On 29 June 2021, the Ministry of the Environment (“MOE”) issued five new Prakas pursuant to Prakas No. 021 dated 3 February 2020 on the Classification of Environmental Impact Assessments (“EIA”) for Development Projects. These new Prakas determine the procedures and implementation guidelines for checklists used to prepare initial environmental and social impact assessment (“IEIA”) reports ...
Overview On 22 February 2023, the Ministry of Commerce (“MOC”) issued a new regulation on the Forms and Procedures for Issuance of Temporary Suspension Measures and/or Decisions by the Cambodia Competition Commission (“CCC”) to strengthen the enforcement of the Law on Competition (“Competition Law”) in Cambodia ...
The General Department of Taxation (“GDT”) issued Instruction no. 1972 GDT on 31 January 2022 (“Instruction 1972”) which sets out obligations for taxpayers in Cambodia that carry out projects for public interest in connection with a grant or loan agreement (“Agreement”) or memorandum of understanding (“MoU”) between the Royal Government of Cambodia and another government or national development agency or partner international organisations ...
Key points From 8 September 2021 non-resident entities who provide digital goods/services or e-commerce activities to Cambodian consumers and who expect to have sales of USD15k or more before the end of the year, over three consecutive months, have 30 days to register for VAT with the General Department of Taxation (GDT) in Cambodia. From 2022 onward the same non-resident entities, as described above, that expect to have sales of USD62 ...
The Ministry of Land Management, Urban Planning and Construction (“MLMUPC”) issued a new Prakas No. 109 on 22 November 2021 on the Formalities for Certification Work of Architectural Design and Structural Design (“Prakas 109”). The purpose of this Prakas 109 is to regulate the formalities of inspection and certification works in order to implement the Sub-Decree No ...
On 6 December 2021, the NBC issued a Notification No. B7-021-2083 on Cessation of Granting New Microfinance Deposit-Taking Institutions License. The NBC decided to cease granting of new license for microfinance deposit-taking institutions in order to further strengthen banks and financial institutions’ capacity, inspection, financial stability and contribution to national economic development ...
JOINT NOTIFICATION 0837 ISSUED BY THE MINISTRY OF COMMERCE AND THE MINISTRY OF POSTS AND TELECOMMUNICATIONS, dated 1 April 2022 On 1 April 2022, the Ministry of Commerce (“MOC”) and the Ministry of Posts and Telecommunications issued Joint Notification 0837 setting out requirements for locally registered companies to use a level 2 national domain name “.com.kh” and e-mail address with level 2 national domain name “.com.kh” ...
New Sub-Decrees on Construction Permits, Conditions & Procedures on the Issuance, Suspension & Revocation of Certificate of Occupancy, and Conditions & Procedures on Construction Certification New Sub-Decree on Construction Permits Following adoption of the Law on Construction dated 2 November 2019 (“Construction Law”), the Royal Government of Cambodia issued new Sub-Decree No. 224 ANKr ...
On 17 February 2022, the Royal Government of Cambodia issued the Sub-Decree on the Organization and Functioning of the Cambodia Competition Commission (“CCC“) (No. 37 ANKR.BK) (“Sub-Decree“). The Sub-Decree provides the structure and function for the Cambodia Competition Commission, the regulatory authority designated under the Law on Competition ...
Overview On 4 November 2022, the Ministry of Commerce of Cambodia issued two new regulations, namely, Prakas 226 on the Formalities and Procedures of Inspection and Investigation under the Law on Competition (“Prakas 226”) and Prakas 227 on the Conditions and Procedures of Negotiated Settlement under the Law on Competition (“Prakas 227”) ...
On 21 September 2022, the Ministry of Labour and Vocational Training (“MLVT”) issued Prakas 247/22 on the Determination of Minimum Wage for Workers in the Garment, Textile, Footwear (“GTF”), Travel Product and Bag Sectors (“Prakas 247”), to set a new minimum wage for 2023, which will be effective from 1 January 2023. Under Prakas 247, workers in the above sectors will be entitled to the following new minimum wage: for regular workers, USD 200 per month ...
On 28 September 2021, the Ministry of Labour and Vocational Training (“MLVT”) issued Prakas 264 on the Determination of Minimum Wage for Workers in the Garment, Textile, Footwear, Travel Product and Bag Sectors (“Prakas 264”), to set new minimum wage for 2022, which will be effective from 1 January 2022. Under Prakas 264, workers in the relevant sectors will be entitled to the following new minimum wage: For regular workers, USD 194 per month ...
Businesses do not particularly enjoy uncertainty, especially regarding tax matters. The prospect of a tax audit, even when no significant exposure is anticipated, can be daunting. If a problem is known to lurk in the shadows, the prospect of a tax audit can be beyond terrifying. In Cambodia, attempting to wait out the applicable statute of limitations for the General Department of Taxation (“GDT”) to conduct an audit and issue an assessment is often a fool’s errand ...
On 10 February 2022, the General Department of Taxation (“GDT”) issued Notification 2845 (“Notification 2845”), which provides the 2021 market interest rates for Employee Loans in accordance with Article 15 of Prakas 543 on Tax on Salary and Instruction No. 7015 GDT dated 13 March 2020. The 2021 market interest rates for 2021, based on the average of ten (10) commercial Cambodian banks, are as follows: USD – 8.28% per annum Khmer Riel – 8 ...
The Cambodia Competition Commission (“CCC”) has issued Decision on Pre-Notification Thresholds for Business Combinations dated 14 March 2023, which sets out the thresholds for Pre-Notification under the Law on Competition. The CCC has the power to amend the thresholds by written decision ...
On 1 December 2021, the Ministry of Labour and Vocational Training (“MLVT”) issued Notification 058/21 on Extending the Deadline for the 2022 Foreign Employee Quota Application (“Notification”). Through the Notification, the MLVT has delayed the submission deadline for 2022 foreign employee quota applications until 31 January 2022, being two months after the original deadline ...
Cambodia’s long-awaited Competition Law (“Law”) was signed into law by the King on 5 October 2021. While the Law has been enacted, the principal regulator, the Cambodia Competition Commission (“CCC”) has not yet been appointed and it is not clear how the Law will be enforced prior to a) such appointment and b) the issue of required regulatory instruments and decisions ...
Overview On 4 November 2022, Sub-Decree 232 on the Management of Commercial Advertisements of Goods and Services (“Sub-Decree 232”) was enacted by the Royal Government of Cambodia. Sub-Decree 232 is one of 31 measures to promote fair trade and practices in business in line with the Five-Year Action Plan (2022-2026) prepared by the National Commission for Consumer Protection (“NCCP”) ...
The General Department of Taxation (“GDT”) issued Notification no. 4577 GDT on the 9th of March 2022 (“Notification 4577”) which delays the implementation of Prakas 346 MEF.P on Capital Gains Tax (“Prakas 346”) to 1 January 2024. Previously Instruction 24094 issued by the GDT on the 9th of October 2020 (“Instruction 24094”) had postponed the implementation of Prakas 346 to 1 January 2022 ...
With the 2022 year well under way most enterprises in Cambodia are turning their attention to their annual compliance obligations. There have been some recent changes and updates with respect to the annual compliance obligations for most enterprises in Cambodia. We have included the recent changes in our summary below ...
The 1997 Labour Law, previously amended in 2007 and 2018, was amended for the third time on 5 October 2021 with immediate effect (“Amended Labour Law”). The Amended Labour Law introduces several changes to the 1997 Labour Law, particularly provisions relating to employee working schedules, work on paid public holidays, individual disputes and the authority of the Labour Inspector ...
The Royal Government of Cambodia has issued the Sub-Decree on Requirements and Procedures for Business Combinations dated 6 March 2023 (“Merger Sub-Decree”). The Merger Sub-Decree elaborates on the prohibition on anti-competitive business combinations set out in Article 11 of the Law on Competition. The Merger Sub-Decree was officially implemented on its signature date (of 6 March 2023) and will be enforced within 6 months of that date ...
On 28 October 2021, the Royal Government of Cambodia (“RGC”) implemented ‘Round 10’ of measures aimed at mitigating the impacts of COVID-19 on businesses and workers in Cambodia. In readiness for the economy re-opening Cambodia has been receiving vaccines through support and direct purchases from various manufacturers ...
