Myanmar new tax rate comes into force

Myanmar's new income tax and commercial tax law has come into force in the fiscal year of 2014- 15, state media reported Thursday. Under the new law, people who earn from 2 million to 5 million Kyats (2,083 to 5,208 U.S. dollars) a year will have to pay 5 percent income tax, while those from 5 million to 10 million Kyats to pay 10 percent and those for 10 million to 20 million Kyats to pay 20 percent and those for 30 million Kyats and above to pay 25 percent, the Internal Revenue Department was quoted as saying. In the new law, tax reduction are offered for married couples and those who have children. Commercial tax is collected starting from 15 million Kyats and tax exemption is offered for 60 items of goods, the department said, warning that those who fail to pay taxes will be fined under the commercial tax law. According to the department, a total of 3.582 trillion Kyats of revenue was collected during 2013-14. Myanmar's parliament approved the two tax-related bills in March.