PHNOM PENH: Cambodia’s National Assembly on Thursday ratified an agreement between the country and China’s Macao Special Administrative Region (SAR) government for avoiding double taxation and preventing fiscal evasion concerning the taxes on income.

The pact was signed between the Southeast Asian country and the Macao SAR government in 2019.

Cambodian Minister of Economy and Finance Aun Pornmoniroth said the kingdom has also signed similar agreements with China, China’s Hong Kong Special Administrative Region (HKSAR), Singapore, Brunei, Thailand, Vietnam, Indonesia, Malaysia, South Korea and Turkey.

“The agreement will attract and facilitate international investment and trade as well as prevent fiscal evasion with respect to taxes on income,” he told the parliament.

Chheang Vun, chairman of the parliament’s committee on economy, finance, banking and audit, said the deal was vital to promoting bilateral investment and trade, capital flow, and sharing of technology and expertise.

“This is a legal instrument that will help attract foreign direct investment to Cambodia through tax incentives,” he said.

After a review by the senate, the pact will be submitted to Cambodian King Norodom Sihamoni for endorsement. (ANI/Xinhua)