10 October 2022

Revised Tax Bracket for Employees & Business Owners

On 28 September 2022, the Royal Government of Cambodia issued a Sub-Decree (No. 196 OrNKr.BK) on the new taxable income threshold for the monthly salary tax of resident employees and the annual taxable income of business owners (Sole Proprietorship and Partnerships).


This Sub-Decree will come into effect on 1 January 2023.


What are the new tax rates on annual income for business owners?

Annual Income Tax (KHR)Tax Rate (Annually)
From 0 to 1,800,000 Riels

(previously from 0 – 1,6000,000)

From 1,800,000 to 2,400,000 Riels

(previously from 1,6000,000 – 2,400,000)

From 2,400,001 to 10,200,000 Riels*10%
From 10,200,001 to 15,000,000 Riels*15%
Above 15,000,000 Riels*20%

What are the new tax rates on salary for employees?

Monthly Salary (KHR)Tax Rate (Monthly)
From 0 to 1,500,000 Riels

(previously from 0 – 1,300,000)

From 1,500,001 to 2,000,000 Riels

(previously from 1,3000,000 – 2,000,000)

From 2,000,001 to 8,500,000 Riels*10%
From 8,500,001 to 12,500,000 Riels*15%
Above 12,500,000 Riels*20%


Currently, in the absence of new instructions from the Ministry of Economy and Finance, the deadline for companies to file monthly tax returns for tax on salaries and fringe benefits remains the 20th of the following month (or 25th of the following month for E-Filing Returns). Additionally, the deadline for filing annual taxable incomes would fall on 31 March 2023 (or three months after the end of fiscal year for businesses which are allowed to use a financial year that is different from the calendar year).

If you have any questions or require additional information, please contact Liew Shan BergHout Sreypich, Sopheareach Prum, or Matthew Rendall, of Sok Siphana & Associates.


This alert is for general information only and is not a substitute for legal advice.