Logo of Phnom Penh Post newspaper Phnom Penh Post - Gov’t collects $300M in taxes in 1st quarter

Gov’t collects $300M in taxes in 1st quarter

Gov’t collects $300M in taxes in 1st quarter

The government received over $300 million in tax revenues during the first quarter of this year, up 48 per cent from 2014, according to a statement from the General Department of Taxation released on Monday.

The tax department received about $323 million for 2015’s first quarter, compared to $217 million for the corresponding period in 2014.

“Comparing the [two quarters] showed that the main revenue increases came from a 57.8 per cent increase in receipts of [corporate] income tax, a 29.2 per cent increase in salary tax, a 42.7 increase in value added tax, and a 26.7 increase in special tax [on certain goods and services],” said Kong Vibol, director general of the GDT.

The Cambodian government receives the bulk of its revenues from the GDT and the Department of Customs and Excise, which levies fees on the imports and exports.

The GDT started an online business registration system late last year in order to improve tax collection.

However, the government also upped the lowest taxable salary threshold from 500,000 riel ($125) to 800,000 riel ($200) in October, which Prime Minister Hun Sen said at the time would cost the government $10 million this year.

Grant Knuckey, the CEO of Australian-owned ANZ Royal Group, said that better tax collection would lead to an improvement in the provision of public services.

“I think these are very positive numbers from the perspective of the country overall. In order to improve the core institutions of the country – the civil service, health services, and education – government revenues need to be significantly higher,” he said.

“So long as this is simply about improved enforcement rather than additional burdens, the business community should be supportive.”

In 2014 the GDT collected more than $1.06 billion in tax revenue, up by about 17.7 per cent on the $900 million collected in 2013.

Taxes on imports and exports, via the General Department of Customs and Excise, yielded $1.34 billion last year, up from more than $1 billion in 2013.

MOST VIEWED

  • Ministry requests school opening

    The Ministry of Education, Youth and Sport on Thursday said it would request a decision from Prime Minister Hun Sen to allow a small number of schools to reopen next month. Ministry spokesman Ros Soveacha said if the request is granted, higher-standard schools will reopen

  • Kingdom eyes India FTA, China deal set for August

    Cambodia is studying the possibility of establishing a bilateral free trade agreement (FTA) with India to open a new market with the second-largest regional economy. This comes as an FTA with China is scheduled to be signed next month while similar negotiations with South Korea

  • Judge lands in court after crashing into alleged thief

    Sen Sok district police on Thursday sent a Koh Kong Provincial Court judge to the Phnom Penh Municipal Court on manslaughter charges after he crashed his car into a woman riding a motorbike on Wednesday, killing her. District police chief Hour Meng Vang told The

  • Preah Vihear court drops charges against villagers

    The Preah Vihear Provincial Court has dropped all charges against eight ethnic Kuoy villagers who were in a land dispute with the Hengfu Group Sugar Industry Co Ltd since 2014. Wednesday’s decision was made by the judge who tried the case on June 10. The eight

  • Gov’t to boost Siem Reap tourism

    The Ministry of Tourism released the results of an inter-ministerial committee meeting concerning Siem Reap province’s Tourism Development Master Plan for 2020-2035 on Wednesday, revealing the government’s plan to improve the overall tourist landscape there. The meeting was attended by Minister of Tourism

  • Residents ordered to remove structures on Phnom Penh’s canal

    Phnom Penh municipal governor Khuong Sreng has ordered authorities to act against the perpetrators who built houses along the Luo 5 canal in Meanchey district. The municipal administration plans to create a committee to solve the matter. The order was given on Wednesday while Sreng led

  • ‘On the offensive’: Cambodia to load up on loans to stimulate economy

    As the dust settles on the economy, Cambodia comes to grips with what needs to be done to turn the economy around, starting with a big shopping list for credit ‘We are going on the offensive,” Vongsey Vissoth, Ministry of Economy and Finance permanent secretary

  • Government set to make up for cancelled April holiday

    The government is set to make up for a five-day Khmer New Year holiday late this month or early next month. The holiday was earlier cancelled due to the onset of Covid-19. The announcement is expected on Friday as the government is studying a range

  • Families told to register for cash handouts

    The government has called on poor families to apply to commune authorities for evaluation to receive financial support during the Covid-19 crisis. A $300 million budget has been planned for implementation within a year. Ministry of Economy and Finance secretary of state Vongsey Visoth said this

  • Crumbling prices, rent ruffle condo segment

    The prolonged decline in international arrivals to Cambodia intensified by renewed Covid-19 fears has driven down condominium sales prices and rental rates in Phnom Penh, a research report said. CBRE Cambodia, the local affiliate of US commercial real estate services and investment firm CBRE Group