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The tax period of rent tax on oil export is a calendar quarter. The
oil price used for this research is $80 which corresponds to rent
tax on oil export rate of 16% from taxable income.

5. Value added tax

The rate of value added tax in Kazakhstan is 12% based on

taxable income (14).

6. Property tax

It has a fixed rate of 1.5% of the taxable income (14).

7. Crude oil export duty

Crude oil export duty is $40 per metric ton of exported oil (14). In
order to calculate yearly export duty oil production, given in
barrels, has to be converted to tons and only then multiplied by
$40.

8. Bonuses

Include signature bonus (paid during contract signing) and yearly

flat bonus payments to government. Their amount is negotiated.
They are considered zero for this research.

2.2.2 Production Sharing Agreement

This regime governs Production Sharing Arrangements. It mandates the

payment to the republic of its profit oil share, and taxes and obligatory payments. As
concession agreements, Production Sharing Contracts do not have general form and