Cambodia VAT Rules and Regulations Quiz

The standard rate for Value Added Tax (VAT) in Cambodia is 10% on taxable supplies within the country.

Exports from Cambodia and services rendered outside the country are exempt from VAT, meaning they are taxed at 0%.

A tax receipt from a previous month cannot be claimed as an input tax credit for a different month. Businesses must correct any discrepancies in their tax returns for the specific month.

Non-taxable supplies are goods or services not subject to VAT. This includes public postal services, hospital/clinic services, certain transportation, insurance, primary financial services, imports for personal use, non-profit activities serving the public interest, educational services, electricity, water, unprocessed agricultural products, and solid-liquid waste collection.

Expenses on entertainment, amusement, or recreation (except for businesses in those industries), purchase or import of cars (except for car dealers or rental businesses), certain petroleum products (except for suppliers), and mobile phone expenses are not eligible for input tax credits.

No, purchases from small taxpayers generally cannot be claimed for input tax credit. This may vary depending on specific legal provisions and thresholds defined for small taxpayers.

Purchases from small taxpayers are not eligible for an input tax credit but can be deducted as expenses.

Medical services in Cambodia, like consultations, are considered non-taxable supplies, meaning they are exempt from VAT.

Even though a truck is purchased from a taxable person with a valid tax invoice, a hospital cannot claim a tax credit because medical services are non-taxable.

The sale of a hospital's vehicle, regardless of whether a tax credit was claimed for its purchase, is subject to VAT.

Land is not considered a good in Cambodian tax law, so its sale does not attract VAT.

Small taxpayers in Cambodia calculate their monthly VAT payable by taking their income without VAT (monthly income divided by 1.1) and applying a 20% VAT rate followed by a 10% reduction.

It takes about 7 to 10 business days to complete tax registration or update a taxpayer's information in Cambodia.

Individuals in Cambodia must register with the tax administration within 15 working days of starting a business or receiving a business certificate.

Large taxpayers with a turnover exceeding 10 billion riels annually in Cambodia are subject to specific taxes and fees for business registration, including patent tax, registration fee, name reservation, business registration fees, and enterprise establishment fees.

Large taxpayers with a turnover below 10 billion riels annually in Cambodia are subject to specific taxes and fees for business registration, including patent tax, registration fee, name reservation, business registration fees, and enterprise establishment fees.

Medium taxpayers in Cambodia are subject to specific taxes and fees for business registration, including patent tax, registration fee, name reservation, business registration fees, and enterprise establishment fees.

Small taxpayers in Cambodia are subject to specific taxes and fees for business registration, including patent tax, registration fee, name reservation, business registration fees, and enterprise establishment fees.

Associations and non-governmental organizations in Cambodia are subject to a registration fee for tax registration.

Associations and NGOs need to submit Form 101-P1 along with essential documents for tax registration in Cambodia.

A certificate verifying an organization's legal existence, issued by the Royal Government or relevant ministries.

The governing rules and principles outlining the organization's purpose, structure, and activities.

The Head of the Institution or Representative must provide their identification card or passport.

Two recent photographs of the Head of Institution or Representative are required for tax registration.

Proof of ownership or lease agreement for the business premises, including specific geographic coordinates.

A document indicating the person entrusted with handling tax matters for the organization.

A bank statement or certificate confirming the organization's bank account.

Private/Public Limited Companies require Form 101-P2 for tax registration, along with supporting documents.

The legal document outlining a company's formation, structure, and rights.

A declaration by the company's key personnel affirming their clean history.

The chairman of the board, directors, shareholders, or representatives must present identification.

Proof of ownership or lease agreement for the company's premises, including precise location data.

Authorization from the parent company authorizing the operation of the branch.

The branch must provide proof of registration with the relevant authorities.

Income from renting movable or immovable property, like machinery or land, is taxed at a 10% rate. This applies to payments made by the tenant to the landlord or owner.

Interest payments from Cambodian banks to resident taxpayers on fixed term deposit accounts are taxed at a 6% rate.

Interest paid by Cambodian banks to residents with non-fixed term savings accounts is taxed at a 4% rate. This applies to accounts where the interest rate can change over time.

Dividends distributed to residents who meet the conditions in Article 20 (new) and Article 23 (new) of the Law on Taxation are not subject to withholding tax. This means there's no tax on dividends received by eligible residents.

Dividends paid to non-resident individuals are subject to a 14% withholding tax. This means a portion of the dividend is withheld as tax before being paid to the non-resident.

The payment of service fees to individuals by companies producing rice, beans, cashew nuts, pepper, or rubber for domestic sales or export is exempt from withholding tax. This applies to individuals not in the self-declared regime.

Foreign film production companies operating in Cambodia are subject to a 14% withholding tax. This means a portion of their income is withheld as tax.

Small taxpayers are generally exempt from withholding tax obligations, except for rental income from movable or immovable property. This means they don't need to withhold taxes for most income sources.

Security deposits are not subject to withholding tax in Cambodia. This applies to payments made as security when renting a property.

A physical person who has a primary residence in Cambodia or stays in the country for over 182 days within 12 months. Also, includes legal entities or business groups primarily based in Cambodia.

Any taxpayer who is not a resident taxpayer as defined by Cambodian tax laws. They are individuals or companies whose main residence or business operations are outside of Cambodia.

Income earned by non-resident individuals from sources within Cambodia. This includes interest, dividends, service fees, compensation for services, property income, royalties, gain from property sales, insurance premiums, gains from business property, and income from business activities through a permanent establishment in Cambodia.

A general withholding tax rate applied to various payments made to resident taxpayers, determined based on different income types.

A physical person who lives in Cambodia permanently, or spends over 182 days in a year in Cambodia. Legal entities that register and mainly operate within Cambodia.

Individuals and corporations whose primary residence or business is outside Cambodia. They are not subject to the same tax rules as resident taxpayers.

Income from sources located within Cambodia, earned by non-resident individuals or corporations. This can include interest earned on investments, dividends from Cambodian companies, and income from selling property in Cambodia.

A flat rate deducted from payments to resident taxpayers, with various rates for different income types like service fees, royalties, and interest.

The Cambodia Investment Board (CIB), the Special Economic Zone Board (SEZB), or the Sub-Committee on Investment of the Capital City-Provinces.

A contract between two or more individuals or legal entities that establishes a partnership to run a business.

A formal document issued by a government or organization certifying that an entity is legally registered and authorized to operate.

A legal document confirming ownership or right to use a property, often including details about the property's location and boundaries.

A legal document that allows someone to act on behalf of another person or entity.

A document issued by a bank verifying that a person or entity has an active bank account and providing details like account number and balance.

A standard form used for tax registration in Cambodia, specifically designed for partnership companies.

The Ministry of Commerce in Cambodia or relevant ministries and institutions.