Cambodia: Tax treatment of credit-guarantee fees, activities

Guidance regarding the tax treatment of activities of credit-guarantee enterprises

Guidance regarding the tax treatment of activities of credit-guarantee enterprises

The General Department of Taxation issued guidance (Instruction No. 19362) regarding the tax treatment of activities of credit-guarantee enterprises.

Instruction No. 19362 clarifies that credit-guarantee fees are to be considered to be treated similarly as a general insurance service, and thus subject to a tax on the gross income/premium received at a rate of 5%. Other income from activities not related to credit guarantees are subject to tax on income at a rate of 20%.

Read a December 2021 report [PDF 297 KB] prepared by the KPMG member firm in Cambodia

 

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.