The GDT reminds immovable property owners to pay taxes before 30 September

• 29 May 2020
• Local News
• 5768 Views

The General Department of Taxation (GDT) has reminded all immovable property owners in Phnom Penh and all provinces to pay their property taxes including the tax on unused land for 2020 before the end of 30 September 2020, according to the notification of the General Department of Taxation on 28 May 2020.

Seeing the stagnation in the tax payments of all immovable property owners, the General Department of Taxation issued this reminder letter to remind the taxpayers and to promote the effective collection of real estate taxes and/or unused land taxes for 2020. This announcement is also aimed to avoid the accumulation of tax payments during the deadline.

Immovable property owners who fail to file a timely tax return will be subject to the penalties as per law in force.

“For any person who fails to pay the periodic tax, the additional tax shall be imposed at the rate of 10% of the late tax rate plus the interest of 2% of the late tax payment for each month or portion of the month in which the tax is not yet paid …,” says Article 132 of the Law on Taxation 1997.

The fine will be increased if the person remains unpaid within 15 days of receiving a tax refund reminder letter. In this case, the law requires that person to pay 25% additional tax plus 2% of the interest rate of the late tax payment.

In addition, this tax shall apply to unused land or the constructed land, but is abandoned in cities and areas defined by the “Unused Land Assessment Commission”.

The amount of tax payable is fixed at the rate of 2%, where the tax base is the land price according to the market price of each city and region, assessed at the per square meter price as determined by the Unused Land Assessment Committee as per Article 30 of the 2017 Finance Law and Prakas No. 452 on the Revision of the Unused Land Tax Collection.

The property owner, the taxpayer, can submit the tax declaration and tax return from the 1st of January to the end of September 30, each year to the tax department where the taxable land is located.

• Laws and Regulation