Withholding Tax

Withholding Tax on Resident: Payment of Rental on behalf employee Mr.A is employee of ABC Company. He signed the personal apartment rental agreement directly with the landlord, but ABC Company will make the rental payments to the landlord on his behalf.  Landlord’s invoice issued to ABC Company name. Apartment rental fee is $1,000 per month, but 90% of this rental

Withholding Tax on Resident: Example of Royalty for License ABC Company purchased one computer from XYZ Company, a local VAT-registered  supplier in Cambodia. Invoiced amount is $2,893 included VAT, and the cost breakdown including 10%VAT is as follows: Computer: $2,750 Windows licence fee: $66 Anti-virus licence fee: $44 Installation charge: $33 Based on company’s accounting policy,these expenses ( excluded computer)

Withholding Tax on Non-Resident: Example for Consulting Service ABC Company hired a consultant from foreign country to assist with a new special project in Cambodia for four months starting from 1 August 2018. According to the consulting agreement, ABC  Company is required to pay a total consultant fee of $ 20,000 for the four-month period in advance.The consultant had never

Withholding Tax on Non-Resident: Payment of Management Fee and Technical Services Some registered companies in Cambodia may use services from other countries for companies, so local companies must withhold tax on these services before payment otherwise companies will pay withholding tax on services on behalf. Withholding Tax on Non-Resident for Payment of Management Fee and Technical Services is subject at

Withholding Tax on Non-Resident: Payment of Dividend Some registered companies in Cambodia may have foreign investors (owners) from other countries. Foreign investors will get dividends from local companies if Cambodia companies declared dividends, so local companies must withhold tax on dividends before payment otherwise companies will pay withholding tax on dividends on behalf investors. Withholding Tax on Non-Resident for Payment

Withholding Tax on Non-Resident: Payment of Royalty, Rental/Leasing, and Income related to the use of Property Some registered companies in Cambodia may rent / lease properties from other countries because investment in properties may be expensive for companies. Some cases local companies may buy intellectual properties from overseas to sell in Cambodia. Withholding Tax on Non-Resident for payment of Royalty,

Withholding Tax on Non-Resident: Payment of Interest Some registered companies in Cambodia may borrow money or loan from other countries, so local companies must withhold tax on interest before payment otherwise companies will pay withholding tax on interest on behalf. Withholding Tax on Non-Resident for Payment of Interest is subject at 14%. Example  ABC Company is registered at Cambodia, and

Withholding Tax on Resident: Payment of Rental/Lease of Movable and Immovable Property Rental on movable and immovable property is subject to withholding tax (WHT) at 10%. Withholding tax on property will tax both individual and legal entities. Movable Properties: Movable properties refer properties that can be moved from place to another place. Examples for movable properties are as follows: Office