Lao government considers tax to protect environment

Published onMarch 19, 2020

Industries that produce pollution may have to pay more taxes now that the Lao government has embraced the National Green Growth Strategy. Under the strategy, which Prime Minister Thongloun Sisoulith endorsed on Jan 30, the Ministry of Finance will impose taxes to discourage industries from producing pollution and harmful waste. At present, industries pay corporate tax, which is calculated at 24 per cent of a company’s profit, as well as excise, value-added, and income tax. Tax officials cannot yet say what form this new tax would take. But what is clear to the media is that such a tax would be imposed to deter companies from producing pollution. In some countries, governments impose a carbon tax, which is levied on companies that release greenhouse gases into the atmosphere…In addition to the environmental protection tax, the finance ministry may also impose taxes in support of energy saving, efficient use of natural resources, and fairer distribution of wealth, in support of the new strategy.

Source: https://www.thestar.com.my/news/regional/2020/03/12/lao-government-considers-tax-to-protect-environment