A stamp-duty amendment and government lottery bills that would open the e-lottery business to all were submitted to Pyidaungsu Hluttaw on July 14.
The government lottery has been operating since 1938 under orders and instructions without a proper law, thus a government lottery bill had to be drafted and submitted, Minister for Planning and Finance U Kyaw Win said.
“The bill aims to impose a tax in accordance with law and to introduce an e-lottery,” he said, adding that people can try their luck with the numbers they wish for the amount they wish in the e-lottery, which is expected to expand the lottery market and increase tax revenue.
The lottery is one of the country’s largest tax revenue earners among 21 taxes and is expected to earn more than K47.356 billion in fiscal 2017-2018. It earned more than K30 billion in fiscal 2016-2017.
The e-lottery is expected to increase tax revenue, said U Khin Cho, the MP for Hlaingbwe, Kayin State.
According to the bill, the e-lottery will allow local and foreign partners to participate.
It states that “the Ministry may, with the approval of the Government, cooperate for mutual benefit with domestic and foreign companies or partnerships or individuals in accordance with existing laws.”
The stamp-duty amendment was submitted with an aim to avoid tax losses due to repeal of the Yangon City Development Committee law and Mandalay City Development Committee law, U Kyaw Win said.
Previously, a 2 percent stamp duty was collected for sales contract of immovable assets under the YCDC and MCDC laws. Since those two laws were repealed, the stamp duty law will have to be amended to be able to collect the tax.
The amendment also reduces some tax rates. “To reduce the burden of stamp duties, some rates are decreased in the bill,” he said.
Revised stipulations include reduction of 10-time fine to 3-time fine for undervalued contracts, 1.5pc for bail bonds to 0.5pc, 3pc for conveyance to 2pc, K600 for lease contracts to K300, and 0.3pc for transfer deed to 0.1pc.
The stamp duty is expected to bring in K47.689 billion this year, according to authorities.
“Some parts of the appendix of the existing Stamp Duty Act were revised so that all can readily pay,” Joint Bill Committee member U Nay Myo Tun said.
Translation by Zaw Nyunt
Courtesy of Myanmar Times