GDT’s tax revenues exceed ‘22 target, earn IMF’s praise
THE International Monetary Fund (IMF) lauded the General Department of Taxation (GDT) for its successful tax collection in 2022, noting that it was impressed by the department’s ability to gather revenue that exceeded its own expectations.
In a May 16 press release, the GDT said that Davide Furceri, chairman of the IMF Mission in Cambodia, met with the GDT and offered his appreciation for its work. During the meeting, Furceri learned about the tax audit system, the implementation of capital gains tax and tax incentives.
Seng Cheaseth, director of the GDT’s Department of Law, Tax Policy and International Tax Cooperation, explained that the revenue growth was achieved thanks to the GDT’s efforts to collect revenue from various sources and to close revenue leaks through good governance.
“We approached the task with a proactive spirit. We modernised our processes and launched e-filing, e-payment, a GDT tax pre-filing app, a call centre and a “live chat” function before the Covid-19 pandemic. The use of e-tax services to solve the problems of taxpayers was a success,” he added.
In a report, Mong Lamy, head of Tax Policy Bureau, said that in the previous year, the government had adjusted property value base tax and stamp duties, strengthened compliance with taxes on unused land and implemented a capital gains tax. It also strengthened enterprise registration, modernised the e-filing and e-payment systems, and amended some tax laws and regulations.
The tax exemption periods for 2022 and 2023 include tax incentives in investment laws, incentives on basic daily consumables, a strategic framework and a programme to restore and promote Cambodia’s economic growth, under the new normal accorded by the pandemic.
The report said that in 2022, the GDT collected about $3.46 billion, achieving 122.54 per cent of the target. As of April, the GDT had collected about $1.6 billion, achieving 44.54 per cent of its total projections for 2023.