Cambodia’s tax revenue surges to $1.2 billion in first quarter

Kong Vibol

The government earned $1.2 billion in tax revenue in the first quarter of this year, reflecting the resumption of socio-economic activities in the country.

The tax revenue figures were shared by Prime Minister Hun Sen during the $22-million-built flyover and underpass inauguration ceremony on Thursday.

The tax revenue in March alone was expected to reach more than $700 million.

The government also earned $288 million and $223 million in January and February, respectively, making the tax revenue increase to more than $1,200 million, an increase of about $200 million over revenue in the first quarter of last year.

“The tax revenue increase in March is because it is the month companies pay profit tax from last year,” Mr Hun Sen said.

In March alone, if customs revenues of more than $200 million are included, the internal tax revenue crosses more than $900 million.

The socio-economic activities since the country fully reopened in November last year is the main factor boosting the tax revenue increase, he said.

“Comparing the revenue and expenditure of the government in 2021 and 2022, last year the government spent a lot on the fight against Covid-19 and the collection of revenue was small, For this year, the government still spends a lot, but fiscal revenue has also recovered significantly through the full economic recovery,” he said.

Last year, the GDT earned $2,781 million, exceeding 124 percent of the targeted plan.

Customs revenue under the General Department of Customs and Excise was at $2,295 million in 2021, five percent below the targeted plan.

To meet expenditure, the head of government has called sub-level authorities to strengthen tax collection efficiency to ensure the national budget stability, calling for auditing the expenditure management at the sub-national level.

“Regarding the financial resources of the sub-national administration, we need to jointly strengthen national revenue management with transparent expenditure management,” the Prime Minister said during the official launching ceremony of the national programme for sub-national democratic development phase 2 held on March 22. Khmer Times