Legal and Tax Updates

On 8 November 2022, the Act on the Amendment of the Civil and Commercial Code (No.23) B.E.2565 (A.D.2022) was announced on the Royal Gazette. This amendment is summarized as follows: To reduce the number of minimum shareholders and promoters from three persons to TWO persons (Section 1097 and 1237(4)); To reduce the validity period of...

The Royal Cambodia Government issued a press release no. 01 dated 30 Jan 2023 on the Additional Measures to Mitigate the Economic Impact of Covid-19 and Support the Recovery of the Tourism Sector (“Press Release 01”). Based on Press Release 01, the Royal Government of Cambodia will continue its relief measures to mitigate the economic...

Instruction No. 2520 GDT on the Adjustment on the Implementation of Value Added Tax on E-Commerce Transactions (Instruction 2520) was issued by the General Department of Taxation (GDT) on the 24th of January 2023. Instruction 2520 repeals the earlier Instruction 20522 on the Implementation of Value Added Tax on E-Commerce that was issued on the...

On the 27th of December 2022 the Accounting and Auditing Regulator (“ACAR”) issued a reminder regarding the submission obligations relating to the 2022 financial statements of enterprises in Cambodia. In summary enterprises that are not required to obtain an external independent audit of their 2022 financial statements are required to submit their 2022 financial statements...

“What’s in a name? That which we call a rose by any other name would smell just as sweet.”  – William Shakespeare What’s in a name? From a Cambodian tax perspective, it would seem quite a lot. On the surface, Instruction 30408 “On the Implementation of Advance Tax on Dividend Distribution,” issued by the General...

On 20 December 2022, the Department of Consumer Affairs (“DOCA”) issued a directive which established guidelines for the “recalling and the permanent/temporary ban on the sales and distribution of perilous goods and services” (“Directive”). The Directive provides DOCA with a process for recalling perilous goods and services – hereby referred to as “products” – and...

As the stock exchange market in the country develops, in addition to the regular auction trading method, block trades or special crossings (via the NTM) are also permitted, whereby the buyer and seller of listed shares can directly negotiate and agree upon the conditions of their transaction. Through the NTM, when the shares to be...

On 30 December 2022, the Central Bank of Myanmar issued letter No. FE-1/2861(Ka) concerning the Foreign Exchange Supervisory Committee Meeting Resolution No. (78/2022). The most pressing issue faced by foreign companies in Myanmar was resolved by the decisions made in paragraphs 1(d) of the meeting resolution no. 78/2022. Meeting resolution Paragraph 1 (d) states that...

The deadline to apply for 2023 foreign employee work permits from the Ministry of Labour and Vocational Training (“MLVT”), being 31 March 2023, is fast approaching. This obligation applies to every employer in Cambodia employing foreign employees, including representative offices, branches, private or public limited companies, non-governmental organizations and associations. Failure to comply with the...

Overview On 4 November 2022, the Ministry of Commerce of Cambodia issued two new regulations, namely, Prakas 226 on the Formalities and Procedures of Inspection and Investigation under the Law on Competition (“Prakas 226”) and Prakas 227 on the Conditions and Procedures of Negotiated Settlement under the Law on Competition (“Prakas 227”). These regulations provide...