Notification to entrepreneurs who are conducting export import activities ( not official translation only for information) Notification to entrepreneurs who are conducting export import activities Internal Revenue Department has commenced levying advance tax on import in 2005 for border trade activity in order not to miss out charging tax on export import activities and collect full taxable amount for the State. In order to improve foreign trade, export import activities has been allowed to conduct not only by companies but also by individual with individual trading card system and other relaxations has been made related to export import license. This is to notify that the advance income tax will be collected on exporting abroad and importing into the country with border trade system and normal trade systems starting from 14.06.2013 for the purpose of not to miss out levying tax from improved foreign trade activities, to improve tax compliance, paying tax conveniently in installments every time the goods are exported imported insteadof paying tax in one lump sum amount and having good practices on paying tax at the time of receiving income in accordance with provisions of the Law. Advance Income Tax to be collected shall calculate and collect as per below; Export: If exporting in Kyats currency, 2 percent of the value of the exported good, if exporting in foreign currency, 2 percent of the value of the exported good converted by using the foreign exchange rate at the export date and collect the advance income tax in Kyat currency. Import: 2 percent of the Customs Assess Value shall be collected in Kyats as advance income tax. The following activities shall subject to advance income tax: Conducting with border trade system Conducting with normal trade through border system Conducting with normal trade system The below mentioned exporter/importer, exporting/importing activities shall not subject to advance income tax: Ministries and Departments, State-owned economic organizations (exporting/ importing for co-operative society by co-operative export import enterprise is excluded) Importing motor vehicle in the name of individual who has returned the old vehicles Construction materials and raw materials imported during initial construction period with MIC permit Goods imported due to the donations from local and foreign organizations Fire engines, hearses, ambulances (apart from hospital used vehicles for private businesses) raw materials imported for CMP base activity imported goods by draw back system temporary importation goods The followings office of Internal Revenue Department will collect the advance income tax. Office of Internal Revenue Department performing duties in Border Trade Camp (OSS) group for exporting or importing by border trade Customs Department for normal trade system Company Circle Tax Office for exporting from Yangon sea port, airport Pyi Gyi Ta Kun Township Revenue Office for exporting from Mandalay International Airport The mentioned tax collected upon importing and exporting goods is only advance income tax and shall be offset in final assessment and if there is refund occur, the refund will be made by Internal Revenue Department. This is to inform that if detail enquiry on advance income tax wish to made, can be contacted in person to Building No. 46, Naypyitaw, Income Tax Directorate, Internal Revenue Department , telephone No. 067-430009 or Tax Service Unit, No. 59/61, Pan Soe Dan Street, Yangon, Telephone No. 01-378372.
Posted on: Fri, 07 Jun 2013 05:10:09 +0000
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