies. The minister confirmed that the country did not receive a certain amount of money due to such schemes, and the deputies, mass media give the number of $1 bln. This number is below that mark ($1 bln), but it is a matter for the discussions anyway, and we expect tax declarations from oil companies, he said. Tax committee's opinion, which is in favor of imposing oil exports duties to "increase the budget revenues", was published in the government newspaper "Kazakhstanskaya pravda" today. The tax authorities believe export duties will be an effective mechanism of "lifting up" domestic prices on raw materials to the world level. Earlier, the prime-minister Kasymjomart Tokaev said administrative measures, such as raw material export duties, would be used if they are expedient. Oil exports were reduced to 22 mln tons for this year to load three domestic refineries.