On 7 June 2019, the Union Parliament (“Pyidaungsu Hluttaw”) enacted Law No. 20 otherwise known as the Tax Administration Law (“TAL”). This TAL is one of the major pieces of tax legislation being introduced in Myanmar as part of the Internal Revenue Department’s (“IRD”) tax reform program. This Law aims to modernize and provide guidance on the administrative procedures on tax-related matters in Myanmar.
The TAL covers administrative matters concerning the following: (1) the Income Tax Law; (2) the Commercial Tax Law; (3) the Special Goods Tax Law; and (4) other taxes over which the Director General (“DG”) of the IRD has authority vested in him or her under relevant laws.
Among the interesting provisions of the TAL are the inclusion of an advance ruling system, an Anti-Avoidance provision, and the imposition of interest on unpaid or overpaid taxes. Similarly, the TAL also clarified certain provisions under the existing tax laws with respect to tax filing and payment procedures, maintenance of documents, re-assessment of tax returns, changes to the appeal process, and the imposition of penalties, among others.
While the TAL was enacted in June, the Law will only enter into effect on 1 October 2019 or the start of the new financial year in Myanmar.
A copy of the report can be found here.
Need legal advice?
If you are in need of legal advice or have questions regarding taxation, you can request a quote with DFDL lawyers or get a Quick consult with experienced lawyers. With Quick Consult, from a transparent, flat fee of $49, the lawyers will call you back on the phone within 1-2 days to answer your questions and give you legal advice.
This article is written by DFDL Lawyers.
This article does not constitute legal advice or a legal opinion on any matter discussed and, accordingly, it should not be relied upon. It should not be regarded as a comprehensive statement of the law and practice in this area. If you require any advice or information, please speak to practicing lawyer in your jurisdiction. No individual who is a member, partner, shareholder or consultant of, in or to any constituent part of Interstellar Group Pte. Ltd. accepts or assumes responsibility, or has any liability, to any person in respect of this article.