Double Tax Agreement In Cambodia

Cambodian tax officials met with their Hong Kong counterparts last week as part of the first round of discussions on drafting a double taxation convention (DBA) to prevent double taxation and fiscal evasion, the General Department of Taxation (GDT) said yesterday in a statement. Cambodian taxpayers who wish to benefit from the reduced withholding tax rates provided for in the double taxation convention between Cambodia and Hong Kong must apply for a certificate of tax residence and provide certain supporting documents required by the General Tax Service of the Ministry of Economy and Finance. Specifically, the provisions of the double taxation convention between Cambodia and Hong Kong provide for a withholding tax of 10% for each of the following four categories: dividends; royalties; technical services; and interest – taking into account interest received in one of the two countries and paid to certain public bodies in the other country where such interest may be exempt. Cambodia has concluded double taxation treaties with Brunei, China, Indonesia, Malaysia, Singapore, South Korea, Thailand and Vietnam, each in line with the UNITED Nations Model Double Taxation Convention. Cambodian taxpayers must apply for a certificate of tax residence and provide certain supporting documents required by the General Tax Department of the Ministry of Economy and Finance before applying the reduced rates of withholding tax provided for in the Double Taxation Convention between Cambodia and Hong Kong. The Royal Cambodian government signed a double taxation agreement (DBA) with South Korea as one of five agreements reached on the sidelines of the ASEAN Republic of Korea Memorial Summit and the first MEK ROK Summit. In June 2019, Cambodia and the Government of the Hong Kong Special Administrative Region of the People`s Republic of China (Hong Kong) signed an agreement to avoid double taxation (DBA) and prevent tax evasion. The contract entered into force on 1 January 2020. The Double Taxation Convention was adopted on 20 June 2019, the Deputy Prime Minister of the Cambodian Ministry of Economy and Finance, Mr Aun Pornmoniroth, and the Secretary of Financial Services and the Ministry of Finance of the Government of Hong Kong, James H. Lau Jr., entered into force on 20 June 2019 and entered into force after the completion of certain procedures necessary for the entry into force of the Convention.

on double taxation. . . .