Experts yesterday agreed that a double taxation agreement (DTA) with China due to come into force on January will boost Chinese investment in the Kingdom.
Speaking at a seminar in Phnom Penh, Clint O’Connell, head of tax at DFDL, said the agreement will attract more Chinese investors to Cambodia.
“It should encourage further Chinese investment in Cambodia. One of the main concerns of Chinese investors are the double taxation issues,” said Mr O’Connell.
Cambodia now levies withholding tax at the rate of 14 percent for the payments of dividends, interest and royalties to non-residents, but these are broadly reduced to 10 percent under a DTA.
Bun Neary, deputy director general of the General Department of Taxation, said Cambodia has signed DTAs with five nations: China, Brunei, Thailand, Singapore and Vietnam.
