Myanmar Offers Tax Incentives To Attract Investments

0
113
Myanmar Offers Tax Incentives To Attract Investments

The Ministry of Investment and Foreign Economic Relations (MIFER) has announced the priority investment sectors for each of the country’s 14 states and regions, as well as the capital Nay Pyi Taw (commonly known as Naypyidaw) which is designated as a Union Territory. Each administrative division has been assigned five priority business areas, which are drawn from a list of 14 priority investment sectors – agriculture, manufacturing, hotels and tourism, logistics, real estate, power, natural resources and mining, livestock, urban development and development of industrial zones, healthcare, eco-tourism, education, infrastructure and transportation, and IT services.

Investors in any of the five designated priority sectors in the relevant administrative division are to be exempted from Corporate Income Tax (CIT) for periods ranging from three to seven years. For example, companies who invest in manufacturing, infrastructure and transportation, IT Services, hotels and tourism, or education in the Yangon Region (which includes the country’s commercial capital and largest city Yangon) won’t have to pay CIT for either three or five years. Similarly, investors in the Mandalay Region (which includes the country’s second-largest city Mandalay) will be able to claim exemption from CIT for three, five or seven years if their projects fall within any of the region’s five priority sectors – manufacturing, hotels and tourism, agriculture, livestock or real estate.

Also Read  Union Budget 2020 : Not Much In It For Textile Industry

Details of the priority investment sectors of each administrative division, and the periods for which exemption from CIT applies, are provided in the table below:

Administrative DivisionPriority Investment Sectors* (ranked in importance in descending order)CIT Exemption Period
Ayeyarwady Region1, 8, 3, 13 and 65 or 7 years
Bago Region6, 13, 3, 5 and 85 or 7 years
Chin State3, 6, 1, 8 and 97 years
Kachin State1, 2, 3, 4 and 55 or 7 years
Kayah State3, 1, 2, 6 and 77 years
Kayin State1, 3, 2, 4 and 57 years
Magway Region1, 8, 6, 2 and 35 or 7 years
Mandalay Region2, 3, 1, 8 and 53 or 5 or 7 years
Mon State1, 8, 2, 10 and 115 or 7 years
Nay Pyi Taw Union Territory1, 8, 2, 4 and 135 years
Rakhine State1, 8, 12, 13 and 37 years
Sagaing Region1, 8, 13, 3 and 75 or 7 years
Shan State3, 1, 6, 2 and 145 or 7 years
Tanintharyi Region13, 6, 8, 7 and 15 or 7 years
Yangon Region2, 13, 14, 3 and 123 or 5 years
Also Read  ITTA Welcomes National Technical Textiles Mission

*Key: 1 (Agriculture), 2 (Manufacturing), 3 (Hotels and Tourism), 4 (Logistics), 5 (Real Estate), 6 (Power), 7 (Natural Resources and Mining), 8 (Livestock), 9 (Urban Development and Development of Industrial Zones), 10 (Healthcare), 11 (Eco-Tourism), 12 (Education), 13 (Infrastructure and Transportation), and 14 (IT services)

Also Read  ITTA Welcomes National Technical Textiles Mission

LEAVE A REPLY

Please enter your comment!
Please enter your name here

94 − 87 =