Tax on Income and Tax on Salary Tables Amendment
Subject: Tax
Applicable Industries: All corporate

On 28 September 2022, the Royal Government of Cambodia issued Sub-Decree No. 196 (“Sub-Decree 196”) on amendment to the Tables of Taxable Thresholds for Annual Tax on Income and Monthly Tax on Salary.

Sub-Decree 196 takes effect from 1 January 2023.

The objective of Sub-Decree 196 is to revise the annual progressive Tax on Income thresholds achieved by physical persons, sole proprietorships, and on the partners’ share in partnership that are not classified as a legal person in accordance with the Law on Taxation.

Sub-Decree 196 also adjusts the monthly Tax on Salary thresholds which is applicable to Cambodian resident employees.

1.) Tax on Income for Physical Persons, Sole Proprietorships, and Partnerships

Annual taxable income Tax rate
From 0 to 18,000,000 Riels 0%
From 18,000,001 to 24,000,000 Riels 5%
From 24,000,001 to 102,000,000 Riels 10%
From 102,000,001 to 150,000,000 Riels 15%
Above 150,000,000 Riels 20%

2.) Monthly Tax on Salary for Tax Resident Employees in Cambodia

Taxable monthly salary Tax rate
From 0 to 1,300,000 Riels 0%
From 1,500,001 to 2,000,000 Riels 5%
From 2,000,001 to 8,500,000 Riels 10%
From 8,500,001 to 12,500,000 Riels 15%
Above 12,500,000 Riels 20%

Sub-Decree No. 09 dated 13 February 2020 is abrogated once Sub-Decree 196 takes effect from 1 January 2023.

Advance Grand Formula Co., Ltd is a Cambodian tax agent under license number – TA202204002.

Should you need any further information or tax support, please contact us at: