The government generated over $3.3 billion in internal revenue through the General Department of Taxation (GDT) in the first 11 months of 2023, representing nearly 94% of the target set by the 2023 Law on Financial Management. Revenue collected during the same period last year was slightly over $3.2 billion.
Between January and November 2023, the GDT amassed a total of $3.347 billion, amounting to 93.71% of the target for the year. This marks a 4.14% increase from the $3.214 billion collected in the corresponding period of 2022.
For November 2023 alone, GDT’s revenue collection reached $280.14 million, or 7.84% of the year’s target.
During a recent meeting, GDT director-general Kong Vibol highlighted the department’s efforts to strengthen the implementation of measures aimed at encouraging and facilitating taxation for the private sector.
He specifically referred to new measures and solutions concerning private sector taxes, as announced by Prime Minister Hun Manet at the 19th Government-Private Sector Forum in November.
Vibol emphasised the necessity of continuing to enhance implementation with high attention, in line with the prime minister’s past recommendations to improve service quality and efficiency.
“The sustained efforts to enhance fiscal compliance and good governance are commendable agendas, forming a solid foundation for improving tax revenue management to benefit the national budget,” he stated.
Hong Vanak, an economic researcher at the Royal Academy of Cambodia, noted that enforcing the law, reforming tax procedures and increasing taxpayer awareness have contributed to the improvement in the government’s collection.
He pointed out that increased income would facilitate national development through quality human resource training, infrastructure building, debt repayment and enhanced savings to mitigate external shocks, such as those experienced during the Russia-Ukraine war.
He anticipated a rise in revenue in the future, coinciding with improving business activities within the country.
“Tax revenue is crucial for every government. Collecting [it] as planned, especially during a global economic downturn, is important. The participation in fulfilling tax obligations in Cambodia is progressing well,” he stated.
Chin Ken, president of the Digital Technology Association of Cambodia (DTAC), noted the significant impact of simplified online tax procedures on the government’s collection efficiency and effectiveness.
“Technology is becoming an increasingly vital component in the payment of goods and all types of taxes,” he told The Post.
According to the financial management law, the GDT shall collect approximately $3.572 billion in 2023.