The Royal Government's Support for the Tourism Sector

Royal Government of Cambodia's Additional Measures Aimed at Assisting Private Sector and Employees affected by COVID-19.  

On 31 March, the Royal Government of Cambodia issued the below press release to outline their additional measures to support the private sectors and employees who are impacted by COVID-19 epidemic. The Government has instructed the following: 

1. Aviation sector

  • Exemption of Minimum tax for 3 months from March to May 2020 for Cambodia Airlines
  • Delay payment of civil airfare for six months with permission from the airlines to process the debt after this period.

2. Tourism Sector

* Extend additional scope for all types of monthly tax exemption measures to hotels, guesthouses, restaurants and travel agents registered with the General Department of Taxation and have business activities operating in Phnom Penh, Siem Reap, Preah Sihanouk, Kep, Kampot, Bavet and Poi Pet for 3 months from March to May 2020. These businesses are still obliged to file a tax return and use the EVAT every month during this exemption period.

* Taxpayers are required to file the tax return of annual income for the 2019 at least before the end of March 2020, but the tax is allowed to be paid in installments every month until November 2020.

* Expanding the scope of the contribution mechanism to provide a 20% subsidy of the minimum wage (20% of $ 190) from the Government to employees affected by the suspension of employment or suspension of business operation for hotels, guesthouses, restaurants and travel agents registered with the General Department of Taxation. To receive the 20% subsidy of the minimum wage, employees are required to attend a short training course (one to two weeks) organized by the Ministry of Tourism. Tourism business owners from hotels, guesthouses, restaurants and travel agents are required to verify and select trainees to receive this subsidy by providing the name list of employees, N.S.S.F card numbers or certificates.

* Contributions to insurance for occupational risk and health care scheme (N.S.S.F) are not required during this period of employment suspension or the suspension of business operations.

3. As many in the private sector have concerns regarding commercial properties and factory rental during the current difficult period, the Royal Government urges Ministries – State institutions and private owners of commercial buildings and factories to facilitate with their lessee/tenants by avoiding of contract termination or evictions if tenants cannot afford their rental fee after the payment due date. The Royal Government encourages owners of commercial properties and factories to negotiate with their tenants on delaying payment due dates and reducing fees for rental services.

4. Every ministries and institutions shall effectively implement this instruction with their respective competencies.

5. The Royal Government will continue to monitor the economic and social impact of Covid-19 and prepare additional measures to provide appropriate and necessary support to businesses and employees who are seriously affected. 

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