The 2016-17 ASEAN Tax Comparator

Introduction

Following the establishment of the ASEAN Economic Community, investment opportunities

within the Association of South East Asian Nations have never been greater. As reductions in

trade barriers have been implemented, the resulting equity in ASEAN’s trading environment

has placed increasing pressure on members to differentiate themselves from one another

through alternative means. Taxation, having been left out of regional integration accords, has

rapidly emerged as a centerpiece of many national competitiveness strategies. The resulting

drive to attract investment through adjustments in rates of taxation, in addition to creating a

stimulating environment for foreign investors, has also had the added effect of slowly bringing

regional taxation regimes into sync.

In this edition of ASEAN Briefing, we discuss the importance of taxation within ASEAN, while

highlighting the differences between individual member states on a variety of fronts. We

examine trends within regional taxation, compare rates of corporate, indirect, andwithholdings

taxation, and present an overview of the compliance environments found across the region.

Finally, we analyze ASEAN’s tax rates in the context of the time and documentation required to

achieve compliance, and showcase the role that residency definitions can play in determining

operational exposure to taxation.

As ASEAN continues its process towards full integration, those companies able to assess

taxation and implement investment strategies accordingly will be well positioned to take

advantage of the opportunities offered by the 10 nation bloc. With our specialized business

intelligence, tax and compliance, and market entry knowledge within ASEAN, Dezan Shira &

Associates is well positioned to assist companies in their efforts to survey their options within

eir operations to take advantage of Asia’s newest growth markets.

This Month’s Cover Art

Traan Luu Hau

Oil On Canvas , 80 x 90 CM

Green Palm Gallery

+84 97 762 7722

reenpalmgallery.com

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Reference

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to implement suggestions made within

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