The new company law in the beginning of 2018 myanmar insider. The mcl was drafted by the department of investment and company administration dica of the ministry of national planning and economic development with the assistance of the asian development bank. The new law is set to be implemented by august 2018. Companies law english and burmese version from dica pdf 1. Although the workers were paid until august, they were not compensated for being laid off, which is. The myanmar companies law 2017 commences on 1 august.
Under myanmar income tax law, interest are subject to tax. In preparation of the new law and the establishment of the myanmar companies online electronic. In 2018, myanmar ranked on par with india and just below the regional average on the scale of ease of starting a business in the country. Myanmar is a nation of small farmers insider interview february, 2020. In 2016, the government of myanmar passed the myanmar investment law to incentivize both foreign and domestic investment in the country. The new myanmar companies law2017 comes into effect from wednesday, enabling a companys registration process to be done electronically now. Myanmar companies law to come into effect on 1 august 2018. The new law effective from 1 april 2018 provides welcome clarity on the financial year for 20182019, and the tax rates and exemptions applicable to certain goods and services in myanmar. Implementation of the companies law will be postponed until august 2018.
Myanmar investment law unofficial translation in traditional chinese version myanmar investment law unofficial translation in japanese myanmar investment law unofficial translation in korean myanmar companies law. In mldb, myanmar laws which are categorized according to year of issue and area of laws are available. Myanmar company act directorate of investment and company. Myanmar does not have a biosafety law nor approval mechanisms in place. This publication does not necessarily reflect the views or policies of the united. Promote greater access to justice, individual rights and adherence to the rule of law 12 strategy 1. Myanmar has myriad sectoral, ministerial and subnational plans. This alert summarizes the changes which will impact businesses in myanmar. Laws and rules directorate of investment and company. The competition law the pyidaungsu hluttaw law no9, 2015 the 7th waxing day of taboung, 76 m.
Enhance good governance, institutional performance and improve the efficiency of. Myanmar employment law is governed by both old and new laws and regulations, as well as internal policies and practices of the department of labour of the ministry of labour, immigra tion and population ministry of labour. E 24 february, 2015 the pyidaungsu hluttaw hereby enacts this law. Members of the scm legal team drafted this law and have been assisting with its implementation. Funding for this ilo publication was provided by the united states department of labor project mmr10usa. Part i commencement and definitions division 1 name, commencement and definitions 1. In preparation of the new law and the establishment of the myanmar companies online electronic registry system myco, the company affairs divi. In this newsletter, we have outlined certain key developments in this new law. The myanmar sustainable development plan msdp is the expression of our national development vision a vision that finds resonance in the global sustainable development agenda. On 6th december 2017, the myanmar companies law 2017 mcl was passed to replace the myanmar companies act 1914 mca in order to modernize the current legal structures of companies and enhance foreign investment in myanmar. Myanmar companies law english and burmese version from dica pdf 1.
This update to the most important investmentrelated legislation helps establish the coherent legal framework for both domestic and foreign investors. This guide to law online burma contains a selection of burmese legal, juridical, and governmental sources accessible through the internet. On 21 june 2018, the presidents office published notification 482018, according to which the companies law 2017 will come into force on 1 august 2018. Citation and commencement of this law and definitions a this law shall be called the myanmar companies law.
The new myanmar companies law 2017 comes into effect from wednesday, enabling a company s registration process to be done electronically now. General information on myanmar special economic zones i the quantity of sezs the development of special economic zones sez in myanmar is governed by the myanmar special economic zone law of 2014. According to that law 1940 companies act, shares cannot be sold to foreigners. Myanmars investment outlook for 2018 asean business news. The myanmar companies law 2017 companies law is in force as of 1 august 2018. Although the 2016 law does not contain a commencement date, we have learnt from sources at the directorate of investment and company administration that it will come into force on april 1, 2017. The details of implementation will be further announced under new notifications, and expected to be in force in mid 2018. Foreigners are able to own 35% of a myanmar company. Stateowned enterprises shall follow the new financial year, 1 october to. Myanmar companies law 2017, pyidaungsuhluttaw law no.
However, please note that cit rate for companies listed on the yangon stock. Myanmars new companies law, which was enacted by the union parliament on 6 december 2017, will commence on 1 august 2018. In addition, the government revised myanmars investment law that serves to bring the countrys investment law under one regulatory roof by combining the myanmar citizen investment law and the myanmar foreign investment law. Search and access details of companies all over myanmar. Genuine development will only come to myanmar if, and only if, all. Guide to the myanmar company law berwin leighton paisner.
Overseas corporation overseas corporation means a company incorporated outside myanmar. The law was intended to replace the existing 1922 city of rangoon municipal act and to supplement the 20 ycdc law. Registration of deeds law 2018 pdf 263 kb see the document registration of deeds law 2018 on full screen. It will be one of the key pieces of legislation providing the foundations for an attractive. Bt cotton was approved under the seed law, although. Designed to modernise and internationalise the company related legal framework of myanmar, the new corporate law was drafted with the technical aid provided by the asian development bank adb, aiming to uplift domestic and foreign investments, develop the capital market of the country and improve the private sector. Myanmar engineering council rules english version myanmar engineering council rules english version. Fiscal year under the union taxation law 2018, the new financial year for 2018 is as follows. The companies law brings about sweeping changes to the regulation of companies in myanmar. The president of the union of myanmar signed the myanmar companies law the new law on 6 december 2017. Dica anticipates it will take approximately seven months to implement. On 5 january 2017, the new myanmar companies law mcl was approved by the myanmar government.
Under the income tax law itl, if a company sustains a loss, it can be utilized. The ilo guide to myanmar labour law is funded by european union, norway, switzerland, united states department of labor project mmr10usa and the ilo. Ma hla hla win, who has been working and living in yangon for the past 10 years, said she was sacked with 45 other workers in july 2018 without sufficient compensation. Currently, myanmar has myriad sectoral, ministerial and subnational plans. Under myanmar income tax law, dividends received are not subject to income tax. Under the union taxation law 2018, 86 types of goods are exempted from commercial tax. Jan 31, 2018 the myanmar chapter of global guide 2018. A company registered under the myanmar companies law 2017 companies law can be used to conduct business in myanmar. New myanmar companies law, corporate support services pwc. Our myanmar company registration number is 66009 old co reg number was 25 fc202014 before 782018.
The details of implementation will be further announced under new notifications, and expected to be in force in mid2018. December, 2019 myanmar tax administration law 2019 burmese taxation october 28, 2019 what is erp. Simply use the company name or registration number in. New myanmar companies law enacted on 6 december 2017, president u htin kyaw gave presidential assent to the myanmar companies bill approved by the myanmar parliament, ushering this highly anticipated legislation into law in myanmar. The myanmar companies act is an urgently needed legislation to improve business, he told the myanmar times.
The myanmar government enacted the union taxation law 20181 and it came into force on 1 april 2018. The new myanmar companies law 19 th december, 2017. Home law library laws and regulations laws myanmar laws 1988until now national league for democracy 2016 law library myanmar laws 2018 summary. Using myco you can register your company and find information on all companies that are registered in myanmar.
It is a significant step forward for corporate governance and embraces modern company law principles, enhancing myanmars legal framework for investors, said cheah swee ghim, partner at local law firm kelvin chia partnership. In late november 2017, the myanmar parliament approved the new myanmar companies law. In 20 the department of investment and company administration dica of the ministry of national planning and economic development with the assistance of the asian development bank started to draft the myanmar company law mcl. This was replaced by the myanmar investment law in 2016 so as to combine the regulation of both foreign and domestic investments under one set of laws. A guide to the myanmar companies law 2017 download pdf share via email share via linkedin join our mailing. Myanmar labour laws leave workers with raw deal in. Myanmar launches new companies law to adapt to current age. Myanmars score on the fragile state index and its political indicators, 20082017. The bill amending the 20 ycdc law was put forward to the regional parliament on feb.
In 2017, the century old companies law was substantially revised. Company registration according to the enactment of myanmar company law 2017 dated on 6. With the new law, it can be done, u maung maung thein, former deputy minister for planning and finance who founded the ysx, said. The 2018 union tax law 2018 utl was signed into law by u win myint, the new president of the republic of the union of myanmar, on 30 march 2018. This new law is intended to be consistent with international best practice and replace the old myanmar companies act of. Myanmar sustainable development plan 2018 2030 august 2018. Dica also serves as a secretary to the myanmar investment commission mic, which is the responsible body for investment applications under the myanmar investment law. Subscription subscribe to kpmg insights footer subscription subscription. Residency a foreign individual is considered a resident foreigner for tax purposes. Changes additions to the list from the union taxation law 2017 are italicized below. There are no significant developments to convey since the previous report from january 2018. The new companies law 2017 allows, as the reader will by now already know, up to 35% foreign shareholding in any company with myanmar national. Myanmar companies law english and burmese version from dica. Under this law, a special economic zone is defined as the zone notified and established by the.
Myanmar union taxation law 2018 and its implications for business. We are a legally registered service company here in myanmar and the leading business consultancy. Draft myanmar companies law unofficial translation. The directorate of investment and company administration dica is the registrar of companies in myanmar and is the government agency responsible for registering. Currently, myanmar does not have biosafety legislation. Myanmar companies law directorate of investment and company. This commencement date was announced by the directorate of investment and company administration dica in a press statement issued on 14 december 2017. Updated october 31, 2016 this revised alert supplements the version previously circulated on october 27, 2016. Under myanmar income tax law, dividends received are not. All companies are set to reregister within six months from august as the law comes into effect and the reregistration process is to be completed through the myanmar companies online myco system.
Mlmb covers every law included in burma code, in addition to every myanmar law enacted since 1948 when myanmar became independent. General information on myanmar special economic zones. Consultmyanmar company limited is a yangonbased singaporeowned company. Searching for companies in myco is simple and free. Myanmar both myanmar nationals and foreigners are taxed on their worldwide income at progressive rates after deducting the prescribed allowances and reliefs. Kayah state, its capital loi kaw is situated in eastern myanmar,known as myanmars smallest has come with rising economic opportunities in. A guide to the myanmar company law in late november 2017, the myanmar parliament approved the new myanmar companies law the new companies law which is now awaiting the presidents signature to become law. Oct 27, 2016 updated october 31, 2016 this revised alert supplements the version previously circulated on october 27, 2016. Links provide access to primary documents, legal commentary, and general government information about specific jurisdictions and topics. The myanmar stock price index tumbled 23 points, or around 4. Under section 14 a, chapter 6 of the union taxation law 2018, the following types of goods are no longer exempted from commercial tax. The new myanmar companies act takes effect from 1 august 2018. Introduction the myanmar investment law 2016 law, which.
The new companies law contains provisions from the companies act 1914 and the company regulations 1957 partly rewordedrewritten. Company registration thilawa special economic zone updated on 14th august 2018 i1 i. Find out how kpmgs expertise can help you and your company. The new myanmar investment law mil took effect in 2017 to combine the old citizens investment law and the myanmar investment law. Employers may hire a larger percentage of foreign employees for technological and managerial work with the approval of the sezs management committee 6 august 2018. More than 77 businessrelated laws and 149 regulations are translated in english. Contains provisions from the companies act 1914 and the. Myanmar companies online myco under the directorate of investment and company administration dica agency the myanmar companies law 2017 mcl was approved by the president on 6 december 2017 and came into force on 1 august 2018, together with the companies regulations and various. Directorate of investment and company administration.
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