A Vietnamese trade official in Cambodia last Saturday said a recent tax agreement between the countries will build more confidence among investors and business people in the Asean neighbours.
Cambodia and Vietnam reached an agreement on the avoidance of double taxation (ADT) and the prevention of fiscal evasion with respect to taxes on income at a sidelines meeting of the Greater Mekong Sub-region on Saturday in Hanoi.
It was witnessed by the prime ministers of both countries and is the fifth ADT that Cambodia has signed.
Tran Lam Tung, Vietnamese Embassy trade attache in Phnom Penh, said the double taxation treaty encouraged international trade and investment along with the free flow of technology.
It laid down the laws and parameters of how taxation was supposed to work. There was also increased transparency.
