Locally Produced Cigars (បារីស៊ីហ្គា)

Lesson Summary-Locally Produced Cigars in Cambodia (Updated on 2022)

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Tax is levied once only  for domestic goods, and it is upon the sale from the factory if the cigars are locally produced.

Specific Tax (ST) rate for Locally Produced Cigars in Cambodia is 20%.

Tax base for Cigars = amount excluded taxes x 90%

Specific tax (for Cigars ) = Tax base x 25%

Example 1 

XYZ Factory in Cambodia produced and sold the following products:

-Cigars of $20,000 ( excluded any taxes) to KKK Company

-Cigars of $10,000 ( excluded any taxes) to Mr. B

-Drinking water of $3,100 ( excluded any taxes)

– Cake of $1,000 (excluding any taxes)

Required:

Calculate any specific taxes if any.

Answer 

Tax base for Cigars = (20,000+10,000) x 90% =$ 27,000

Specific tax (for Cigars ) = $ 27,000 x 25%=$6,750 

Please note drinking water of $3,100 and cake of $1,000 are not subject to specific tax.