General Department of Taxation (GDT) issued Prakas 542 MEF.P on the Rules and Procedure for the Implementation of VAT on E-Commerce (“Prakas 542”) on 8th of September 2021.
Who is affected?
Taxable Person is as followed:
Non-Resident Taxpayers who supply digital goods or digital services or all e-commerce activities to Cambodia have an annual turnover of 250 million Riels or expected to have turnover for three consecutive months completed in the current calendar year of 60 million Riels, it is obliged to complete the Simplified VAT registration within 30 days after the turnover is due to register.
Completion of the VAT registration application is defined in Khmer or English by doing the following:
- Application form of VAT registration
- Non-Resident Taxpayers certificate
- Identity Card or Passport of the owner or Representative
- 2 sheets of Photo of Director or Representative no later than 3 months, size 35× 45mm with white background
- Certificate of Bank Account information of Non-Resident Taxpayers issued by or printed out of the Non-resident taxpayer banking system
Non-Resident Taxpayers shall be under Department of Large Taxpayers.
Taxable value if defined as following:
VAT shall due and payment when supply. Supply time shall be defined as following:
VAT is defined at the rate of 10% of the VAT on the supply of digital goods or digital services or any e-commerce activities.
Non-Resident Taxpayers shall issue invoice and collect tax money from all consumers. Invoice at least shall have information as following:
Self-declared taxpayer who receives a taxable supply of digital goods or digital services or any e-commerce activities, shall be tax reverse of the non-resident supplier, whether or not the non-resident supplier VAT registered and shall VAT payment declaration base on the invoice of the non-resident supplier with supporting documents for the purchase and payment.
Advance Grand Formula Co., Ltd is licensed audit firm from Accounting and Auditing Regulator (ACAR Decision N0. 014), member audit firm of Kampuchea Institute of Certified Public Accountants and Auditors (license number C-00085) and tax agent from General Department of Taxation (license number TA202204002).
This Publication is intended for general guidance only and should not form the basic of specific decisions.
Should you need any further information or support, please contact us at: firstname.lastname@example.org (accounting), email@example.com (audit), firstname.lastname@example.org (tax) and number and telegram 085 36 8888 and 070 399 888.