Tax in Cambodia

Who is the tax authority and where do filings live?

Cambodia's General Department of Taxation (GDT), under the Ministry of Economy and Finance, administers Cambodia's tax system [SC1]. Customs is administered by General Department of Customs and Excise (GDCE). Filings flow through the GDT e-filing portal. The credentialed Cambodian tax-and-accounting professions are CPA Cambodia regulated by the Kampuchea Institute of Certified Public Accountants and Auditors. Substantive law: Law on Taxation (1997 with successive amendments under Prakas/Sub-Decrees), and successive amendment laws. Cambodia is an ASEAN member.

What is the tax year and when are returns due?

The individual tax year is the calendar year. Annual personal income tax returns are due 31 March of the year following the tax year [SC1]. Wage earners' Tax on Salary (TOS) is fully withheld monthly by employers. Corporate fiscal years align with the calendar year (with limited exception); annual corporate returns are due 31 March. Monthly Prepayment of Profit Tax (PPT) at 1 percent of monthly turnover applies. VAT returns are filed monthly by the 25th of the following month.

Who is a Cambodian tax resident?

Under the Law on Taxation, an individual is tax resident in Cambodia if (a) maintaining their domicile or principal place of abode in Cambodia, OR (b) being physically present in Cambodia for more than 182 days in any 12-month period ending in the relevant tax year [SC2]. Residents are taxed on worldwide income; non-residents on Cambodian-source income at flat rates (typically 14 percent on most categories with treaty rates applying).

What are the personal income tax rates?

Monthly Tax on Salary (TOS) brackets: 0 percent up to KHR 1,500,000; 5 percent on KHR 1,500,001-2,000,000; 10 percent on KHR 2,000,001-8,500,000; 15 percent on KHR 8,500,001-12,500,000; 20 percent above KHR 12,500,000 [SC1]. Investment income (dividends from Cambodian companies) face 14 percent withholding (final). Capital gains face 20 percent (post-2024 implementation under successive amendments — capital gains taxation phased in). Mandatory NSSF social security contributions apply.

How does Cambodia's corporate tax work?

The corporate income tax (Tax on Income, TOI) rate is 20 percent for resident companies [SC2]. Specific industry rates: 30 percent for oil/gas/mining sectors; reduced 0/9 percent rates available for Qualified Investment Projects (QIPs) under successive Investment Law frameworks providing tax holidays of 3-9 years. Withholding tax on dividends to non-residents is 14 percent (treaty rates apply). Pillar Two not yet transposed. Tax loss carryforwards: 5 years; carryback unavailable.

What about VAT?

The standard VAT rate is 10 percent under the Law on Taxation [SC3]. Zero-rated supplies include exports. Registration required above KHR 250m annual turnover for goods (KHR 125m for services). Reverse-charge on imported services. E-invoicing progressively expanded.

How are cryptoassets taxed?

Cambodia has not enacted dedicated cryptoasset taxation. National Bank of Cambodia advisory positions cryptoassets as not legal tender [SC2]. The Bakong CBDC operational since October 2020. Where declared, gains under existing income-tax categories at applicable rates. Mining/staking are business income.

What is the treaty network and what are the audit triggers?

Cambodia has approximately 11 active double tax treaties [SC4]. Cambodia signed the OECD MLI in 2024 with successive ratification status. ASEAN member. Audit triggers include disproportionate VAT credits, transfer-pricing non-compliance, undeclared bank deposits flagged via expanding CRS exchanges (Cambodia adopted CRS framework). Standard SOL 3 years; extended for fraud.

What are the common penalties and pitfalls for foreigners?

The Cambodian penalty framework imposes administrative-fine sanctions for late filings, failure to file, incorrect declarations (10-40 percent surcharge), and failure to maintain records [SC5]. Default interest accrues at 2 percent per month. Common foreign-national pitfalls: (1) Monthly Prepayment of Profit Tax (PPT) 1 percent of turnover floors loss-making businesses; (2) Industry-specific 30 percent CIT for oil/gas/mining; (3) QIP register-compliance for tax-holiday eligibility; (4) Pillar Two not transposed; (5) limited treaty network (11 DTCs); (6) 182-day residency threshold; (7) Bakong CBDC operational since October 2020; (8) ASEAN cross-border supply flow framework; (9) capital gains 20 percent phased implementation; (10) NSSF social security progressive.