How income tax works in Cambodia
Cambodia income tax for employees is called Tax on Salary. Resident individuals are taxed on worldwide salary through monthly payroll withholding, while non-residents are taxed at 20% on Cambodia-source salary. Cambodia does not generally require ordinary employees to file an annual personal income tax return.
Residence is based on domicile, principal place of abode or presence in Cambodia for more than 182 days in the tax year. Employers withhold and pay Tax on Salary within 20 days after the month salary is paid, and must also handle 20% fringe benefits tax and applicable NSSF contributions.
Income tax brackets in Cambodia
| Bracket | Rate | Notes |
|---|---|---|
| KHR 0 - 1,500,000 per month | 0% | Resident monthly salary bracket. |
| KHR 1,500,001 - 2,000,000 per month | 5% | Resident monthly salary bracket. |
| KHR 2,000,001 - 8,500,000 per month | 10% | Resident monthly salary bracket. |
| KHR 8,500,001 - 12,500,000 per month | 15% | Resident monthly salary bracket. |
| Over KHR 12,500,000 per month | 20% | Top resident monthly salary bracket. |
| Non-resident Cambodia-source salary | 20% | Flat final Tax on Salary. |
Tax rates at a glance
- Resident Tax on Salary
- 0% - 20%Progressive
- Non-resident Tax on Salary
- 20%
- Fringe benefits tax
- 20%
- Personal annual return
- No
- VAT
- 10%
- NSSF pension
- 2% / 2%
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
Local employeesCambodia employersASEAN operatorsRemote teamsExpat workers
Watch out for
- Cambodia has no broad personal income tax return for ordinary employees, but monthly payroll withholding is mandatory.
- Consulting, freelance or business income may fall under tax on income rules rather than salary tax, especially where the person is not truly an employee.
- NSSF costs can include occupational risk, healthcare and pension contributions. The pension scheme currently splits the first-stage 4% rate between employer and employee.
Frequently asked questions
Does Cambodia have personal income tax?
Cambodia does not have a broad personal income tax system in the usual annual-return sense. It taxes employment income through monthly Tax on Salary.
What is the Cambodia income tax rate for expats?
Resident expats pay progressive Tax on Salary from 0% to 20%. Non-resident expats pay a flat 20% tax on Cambodia-source salary.
Are fringe benefits taxed in Cambodia?
Yes. Fringe benefits are taxed at 20%, generally through employer withholding and reporting.