Cambodia extended the VAT registration deadline for non-resident e-commerce providers to March 31, 2022

The government of Cambodia released a Notification no. 776 GDT postponing the implementation of VAT on E-Commerce (locally known as “Prakas 542”).

Non-resident entities conducting e-commerce transactions to consumers in Cambodia are required to register in a simplified VAT system. They now have time until March 31, 2022, to register with the General Department of Taxation (GDT) to ensure a 10% VAT can be collected on digital goods and services bound for the Kingdom. GDT  intends to provide both resident and non-resident taxpayers more time to understand their obligations under the new system.

The implementation has been delayed till 1 April 2022 therefore, no reporting and payments are expected until May when the VAT returns for sales in April will be required.  Registration must be done by March 31, 2022.

Payments by foreign companies will be allowed through the debit cards, credit cards or bank transfers from a foreign bank.  In case of bank transfers from the offshores, the GDT will extend the deadline for payment by 3 days from the due date of lodgment of the VAT return (20^th for manual filing, 25^th for e-filing).  In such case, the payment deadline is extended to either 23^rd or 28^th of the month.  Payments through domestic banks are naturally allowed.

Sources: GDT,  Cambodia Investment review