In a bid to ensure equitable development, the Myanmar Investment Bill will enable investors to enjoy tax exemptions from three to seven years for designated regions and sectors.
The bill, to be passed this year, is a combination of the Foreign Investment Law and the Myanmar Citizens Investment Law. In addition, the Myanmar Investment Commission (MIC) will be reformed this month.
The MIC can scrutinise and allow tax exemption or relief to investors in order to support equitable development.
Aung Naing Oo, secretary of the MIC and director-general of the Directorate of Investment and Company Administration, said: “Now we are planning to attract a massive inflow of investment. The bill includes that provision. Investors in less-developed regions shall enjoy tax reductions rather than those in more developed regions. They can get tax relief based on the region and sector. The MIC will fix the rates after seeking the approval from the government and the enactment of the law.”
The MIC will designate less-developed areas as zone one, moderately developed regions as zone two and zone three for the areas least in need.
The MIC can give income tax exemptions to investors.
Zone one investors can get tax exemption for seven years, zone two for five years and zone three for three years.