Myanmar Investment Income Tax Guide 2026

Overview — Investment Income Taxation

Myanmar's tax treatment of investment income varies by type. Dividends from Myanmar companies are exempt from tax for resident shareholders. Interest income is subject to 10% WHT, which is generally the final tax. Capital gains on the sale of shares are subject to 10% CGT. Myanmar does not impose tax on foreign-source income for most individual taxpayers, making it attractive for international investors. Investment income may also be subject to CIT for corporate investors.

Dividends — 0% Exempt

Dividends paid by Myanmar companies to resident shareholders are exempt from income tax. This exemption applies regardless of the amount of dividends received. For non-resident shareholders, dividends are generally not subject to withholding tax. The dividend exemption makes Myanmar an attractive jurisdiction for dividend-focused investment strategies. Companies paying dividends must ensure proper documentation is maintained.

Interest Income — 10% WHT

Interest income earned by residents from bank deposits, bonds, and other debt instruments is subject to 10% withholding tax. The WHT is generally the final tax and no further tax is payable. For non-residents, interest is subject to 15% WHT (or lower rate under applicable DTT). Interest on Myanmar government securities may have specific tax treatment. Bank deposits are the most common source of interest income for Myanmar residents.

Capital Gains on Shares — 10%

Gains from the sale of shares in Myanmar companies are subject to Capital Gains Tax at 10%. The gain is calculated as the sale proceeds minus the acquisition cost. This applies to both listed and unlisted shares. Share transfers between related parties must be at arm's length value. The seller is responsible for reporting and paying the CGT.

Foreign Investment Income

Myanmar generally does not tax foreign-source income of individual taxpayers. This means that investment income earned from sources outside Myanmar is typically exempt from Myanmar tax. Corporate taxpayers are taxed on worldwide income but may claim foreign tax credits for taxes paid overseas. The territorial system for individuals makes Myanmar attractive for international investors.

FAQs

Are dividends from Myanmar companies really tax-free?

Yes, dividends paid by Myanmar companies to both resident and non-resident shareholders are exempt from tax at 0% withholding tax. This is a significant advantage for investors.

What is the tax rate on bank interest?

Interest on bank deposits and other debt instruments is subject to a final 10% withholding tax for residents. Non-residents are subject to 15% WHT on interest income.

Is foreign investment income taxable in Myanmar?

Individuals are generally not taxed on foreign-source income. Companies are taxed on worldwide income but may claim foreign tax credits.

Disclaimer

This guide provides general information about Myanmar investment income taxation for the 2026-27 tax year. Tax laws may change. Always consult with a qualified Myanmar tax advisor for advice specific to your situation. InvestmentKit does not provide tax advice.