Cambodia to extend tax exemptions to COVID-19 hard hit sectors
The Cambodian government is set to extend tax exemptions to sectors hit hard by the COVID-19 pandemic, in a bid to support businesses and boost economic growth.
Prime Minister Hun Sen said that the government would continue to provide tax preferences and subsidies to industries that were impacted severely by the pandemic, including tourism and factory workers over the next few months.
“Even if we reopen the economy, we will continue to provide favours. Preferential tax programmes for some of the businesses – we have announced in the past. We are not finished when we reopen this country, we must continue to address the wellbeing of the people and the uncertainty ahead”, he said, according to The Phnom Penh Post.
“The government’s effectiveness in controlling the pandemic itself and clear plan of opening up the country and economy under the ‘new normal’ is the best incentive and support for our export-oriented manufacturing sector,” remarked Garment Manufacturers Association in Cambodia (GMAC) deputy secretary-general Kaing Monika.
“There’s no additional tax incentives for our sector, but there’s been a continued wage subsidy for workers in cases of temporarily suspended employment,” Monika said.