Cambodia Personal Income Tax Guide 2026

Overview — General Department of Taxation (GDT)

The General Department of Taxation (GDT) administers all tax matters in Cambodia under the Law on Taxation (LoT). Cambodian tax residents are taxed on Cambodian-source income; non-residents are taxed only on Cambodian-source income. Tax residency is determined by physical presence of 183 days or more in a calendar year or having a habitual residence in Cambodia. Employees have tax withheld at source by their employer under the TOS system. The GDT has modernised tax administration through the GDT Tax Portal for online filing and payments.

TOS Tax Brackets 2026

Cambodia applies a progressive monthly bracket system for Tax on Salary (TOS) with a top rate of 20%. For 2026, the monthly brackets are as follows:

• 0% — on monthly salary up to KHR 1,500,000 (approx. USD 375)
• 5% — on the next KHR 500,000 (KHR 1,500,001–2,000,000)
• 10% — on the next KHR 6,500,000 (KHR 2,000,001–8,500,000)
• 15% — on the next KHR 4,000,000 (KHR 8,500,001–12,500,000)
• 20% — on monthly income above KHR 12,500,000

These brackets mean that a taxpayer earning KHR 5,000,000/month pays approximately KHR 175,000 in TOS — an effective rate of ~3.5%. A taxpayer earning KHR 20,000,000/month pays approximately KHR 2,275,000 — an effective rate of ~11.4%.

Fringe Benefits Tax (FBT)

Employers are subject to a 20% Fringe Benefits Tax (FBT) on the value of non-cash benefits provided to employees that are not directly related to business operations. This includes housing (beyond company premises), vehicles for personal use, education for dependents, and entertainment. Certain benefits such as healthcare, accident insurance, and required business travel are exempt. The employer bears the FBT cost and must declare it monthly through the GDT Tax Portal.

Tax on Salary (TOS) Withholding

Employers are required to withhold Tax on Salary (TOS) from employee wages each month. The employer calculates monthly tax based on gross salary, applies the progressive bracket rates, and remits the tax to GDT by the 15th of the following month via the GDT Tax Portal. Employers must register with GDT and file monthly TOS declarations. Failure to remit on time attracts penalties of 1–5% per month on the unpaid tax plus interest at 1.5% per month for late payment.

Taxable and Non-Taxable Income

Taxable employment income includes salaries, wages, bonuses, commissions, overtime, allowances, director fees, and other remuneration. Non-taxable items include legitimate business travel expenses, employer contributions to NSSF, accident insurance premiums, and medical reimbursements. Seniority indemnity payments (indemnité de licenciement) are taxable only on the portion exceeding statutory minimums.

Filing Requirements

Employees whose tax is fully withheld at source under TOS do not need to file an annual personal tax return. However, individuals with multiple sources of income, self-employment, or business income must file an annual income tax return by 31 March of the following year. Self-employed individuals and sole proprietors are taxed under the Simplified Tax Regime (STR) or Real Regime depending on revenue. Late filing attracts a penalty of 10% of the tax due, plus 1.5% monthly interest on unpaid tax.

FAQs

Do I need to file a tax return if I am a salaried employee?

No, if your employer withholds TOS correctly each month, you are not required to file an annual return. However, if you have additional income from other sources, a return must be filed.

Are bonuses subject to TOS?

Yes, all bonuses, commissions, and additional remuneration are taxable as employment income under the monthly TOS system and are subject to the same progressive rates.

Is there joint filing for married couples?

No, Cambodia does not allow joint filing. Each individual is taxed separately on their own income.

What currency is used for tax calculations?

Tax is calculated in Cambodian Riel (KHR). However, USD is widely used in Cambodia and the GDT provides official exchange rates for conversion. The KHR 1.5M threshold is approximately USD 375 at standard exchange rates.

Disclaimer

This guide provides general information about Cambodian personal income tax for the 2026 tax year. Tax laws, rates, and regulations may change. Always consult with a qualified Cambodian tax advisor or the General Department of Taxation for advice specific to your situation. InvestmentKit does not provide tax advice.