Cambodia and the Philippines have recently concluded a Double Taxation Agreement ("DTA") which aims to ease the burden of double taxation on individuals and entities operating in these two countries. This, in turn, removes trade and investment barriers and encourages cross-border economic activities.
The final draft of the DTA covers the taxation of income earned by citizens and residents of both Cambodia and the Philippines. It will also describe how each country’s tax administration will be carried out and how credit taxes are paid in accordance with the tax rules in both countries.
Negotiations on the DTA began in 2018, with a subsequent meeting held in 2019. Cambodia and the Philippines are expected to sign the DTA in October 2024.
The successful negotiation of the DTA strengthens the economic tie between the contracting states. It demonstrates a commitment to bilateral cooperation and understanding and future collaborations in various sectors, such as education, tourism, and technology.
