Logo of Phnom Penh Post newspaper Phnom Penh Post - Tech majors Google, Meta register for e-trade VAT

Tech majors Google, Meta register for e-trade VAT

Content image - Phnom Penh Post
Alphabet unit Google and Facebook, whose parent company is now called Meta, have registered for e-commerce value-added tax (VAT) goods and digital services with the General Department of Taxation (GDT). AFP

Tech majors Google, Meta register for e-trade VAT

Tech giants Amazon, Meta, Microsoft and Google are among 20 digital platforms that have registered for e-commerce value-added tax (VAT) goods and digital services with the General Department of Taxation (GDT).

However, none have paid tax yet, said Eng Ratana, director of GDT’s Large Taxpayer Department, adding that taxpayers have been given until May 25 to declare VAT or face penalties.

“We have set May 25 as the deadline for these companies to file their tax returns before we start applying tax laws where we issue fines,” he told The Post on April 7.

Other big tech players include Booking.com, TikTok, Soho Corp and Mastercard.

Ratana said that because the implementation of VAT on e-commerce digital goods and services in Cambodia – which started on April 1 following three deferments – is a new tax practice, it is necessary to allow some time for operators to understand their obligations.

He said the implementation of the new tax will increase the collection of tax revenue and boost the national economy.

That being said, the GDT does not have an exact figure for non-resident taxpayers or foreign companies who supply digital goods or digital services via e-commerce or conduct e-commerce activities into Cambodia.

Mak Chamroeun, co-founder of Smile Shop, a business-to-business (B2B) e-commerce platform, said Cambodia is a small market for foreign companies to supply products including services online.

“But if these companies operate their business and don’t pay taxes or register their unit as required under Cambodian laws, it is not appropriate for them to trade,” he said.

Chamroeun suggested that more studies must be carried out on the operations of large foreign companies that supply digital goods and services via e-commerce in Cambodia.

“[In particular], how it can contribute to the growth of the sector and if tax exemptions can encourage them to do business here,” he added.


  • 12th Cambodia int’l film festival to see return of Hollywood star

    Phnom Penh is set to come alive with the magic of cinema as the highly anticipated 12th Cambodia International Film Festival (CIFF) takes centre stage. Boasting an impressive line-up of 188 films from 23 countries, including captivating shorts, feature films, documentaries and animation, the festival promises an

  • Bareknuckle champion wants Kun Khmer fighter

    Dave Leduc, who is the current openweight Lethwei boxing champion in Myanmar, has announced that he will travel to Cambodia this year to challenge SEA Games gold medallist Prum Samnang any time that is convenient, after their planned match later this month in Slovakia was

  • Struggling Battambang artist dreams of staging full-scale gallery exhibition

    Leav Kimchhoth, a 55-year-old artist from Battambang province, is a familiar face to locals and tourists alike on the streets of the riverside in Phnom Penh. The one-armed painter and illustrator often hawks his work near the night market on weekends and public holidays. He

  • Five-year-old Hanuman dances his way into hearts of Cambodia

    A young talent from a new-established settlement has emerged, captivating the online world with his mesmerising performances of the traditional Cambodian monkey dance. Roeun Kakada is a five-year-old prodigy who has taken the social media sphere by storm with his exceptional dance skills and dedication

  • Fresh Covid warnings as Thai hospital fills

    A senior health official reminds the public to remain vigilant, as neighbouring countries experience an increase in Covid-19 cases, with the latest surge appearing to be a result of the Omicron XBB.1.5 sub-variant. Or Vandine, secretary of state and spokeswoman for the Ministry of Health,

  • New Law on Taxation comes into effect

    Cambodia has enacted the eagerly-awaited new Law on Taxation, which aims to improve the national tax regime’s compliance with present and future international standards and economic conditions; encourage accountability, effectiveness and transparency in the collection process; and promote investment in the Kingdom. King Norodom