VDB LoiUpdates & Analysis


Laos
11
Mar
2020
Coronavirus: What Employers Should Know
As the infectious coronavirus disease (“COVID-19”) continues to spread rapidly, with more than 100,000 positive cases confirmed by the World Health Organization (“WHO”), employers are facing a major challenge, particularly concerning health and safety risks in the workplace, travel restrictions, sick leave and benefit entitlements, and risk of workplace discrimination. Although there is no confirmed […]
3
Feb
2020
VDB Loi Laos Alert – Hot off the presses: The New Income Tax Law
The new Income Tax Law No. 67/NA dated 18 June 2019 (“New Income Tax Law”) has been promulgated by the President of the Lao PDR and was published on the Lao Official Gazette on 3 February 2020. It will come into force on 18 February 2020, i.e. 15 days from the date of its publication in […]
29
Jan
2020
Laos announced conditions for tax certificates
On 9 January 2020, the Ministry of Finance issued Notice No. 0031/CO (the “Notice”) to announce the necessary formalities for business entities to obtain their Tax Payment Certificates for the year 2019. Per the Notice, all business entities registered in the Lao PDR must submit their FY2019 financial statements along with the documents listed below […]
6
Aug
2019
Suspension of electricity and mineral investment project incorporations
On 10 July 2019, the Department of Investment Promotion of the Ministry of Planning and Investment (“DIP”) issued Notice No. 189 (the “Notice”) regarding the suspension of the incorporation of electricity and mineral investment projects. Per the Notice, the DIP has instituted a nationwide suspension of the acceptance of applications for investment projects involving the […]
9
Jul
2019
Enforcement against illegal foreign businesses in the Lao PDR
On 12 June 2019, the Division of Industry and Commerce, Vientiane (“DIC-Vte”) issued Instruction No. 0651 (the “Instruction”) regarding measures to be taken against the illegal operation of businesses by foreigners. The Instruction’s scope covers foreigners who operate unapproved businesses, defined as those who: Operate a business without an enterprise registration certificate (“ERC”) or business […]
9
Jul
2019
Client Alert: Immediate Enforcement of Capital Requirements for Foreign-invested Trading Companies
On 25 June 2019, The Ministry of Industry and Commerce issued Notice No. 0764/ERMD.IC (the “Notice”) instructing its provincial and Vientiane Capital divisions to inspect the company registration of foreign-invested wholesale and retail trading companies. The intention of the Notice is to ensure that all foreign-invested trading companies (both wholesale and retail) are in compliance […]
25
May
2017
VDB Loi Laos’ Alert – New VAT Instructions: Financial sector updates
On 11 January 2017, the Ministry of Finance released Instruction No. 0077/MOF on the Implementation of the Law on Value Added Tax (“the Instruction”) to clarify the rules on value added tax (“VAT”). The Instruction heralded in quite a few changes for the financial sector. Now, with four months of experience seeing it put into […]
1
Feb
2017
Instruction Implementing VAT LAW
On 11 January 2017, the Ministry of Finance issued Instruction No. 0077/MOF (“the Instruction”) to implement and further clarify the provisions under the Amended VAT Law No. 52/NA dated 23 July 2014. Below are the main points covered in the Instruction: VAT registration requirements for foreign contractors in Laos for 90 days and more The […]
9
Jan
2017
VDB Loi Laos Alert – Your 2016 Annual Profit Tax return: Are you ready?
Profit tax policy has changed in 2016 for many reasons, one of the main factors contributing to the change in orientation being the lack of tax resources. Thus, with the 2016 profit tax return filing deadline looming, it’s a good time for Lao companies to thoroughly review their tax risk areas and the effects of […]
25
Aug
2016
VDB Loi Laos Alert – Watch out for VAT applicability on banking activities
  The applicability of value added tax (“VAT”) on banking activities has shifted from a broad exemption regime under VAT Law No. 04/NA dated 26 December 2006 – “operations relating to banking services, financial institutions” – to a limited exemption scope under VAT Law No. 52/NA dated 23 July 2014 – “deposit interest, loan interest […]
Website Security Test