Notification No. 9737 issued on the 20th of November 2015 extended the deadline from 15 November 2015 to 31 December 2015 to allow taxpayers in Cambodia to complete the tax registration renewal obligations that came into effect in October 2014 under Prakas No.1139.
Notification No. 9737 issued on the 20th of November 2015 extended the deadline from 15 November 2015 to 31 December 2015 to allow taxpayers in Cambodia to complete the tax registration renewal obligations that came into effect in October 2014 under Prakas No.1139.
The Notification addresses the fact that whilst taxpayers have begun the tax registration renewal process a number of them still have requirements outstanding such as documentation or the requirement for the Chairman of the Board of Directors, Directors or owners of registered tax entities to physically present themselves at the General Department of Taxation (GDT) to have their photograph taken and fingerprints scanned.
To briefly recap; Prakas No.1139, introduced a revamped tax registration process whereby all existing and new taxpayers that were required to register under the real and estimated regime of taxation in Cambodia had to comply. Along with requiring physical attendance at the GDT, as per above, the new process required applicants to provide supporting documentation in original form and pay a prescribed fee. Under the new process the taxpayer received a tax identification card.
Returning to Notification No. 9737, in the event that a taxpayer does not complete the requirements of the tax registration renewal process (in particular the photograph and fingerprint requirement) by 31 December 2015, the GDT may take one or more of the following actions:
- Revoke the VAT certificate that had been already issued to an existing registered taxpayer (VAT certificate issued prior to 1 November 2014 under the old registration process) that has failed to fully comply with the tax registration renewal process;
- Disallow the ability of the defaulting taxpayer to claim VAT input credit or VAT refund;
- Request co-operation from the General Department of Customs and Excise of Cambodia in order to terminate/cancel the import-export operation of the defaulting taxpayer;
- Request for cooperation from the Council for the Development of Cambodia to not accept any request from the defaulting taxpayer to be able to import raw materials, machinery and material-equipment under a Master List, and
- Other measures in accordance with the applicable laws.
Please do not hesitate to contact us should you require assistance with the tax registration renewal process or have any concerns on the above matters.
DFDL Contact:
Clint O’Connell
Head of Tax – Cambodia
clint.oconnell@dfdl.com
*The information contained in this legal update is provided for information purposes only, and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.
