- All commercial gaming companies in Cambodia face a higher tax burden due to a 10-percent VAT on gross gaming revenue (GGR) implemented from January 1.
- The Commercial Gambling Management Commission (CGMC) confirmed there is no room to waive the VAT portion.
- The VAT obligation is based on a decree issued by the Ministry of Economy and Finance on December 30, 2022.
- Casinos are also subject to a 1-percent monthly prepayment of tax on income.
- The implementation of these tax obligations was deferred for two years until December 31, 2024, to support industry recovery post-Covid-19.
- The actual gaming tax obligation is close to 20 percent due to the implementation of Prakas No. 1080.
- CGMC and the General Department of Taxation are separate authorities with different regulatory and tax oversight responsibilities.
- There has been no formal indication of further waivers or extensions from the Ministry of Economy and Finance.
- Operators should comply fully with the current tax obligations.
- Businesses may be eligible for VAT refunds or offsets depending on their structure and should consult a registered tax advisor for guidance.
- Donaco International Ltd noted that casino firms expected the deferment of the 10-percent VAT to continue indefinitely.
Source: ggrasia.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
