According to the recent amendments to the Law “On the Rates of Social Contributions for State Social Insurance”, foreign citizens and stateless persons who are in labor relations with a legal entity registered in the Kyrgyz Republic, regardless of their period of stay in the country and regardless of the fact of holding a residence permit, shall be required to pay social contributions from employment remuneration at the rates applicable to citizens of the Kyrgyz Republic. In particular, contribution to the Accumulative Pension Fund is set at 8% rate and the State Accumulative Pension Fund, at 2% rate.
Local employers shall be also obliged to pay social contributions at the rate of 17.25% of foreign employees’ remuneration, including:
Previously, a single rate of social contributions to the Pension Fund in the amount of 3% was applied.
The Law also assigns responsibility to accrue and pay social contributions on foreign citizens and stateless persons working under civil law contracts or engaged in individual entrepreneurial activity at the rates applicable to citizens of the Kyrgyz Republic.
It is important to note that amendments to the Law related to increase of social contributions rates will come into force after one year from the date of official publication, unless otherwise provided by international treaties. Therefore the above rates will be applied from December 4, 2022.