Logo of Phnom Penh Post newspaper Phnom Penh Post - Tourism sector tax exemption extended three more months

Tourism sector tax exemption extended three more months

Content image - Phnom Penh Post
The government’s July 15 announcement about tax exemption on tourism sector. SUPPLIED

Tourism sector tax exemption extended three more months

The government has extended tax exemption – except for VAT – for the tourism sector for another three months for tourism businesses in Phnom Penh, Siem Reap and Preah Sihanouk provinces, to help stabilize them because the industry was hit hard by the Covid-19 pandemic.

The government’s July 15 announcement said the exemptions for monthly taxes will be valid from July to September for all hotels, guesthouses and tourist agencies that have been registered with the General Department of Taxation. However, VAT is not exempted.

“These businesses are still obliged to file tax-related documents [at the department or on its] website via the e-VAT online system every month during the tax exemption period,” said the announcement.

It said that in the context of Covid-19 the government had put in place urgent measures to proactively and responsibly deal with the crisis and control the spread of Covid-19 while helping the affected businesses continue operations.

After the country was widely reopened in late 2021 through the easing of health measures and travel restrictions, some sectors which were severely affected previously were able to mostly resume operations.

With restrictions lifted, exports in garments, footwear, travel goods and textiles had increased by 25.2 per cent in the first half of this year compared to the same period last year.

Although the number of domestic and international tourists is now increasing, some issues continue to threaten the tourism sector’s viability such as the possibility of a renewed outbreak of Covid-19 through a new variant.

Also, the increase in global inflation has put pressure on the wallets of potential visitors and prevented some from travelling, further impacting the tourism sector.

“The government has had the foresight to understand the necessity of issuing additional measures to control these impacts and to revitalize the tourism sector in this difficult time,” the announcement said.

The government also encouraged tourism businesses to improve the capacities of their staff so that they are able to qualify for loans from the Skills Development Fund (SDF).

MOST VIEWED

  • Joy as Koh Ker Temple registered by UNESCO

    Cambodia's Koh Ker Temple archaeological site has been officially added to UNESCO’s World Heritage List, during the 45th session of the World Heritage Committee held in Riyadh, Saudi Arabia, on September 17. The ancient temple, also known as Lingapura or Chok Gargyar, is located in

  • Famed US collector family return artefacts to Cambodia

    In the latest repatriation of ancient artefacts from the US, a total of 33 pieces of Khmer cultural heritage will soon return home, according to the Ministry of Culture and Fine Arts. In a September 12 press statement, it said the US Attorney’s Office for the

  • Cambodia set to celebrate Koh Ker UNESCO listing

    To celebrate the inscription of the Koh Ker archaeological site on UNESCO’s World Heritage List, the Ministry of Cults and Religion has appealed to pagodas and places of worship to celebrate the achievement by ringing bells, shaking rattles and banging gongs on September 20. Venerable

  • Kampot curfew imposed to curb ‘gang’ violence

    Kampot provincial police have announced measures to contain a recent spike in antisocial behaviour by “unruly’ youth. Officials say the province has been plagued by recent violence among so-called “gang members”, who often fight with weapons such as knives and machetes. Several social observers have

  • PM outlines plans to discuss trade, policy during US visit

    Prime Minister Hun Manet is set to meet with senior US officials and business leaders during his upcoming visit to the US for the UN General Assembly (UNGA), scheduled for September 20. While addressing nearly 20,000 workers in Kampong Speu province, Manet said he aims to affirm

  • Manet touches down in Beijing for high-level meetings

    Prime Minister Hun Manet arrived in Beijing on September 14 for his first official visit to China, where he is slated to attend the 20th China-ASEAN Expo and meet other leaders including Chinese President Xi Jinping. Upon his arrival, Manet laid a wreath at the Monument