Tax amnesty under review

A review on tax exemption is being conducted and it will be reformed as it is too complicated, said Union Minister for Commerce Dr Than Myint.

Following widespread criticism of an unfair taxation system, the Union parliament cancelled the tax exemption bill planned to be passed in 2018.

Under the Union Taxation Bill 2018, the government proposed a three to five percent tax levy for unconfirmed sources of income, properties or other intangible assets which are not currently covered by tax laws, meaning that aforementioned “illegal” ownership of things will become legal after tax payment.

Critics slammed the idea, claiming that regular tax payers may get into the habit of evading taxes as it would amount to prioritizing to tax evaders and encouraging the inflow of black money from dangerous organizations and terrorist groups such as the Islamic State. It also failed to describe obligations of organizations which will check and supervise processes.

Union Minister for Planning and Finance Kyaw Win said “Thanks to Section 25 (Tax Exemption), a massive inflow of unpaid tax money into the business cycle for even one week will be beneficial. Efforts are being made to bar the inflow of black money and continue dealing with tax exemption in cooperation with the Home Affairs Ministry.

There are widespread rumors that officials from the Anti-Corruption Commission and the Bureau of Special Investigation are inspecting Union Minister for Planning and Finance Kyaw Win, who submitted the tax exemption proposal to the Union Parliament, at a time when efforts are being made for the enactment of law.

Nyunt Han, head of the Information Team of Anti-Corruption Commission said: “The commission will officially release details of the inspection.”

Dr Aung Tun Thet, economist and chief coordinator of the UEHRD said: “The country needs capital injection to revive the slow economy. We need to think of multiple ways in addition to tax amnesty.”

Source : Eleven Myanmar

To see the original article click link here

NB: The best way to find information on this website is to key in your search terms into the Search Box in the top right corner of this web page. E.g. of search terms would be “property research report”, ”condominium law”, "Puma Energy", “MOGE”, “yangon new town”,"MECTEL", "hydropower", etc.