Patent tax (annual business licence) in Cambodia

In 3 bullets

• The Patente (Patent Tax) (patent tax) is an annual business activity tax due by every entity registered in Cambodia — Co. Ltd., branch, sole proprietor, NGO branch.
• Three categories by turnover: 400,000 KHR (small), 1,200,000 KHR (medium), 3,000,000 to 5,000,000 KHR (large taxpayer).
• Annual deadline: 31 March. Payment at GDT or via partner bank. Late penalties apply.

Who must pay the patent

Any entity registered at MoC and / or tax-registered at GDT is liable from the first year of activity:

• Companies (Co. Ltd., Public Ltd., Branch Office).
• Sole proprietors / individual businesses.
• Associations and NGOs with ancillary commercial activity.
• Representations of foreign companies with activity beyond mere liaison.

Exempt:

• Pure Representative Offices (no local commercial activity).
• Salaried individuals (ToS is already withheld — no personal patent needed).
• Retirees without activity (ER visa without a company).

Taxpayer categorisation (Prakas 193 and revisions)

The GDT classifies taxpayers into three categories by several criteria, the main being annual turnover:

Small taxpayer

• Annual turnover: 250,000,000 to 700,000,000 KHR (~60,000 to 170,000 USD).
• Form: sole proprietor, joint venture, partnership.
• Patent: 400,000 KHR / yr (~98 USD).

Medium taxpayer

• Annual turnover: 700,000,000 to 2,000,000,000 KHR (~170,000 to 488,000 USD).
• Form: MoC-registered company (typical small-medium Co. Ltd.).
• Patent: 1,200,000 KHR / yr (~293 USD).

Large taxpayer

• Annual turnover: > 2,000,000,000 KHR (> 488,000 USD).
• Form: large Co. Ltd., subsidiaries of foreign groups, public institutions, QIP projects.
• Patent: 3,000,000 to 5,000,000 KHR / yr depending on turnover and sector (~732 to 1,220 USD).

Cost and duration

On top of these amounts:

• Several establishments: one patent per secondary establishment (generally same amount or reduction depending on case).
• Multiple activities: if you carry out several distinct activities in the same entity, the GDT may require a patent per activity (rare, to verify at registration).

How to pay the patent

1. Via the online GDT portal

At tax.gov.kh/en/e-service, e-Filing section:

1. Log in with your company TIN + password.
2. Access the Patent Tax section.
3. Verify your category (small / medium / large) and the pre-filled amount.
4. Generate the payment slip (notice with QR code).
5. Pay via ABA, ACLEDA, Canadia transfer or KHQR / Wing payment.

2. Via partner bank

The main banks (ABA, ACLEDA, Canadia, J Trust Royal) accept direct counter payment:

1. Present passport + company TIN + Certificate of Incorporation.
2. The bank queries the GDT and computes the patent due.
3. Payment in KHR or USD at the day’s rate.
4. Official receipt + patent certificate issued (or downloadable from tax.gov.kh within 3-7 days).

3. At a GDT office

Possible but inconvenient: long queues in March. Prefer online or bank routes.

Required documents

For the first payment (company creation):

• MoC Certificate of Incorporation (company number).
• Company TIN (tax number).
• Director’s passport.
• Head-office address (commercial lease).
• Projected categorisation (small / medium / large taxpayer) — generally set at initial registration.

For subsequent payments: just the company TIN + GDT slip.

The patent certificate

Once the patent is paid, you receive a patent certificate (patent tax certificate):

• Mandatory display in commercial premises (visible to the public).
• Required for:
  • Opening a company account at a KH bank (see the account opening guide).
  • Signing a commercial lease (the landlord often requires the certificate).
  • Submitting a commercial offer or responding to a tender.
  • Renewing a sectoral licence (tourism, F&B, transport, etc.).
  • Importing / exporting via customs (Cambodge Customs).

The certificate shows the validity date (from payment day to 31 December of the current year).

Late-payment penalties

Late-payment interest is about 2% per month on the amount due.

Link with other taxes

The patent is distinct but articulates with:

• Corporate income tax (TOI / Tax on Income): 20% of profit (or minimum 1% of turnover) — declared annually before 31 March.
• VAT: 10% on liable sales — declared monthly.
• Employee ToS — see the ToS guide.
• NSSF : from 8 employees.

All these obligations are managed via the online GDT portal under the same company TIN.

Common pitfalls

FAQ

Do I owe the patent if I have no turnover in the first year?

Yes. The patent is not a profit tax — it is due from MoC registration, even without turnover. It is a fixed right to carry out an activity.

Can I pay the patent with my personal ABA card?

For a company: no, payment must come from the corporate account or be identified with the company TIN. For a sole proprietor: yes, via your personal account linked to the sole proprietor TIN.

What happens if I miss 31 March by a few days?

10% penalty + interest. It is recoverable without drama if you pay in the following month. Beyond that, penalties worsen and the GDT may trigger an audit.

Is the patent deductible from corporate income tax?

Yes. The patent is a deductible expense of the tax result (account 6312 or CIFRS equivalent). Keep the receipt and certificate to justify the expense in case of audit.

How do I know if I am a small, medium or large taxpayer?

At initial registration, the GDT classifies you according to your declared projected turnover + your legal form. You can check your category in the GDT portal (Taxpayer Profile section). In case of disagreement, request reclassification via the dedicated form — accepted with solid actual turnover proof.

How much does a firm cost to handle my full company tax?

Count 50-200 USD / month for a small Co. Ltd. (1-2 employees, simple accounting) at a local firm: TOI, VAT, ToS, patent, NSSF, annual statements included. 300-1,000 USD / month at an international firm (DFDL, Acclime, KPMG, PwC) with audit + advisory + group reporting.