GDT Clarifies Procedure for Permanent Business Dissolution

October 28, 2024

On September 17, 2024, the General Department of Taxation issued the Instruction on the Procedure to Apply for Permanent Business Dissolution to provide clarification on the process.

Details are as follows:

Notification Requirement

Following the procedure specified in Article 203 of the Law on Taxation, taxpayers are required to notify the tax administration within 15 days of the business’s permanent dissolution.

Prerequisites to apply for permanent business dissolution

Before applying for permanent business dissolution, the taxpayer must first close the accounting books, and file monthly tax returns and the annual income tax return up to the date of applying for permanent dissolution.

Once the tax administration receives the application for permanent dissolution, the taxpayer is no longer required to file monthly and annual taxes.

Application process

Taxpayers can apply for permanent dissolution of a business by one of the following options:

• Option 1: Online via the website www.registrationservices.gov.kh.
• Option 2: In person at the tax administration by completing the application form for permanent dissolution (Form 103). The form must be signed by the director, manager, owner, or a legally authorized representative.

Required documents

The following documents must be included with the application:

• Notification of permanent dissolution of the business
• Permanent dissolution business form (Form 101)
• Payment receipt for the stamp duty tax of KHR 1 million on the legal documents relating to the dissolution.

After submitting the application, the taxpayer will receive a letter certifying receipt of the application by the tax administration.