Calculation income tax &commercial tax on earnings from leasing land, building and apartment –

  • 5 per cent of the Commercial tax shall be levied from the total rental income received from leasing land, building and apartment exceed 500 lakhs of kyats within a financial year.(Section 14, Sub-section (c) of the Union Taxation Law 2018-2019)
  • 10 per cent of the income tax on total rental income, the remaining income shall be levied on the tax rate separately, after setting off the reliefs under section 6 of Income Tax Law.(It can be estimated &calculated in Tax Calculator link)
  • On the lease contract of leasing land, building and apartment, the stamp duty must be levied as follows;

           (No. 35 of Myanmar Stamp Act, schedule 1)

           - If the rental period is not more than one year;(0.5 %of the rental income)

           - If the rental period is not more than three years;(0.5 % of the average rental income)

           - If the rental period is more than three years;(2 % of the average rental income)

           - If the rental period is long term;(2 % of the average annual rent which would be paid for the first ten years)

           -  If  the rental period is permanent; (2 %  on one- fifth of rent which would be paid for the first fifty years)

           - The lessee must pay the stamp duty.