Cambodia VAT Guide 2026

Overview — VAT in Cambodia

Value-added tax (VAT) in Cambodia was introduced under the Law on Taxation and is administered by the General Department of Taxation (GDT). VAT applies to the supply of goods and services by taxable persons in Cambodia and to imports of goods. The standard VAT rate is 10%. Businesses with annual revenue exceeding KHR 250 million (approx. USD 62,500) must register for VAT. VAT returns are filed monthly, with payment due by the 20th of the following month. Cambodia operates a credit-invoice VAT system where input VAT can be deducted from output VAT.

Standard Rate — 10%

The standard VAT rate of 10% applies to most supplies of goods and services in Cambodia. VAT is calculated as 10% of the taxable value of the supply. Businesses registered for VAT must charge VAT on their sales (output VAT) and can claim credit for VAT paid on their purchases (input VAT). The net VAT payable is output VAT minus input VAT. If input VAT exceeds output VAT in a given month, the excess can be carried forward to offset future VAT liabilities or, in certain cases, claimed as a refund.

Zero-Rated Supplies — 0%

The following supplies are zero-rated (0% VAT) in Cambodia: exports of goods and services, international transportation services, and supplies to Qualified Investment Projects (QIPs). Zero-rated supplies allow businesses to claim input VAT credits while charging no VAT on their output. Exporters can claim refunds of input VAT incurred in producing exported goods. Businesses must maintain proper documentation to evidence export transactions, including customs declarations and shipping documents.

Exempt Supplies

Certain goods and services are exempt from VAT in Cambodia, meaning no VAT is charged and input VAT on related purchases cannot be claimed. Exempt supplies include basic food staples (rice, fresh meat, fish, vegetables), agricultural inputs (fertiliser, seeds, pesticides), healthcare services, education services, insurance services, financial services (including lending and deposit-taking), postal services, and rental of residential property. Businesses making only exempt supplies do not need to register for VAT.

VAT Registration

Businesses with annual taxable revenue exceeding KHR 250 million (approx. USD 62,500) must register for VAT with the General Department of Taxation. Registration is done through the GDT Tax Portal. Non-resident businesses providing digital services or e-commerce to Cambodian customers may also be required to register for VAT. Failure to register when required can result in penalties including back-assessment of VAT plus interest. Voluntary registration is permitted for businesses below the threshold. VAT registration must be maintained for at least 3 years.

VAT Filing and Payment

VAT returns must be filed monthly by the 20th of the month following the taxable period. Filing is done online through the GDT Tax Portal. The return must include total output VAT, input VAT claimed, and net VAT payable or refundable. Late filing attracts a penalty of 10% of the VAT due, plus interest at 1.5% per month. VAT refund claims for exporters must be filed separately and are subject to GDT audit review. Businesses must retain VAT records and invoices for 10 years.

FAQs

Can I claim VAT refunds as an exporter?

Yes, exporters can claim refunds of input VAT incurred in producing exported goods. Refund claims are subject to GDT audit and verification. The processing time is typically 30–60 days.

What is the penalty for late VAT filing?

Late filing attracts a penalty of 10% of the VAT due. Late payment attracts interest at 1.5% per month on the unpaid amount. Repeated non-compliance may result in suspension of the VAT registration.

Is VAT applicable to digital services?

Yes, non-resident digital service providers supplying services to Cambodian customers are required to register for VAT and charge 10% VAT. This includes streaming, software, and online platform services.

What records must be kept for VAT purposes?

Registered businesses must maintain sales ledgers, purchase ledgers, VAT invoices, import/export documents, and bank statements for at least 10 years. All records must be available for GDT audit upon request.

Disclaimer

This guide provides general information about Cambodian VAT for the 2026 tax year. Tax laws and rates 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.