The Myanmar Internal Revenue Department (IRD) has confirmed that all tax payers including state-owned enterprises, co-operatives and private enterprises shall adopt the financial year 1 October – 30 September effective from 1 October 2019. This confirmation is in line with the provisions as set in the Union Taxation Law (UTL) 2018 and UTL 2018/2019. Previously the change of financial year only applied to state-owned enterprises and financial institutions governed by the Central Bank of Myanmar (CBM).
Following this change of financial year, as stated in the UTL 2018/2019, the Ministry of Planning and Finance will proceed to enforce the provisions of year, income year or the year of income received from sale proceeds or services as highlighted in the Specific Goods Tax Law, Commercial Tax Law and Income Tax Law to commence from 1st October 2019 for all tax payers.
The IRD has also confirmed a six month ‘transition’ period from 1 April 2019 – 30 September 2019 (“FY2019”). Refer to the table below for more information on Financial Year and also its corresponding Year of Assessment.
Should you need further clarification on how this change of financial year will affect you and your company, please contact our accounting, taxation and audit team who will be able to assist you.
