As of 2020 Papua New Guinea is in the process of significant tax reform following recent amendments to the country’s tax code. Among the most recent changes are those related to the taxation of extractive industries, while proposed reforms include the introduction of a capital gains tax and the rewriting of the Income Tax Act. National Budget The 2020 budget was the first to be issued by…
Viewpoint: Jonathan Seeto Although it is difficult to believe that anything good could come from a global pandemic, the current crisis and Papua New Guinea’s capacity to respond has acted as a wake-up call for the country to identify its priorities for the future. PNG has promising development prospects and an opportunity to dramatically improve social outcomes, but we may need to make fundamental…
The government of Papua New Guinea faces some challenges in 2020, with the electorate calling for improvements to social and economic infrastructure, and greater efforts to combat both real and perceived corruption. Despite these difficulties, PNG’s resource wealth and strategic location between the industrial centres of north-east Asia, the rising economies of the Association of South-east Asia
Papua New Guinea is in the process of significant changes following recent amendments to the tax code, which include new rules for the taxation of extractive industries, while proposed reforms include the introduction of a capital gains tax and the rewriting of the Income Tax Act. The 2020 budget is focused mainly on reforming the revenue administration system. It also includes a limited number of…
As of 2019 Papua New Guinea is in the second year of its Medium-Term Revenue Strategy 2018-22 (MTRS). The 2019 budget and tax changes are formed by the MTRS and aligned with its intent. The MTRS is, in turn, guided by the Alotau Accord II and the government’s 100-Day Plan. National Budget The 2019 budget introduced a number of new revenue measures that support the government’s efforts towards…
Viewpoint:Jonathan Seeto In 2018 the local business community was waiting with anticipation for a jump-start to the economy of Papua New Guinea. A handful of significant events were expected to turn a new page: the country was gearing up for a meeting of the leaders of APEC countries, a liquefied natural gas project was being finalised and new mining developments were at hand. These tangible…
This chapter examines the tax system of Papua New Guinea, focusing on those budget and tax changes guided by the Medium-Term Revenue Strategy 2018-22, including: new revenue measures under the 2019 National Budget; the Companies Act Requirement; the Investment Promotion Act; the rules on corporate taxation; withholding tax; non-resident insurers tax; overseas shippers tax; and tax credits, incentives…
Papua New Guinea has seen a mixed performance over the last 12 months, with the extractive industries recovering from the impact of the 2018 earthquake, while political uncertainty contributed to fluctuating investor confidence. It remains to be seen to what extent Prime Minister James Marape and his recently reshuffled government will enact far-reaching reforms to laws and regulations governing t
This chapter examines Papua New Guinea’s tax regime, focusing on corporate income tax, the introduction of capital gains tax as part of a five-year plan, double taxation agreements with other countries and other key subject areas. It also contains a viewpoint from Jonathan Seeto, Territory Senior Partner, PwC.…
The 2018 national budget is the country’s first in the new Medium-Term Revenue Strategy (MTRS) that runs from 2018 through to 2022. Budget and tax changes are created to align with the MTRS, which in turn is guided by the government’s 100-day plan and the Alotau Accord II that was signed in August 2017 by Prime Minister Peter O’Neill and eight coalition partners. 2018 Natioal Budget When…
