Country report (Myanmar) Presented by Kyaw ye' Tun Director Internal Revenue Department Ministry of Finance and Revenue - PowerPoint PPT Presentation

1 / 26
About This Presentation
Title:

Country report (Myanmar) Presented by Kyaw ye' Tun Director Internal Revenue Department Ministry of Finance and Revenue

Description:

... the Andaman Sea & the Bay of Bengal ... Profession: a doctor, a nurse, a lawyer, an Engineer, an architect, a film artiste, etc: The Capital ... – PowerPoint PPT presentation

Number of Views:160
Avg rating:3.0/5.0
Slides: 27
Provided by: thaifranch
Category:

less

Transcript and Presenter's Notes

Title: Country report (Myanmar) Presented by Kyaw ye' Tun Director Internal Revenue Department Ministry of Finance and Revenue


1
Country report (Myanmar) Presented byKyaw Ye'
Tun Assistant DirectorInternal Revenue
DepartmentMinistry of Finance and Revenue
2
Introduction
  • Situated in South East Asia
  • North northeast - China
  • East southeast - Laos Thailand
  • South - the Andaman Sea
    the Bay of Bengal
  • West - Bangladesh India

3
Introduction (Continued)
  • Total land area - 676,000(s) kilometers
  • From east to west - 936 kilometers
  • From north to south - 2051 kilometers
  • In the tropical monsoon zone
  • Three seasons
  • - the hot season (March to May)
  • - the raining season (June to October)
  • - the cold season (November to February)

4
Introduction (Continued)
  • Total population - 59.13 million
  • Ethnic groups - 135
  • Predominant language - Myanmar
  • Main religion - Buddhism
  • Full freedom of worship for other religions
  • Rich in natural human resources
  • Need capital high technology in every field

5
Myanmar tax policy
  • Based on the following objectives
  • - To raise resources to finance government
  • expenditure
  • - To attain a balance budget
  • - To check economic inflation
  • - To coordinate domestic consumption,
  • investments and savings

6
Myanmar tax policy (continued)
  • To reduce the wealth gaps between the rich
  • and the poor
  • To discourage the consumption of some
  • commodities
  • To achieve other desirable goals
  • To invite participation in terms of technical
  • know-how and investment from sources
  • inside the country and abroad

7
Taxes duties administered by IRD
(kyat in billion)
2004-05 2005-06 2006-07 2007-08 2008-09 2009-10
State revenue 298.502 472.178 724.976 896.241 1063.585 1098.030
IRD tax collection 265.186 88.84 448.156 94.91 676.774 93.35 838.391 93.55 987.925 92.88 1037.364 94.47
8
Taxes duties administered by IRD
(continued) Composition of tax revenue
from(2004-05)to(2009-10)
(kyat in billion)
9
Profit Tax
  • Tax on income
  • Kind of tax for self-employed individuals
  • Resident citizens not being salary or wage
  • earners
  • Association of person not being companies
  • Not cover by income tax law, subject to profit
  • tax law
  • Minimum income liable to tax is K 10,000
  • Income from production of goods or transport
  • services the tax payable is 10 less

10
Profit Tax
  • Income from production of cheroots 10 more
  • If income exceed K 300,000,
  • tax payable 14670350 of amount
  • exceeds K 300,000
  • Tax payable based on 50 income level
  • Capital gains 10 flat
  • Prepare to repeal this profit tax law after
  • Constitution comes into operation

11
Income Tax Law (1974)
  • Supplement by Income tax rules, regulations,
  • the state budget law and notification issue
  • from time to time
  • State economic enterprises, salary earners,
  • firms, companies, association of person
  • Total income from in and outside Myanmar
  • Nonresident foreigner for the income
  • received in Myanmar
  • Comprises corporate income tax, individual
  • income tax, capital gain tax and withholding
    tax

12
Depreciation Allowance
  • Building - 1.5 to 10
  • Furniture and fitting - 5 to 10
  • Machinery and plant - 5 to 10
  • Machinery equipment - 2.5 to 20
  • Waterway transport - 5 to 10
  • Road transport vehicles - 12.5 to 20
  • Miscellaneous - 10 to 20

13
Deduction
  • The persons who are responsible for
  • salaries income
  • The Head of Government organization
  • The owner of enterprise
  • Association of persons, a member of
  • management
  • The president or the secretary, for co-operative
  • society
  • General manager or manager of a company

14
Withholding tax
  • Resident Non-Resident
  • Foreigner Foreigner
  • interest - 15
  • royalist for use of
  • license, trade marks
  • patent rights 15 20
  • (c) Gross income (Receipt)
  • from contracting works
  • done for state organizations
  • development committees,
  • and Co-operatives societies 3 3.5
  • (d) Receipt from contracting
  • work 2.5 3

15
Rate of the income tax
  • Resident Foreigner
  • A foreigner who resides in Myanmar for not
  • less than 183 days
  • (ii) A company formed wholly or partly with
  • foreign share holders
  • (iii) As association management and decision
  • making of its activities wholly in Myanmar
  • Non-Resident Foreigner is not a resident
  • foreigner in Myanmar.

16
Rate of the income tax
The income from salary salary, wages, annuity,
pension, gratuity and fees, etc Profession a
doctor, a nurse, a lawyer, an Engineer, an
architect, a film artiste, etc The Capital
Gain profit realized from the sale, exchange,
or transfer of capital asset. Capital asset
land, building vehicle and any capital asset
connected with the business.
17
Rate of the income tax
Resident Non-Resident
Foreigner Foreigner (a) Salary 15
35 (b) Capital gains other than oil and
natural gas sector 10 40 (c) Income from
other than salary 30 35
18
Avoidance of Double Taxation agreements
  1. United Kingdom
  2. Malaysia
  3. Singapore
  4. Vietnam
  5. Thailand
  6. Korea
  7. Bangladesh
  8. Indonesia
  9. India

19
Commercial Tax
A turnover tax, like VAT or sale tax. (a) Goods
produced within the state and sold
domestic and abroad, (b) Goods imported from
abroad, (c) Services rendered within the
state. There is chargeable to pay tax only on 10
kinds of services rendered within Myanmar.
20
Commercial Tax
Schedule 1 list item of goods exempt from
the tax, 5 for Schedule 2 list items of goods,
10 for Schedule 3, 20 for Schedule 4, 25 for
Schedule 5 and Schedule 6 represents specific
types of goods ranging from 30 to 200.
Pay tax in foreign currency (i) any commodity
(Schedules 1 to 6 of Commercial Tax
Law) rate of 8 (not including export sale of
CMP)
21
Commercial Tax
(ii) 9 kinds of services, the foreign
currency includes in the receipts, prescribed
rates according to the type of services.
(iii) In border trade, the goods are imported
from abroad, the commercial tax, will be
levied with the currency used in
import transaction.
22
Myanmar tax structure
  • 15 types of taxes and duties under the 4 major
  • head namely -
  • (a) Taxes levied on production
  • consumption
  • (b) Taxes levied on income and ownership
  • (c) Customs duties
  • (d) Taxes levied on the utility of state own
  • properties

23
Myanmar tax structure
  • Taxes levied on domestic production and public
    consumption
  • Excise duty - General Administration
    Department
  • Commercial Tax - Internal Revenue
    Department
  • License fees on - Customs Department
  • imported goods
  • State Lottery - Internal Revenue
    Department
  • Taxes on transport - Road Transport
    Department
  • Sale proceeds of stamps - Internal Revenue
  • Department

24
Myanmar tax structure
  • Taxes levied on income and ownership
  • Income Tax - Internal Revenue
    Department
  • Profit Tax - Internal Revenue
    Department
  • Customs Duties
  • Customs duties - Customs Department

25
Myanmar tax structure
  • Taxes levied on utilization of State owned
    properties
  • Taxes on land - General Administration
    Department
  • Water tax and - General Administration
  • embankment tax Department
  • Tax on extraction of - Forest Department
  • forest products
  • Tax on extraction of - General Administration
  • mineral Department
  • Tax on fisheries - Fishery Department
  • Tax levied on rubber - Forest Department

26
Conclusion
  • Trying to introduce self-assessment system
  • Preparing establishment of integrated network
  • systems
  • To raise the rate of taxpayers compliance
  • Promote solidarity, mutual amity and mutual
  • assistance among the ASEAN Nations
Write a Comment
User Comments (0)
About PowerShow.com