Income Tax

12 Months Ended

Dec. 31, 2023

Major components of tax expense (income) [abstract]

Income tax

8.Income tax

The Group provides for taxes for the current period based on the tax accounts maintained and prepared in accordance with the respective tax regulations of the Republic of Kazakhstan, the Republic of Azerbaijan, Ukraine and Uzbekistan, where the Company and its subsidiaries operate and which may differ from IFRS.

The Group is subject to certain permanent tax differences due to non-tax deductibility of certain expenses and a tax-free regime for certain income.

Deferred taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for tax purposes. Temporary differences relate mostly to different methods of income and expense recognition as well as to recorded values of certain assets.

Deferred income tax liabilities comprise:

	2021			2022			2023
Vacation reserve, accrued bonuses and share-based    compensation		779			873			1,242
Property, equipment and intangible assets		(3,263	)		(4,078	)		(4,012	)
Other		17			-			527
Net deferred tax liability		(2,467	)		(3,205	)		(2,243	)

Relationships between net income before tax and income tax expenses are explained as follows:

	2021			2022			2023
Net income before tax		528,802			720,574			1,022,004
Tax at the statutory tax rate of 20%		(105,760	)		(144,115	)		(204,400	)
Non-taxable income		12,303			12,892			38,038
Adjustment recognized in the period for current tax    of prior periods		1,626			315			-
Non-deductible expense		(1,757	)		(822	)		(6,872	)
Income tax expense		(93,588	)		(131,730	)		(173,234	)
Current income tax expense		(95,066	)		(131,307	)		(174,196	)
Adjustment recognized in the period for current tax    of prior periods		1,626			315			-
Deferred income tax benefit/(expense)		(148	)		(738	)		962
Income tax expense		(93,588	)		(131,730	)		(173,234	)

Non-taxable income was represented by interest income on governmental and other qualified securities in accordance with the tax legislation. Statutory income tax rate is 20% in Kazakhstan and Azerbaijan, 18% in Ukraine and 15% in Uzbekistan.

	2021			2022			2023
Net deferred tax liability:
At the beginning of the period		(2,319	)		(2,467	)		(3,205	)
Change in deferred income tax balances recognized in    profit or loss		(148	)		(738	)		962
At the end of the period		(2,467	)		(3,205	)		(2,243	)