Foreign Investment Law of MyanmarWord文档格式.docx

1、The Union of Myanmar Foreign Investment LawThe State Law and Order Restoration Council LawNo. 10/88The 7th waning day of Tazaungmon, I350 B.E.（30th November, I988）The State Law and Order Restoration Council hereby enacts the following Law:-CHAPTER ITitle and DefinitionI. This Law shall be called the

2、 Union of Myanmar Foreign Investment Law.2. The following expressions contained in this Law shall have the meanings given hereunder:-（a） Commission means the Union of Myanmar Foreign Investment Commission;（b） Government means the Government of the Union of Myanmar;（c） Citizen includes an associate c

3、itizen or a naturalized citizen. The said expression also includes an economic organization formed with local investment only;（d） Foreigner means a person who is not a citizen. The said expression also includes an economic organization formed with foreign investment only;（e） Promoter means any citiz

4、en or any foreigner submitting an investment proposal to the Commission;（f） Proposal means the prescribed application submitted by a promoter to the Commission for approval of an intended investment and the accompanying draft contract;（g） Permit means the order in which the approval of the Commissio

5、n of a proposal is expressed;（h） Foreign Capital includes the following which are invested in an economic enterprise by any foreigner under a permit:-foreign currency;-property actually required for the enterprise and which is not available within the State such as machinery equipment, machinery com

6、ponents, spare parts and instruments;-rights which can be evaluated such as licences, trade marks and patent rights;-technical know-how;-re-investment out of benefits accrued to the enterprise from the above or out of share of profits;（i） Investor means a person or an economic organization making an

7、 investment under a permit;（j） Bank means any bank of the State.CHAPTER IIApplicable Economic Activities3. This Law applies to economic activities prescribed by the Commission from time to time with the prior approval of the Government.CHAPTER IIIBasic Principles4. Foreign investments shall be made

8、in accordance with the following basic principles:（a） promotion and expansion of exports;（b） exploitation of natural resources which require heavy investment;（c） acquisition of high technology;（d） supporting and assisting production and services involving large capital;（e） opening up of more employm

9、ent opportunities;（f） development of works which would save energy consumption;（g） regional development.CHAPTER IVForm of Organization5. Foreign investment may be made in any of the following forms:（a） investment made by a foreigner to the extent of one hundred per cent foreign capital;（b） joint-ven

10、ture made between a foreigner and a citizen.6. （a） In forming under section 5:（i） a sole proprietorship, a partnership and a limited company may be formed;（ii） if a joint-venture is formed the foreign capital shall be at least 35 per cent of the total capital.（b） In forming as mentioned above, in ca

11、rrying out the business and in liquidation on the termination of business, other existing laws of the State shall be complied with.CHAPTER VFormation of the Commission7. The Government shall form the Commission.CHAPTER VIDuties and Powers of the Commission8. The Commission may accept any proposal wh

12、ich in its opinion will promote the interests of the State and which is without prejudice to any existing law.9. The Commission shall in scrutinizing a proposal take into consideration facts such as financial credibility, economic justification of the business enterprise and appropriateness of techn

13、ology.10. The Commission shall issue a permit to a promoter on a proposal being accepted.11. In case an extension, relaxation or amendment of the term of the permit or the agreement is submitted by those concerned, the Commission may show thereof as it may deem appropriate.12. The Commission shall t

14、ake necessary and prompt action in respect of complaints made by investors on failure to receive fully, benefits entitled to under this Law.13. The Commission may, at any time require a promoter or an investor to furnish such evidence or facts as the Commission may deem necessary.14. The Commission

15、may, for the purpose of carrying out the provisions of this Law form such committees and bodies as may be necessary.15. The Commission may prescribe the bank which shall transact financial matters under this Law.16. The Commission shall, from time to time report its performance to the Government. It

16、 shall also recommend to the Government measures necessary to facilitate and promote foreign investments.CHAPTER VIIContracts17. In forming an economic enterprise under a permit, contracts shall be executed as may be necessary.18. The Commission may, upon application by those concerned allow the ext

17、ension, relaxation or amendment of the term of a contract or agreement as may be appropriate.CHAPTER VIIIInsuranceI9. All economic organization formed under a permit shall effect insurance with the Myanma Insurance Corporation in respect of the prescribed types of insurance.CHAPTER IXAppointment of

18、Personnel20. In appointing personnel in an economic organization formed under a permit, preference shall be given to citizens, provided that the Commission may, if necessary, allow the appointment of experts and technicians from abroad.CHAPTER XExemptions and Reliefs2I. The Commission shall, for the

19、 purpose of promoting foreign investments within the State, grant the investor exemption or relief from taxes mentioned in sub-section （a） out of the following exemptions or reliefs from taxes. In addition the Commission may grant any or more than one or all of the remaining exemptions or reliefs fr

20、om taxes:（a） in respect of any enterprise for the production of goods or services, exemption from income-tax for a period extending to 3 consecutive years, inclusive of the year of commencement of production of goods or services; in case where it is beneficial for the State, exemption or relief from

21、 income tax for a further reasonable period depending upon the success of the enterprise in which investment is made; （b） exemption or relief from income-tax on profits of the business if they are maintained in a reserve fund and re-invested therein within 1 year after the reserve is made; （c） right

22、 to accelerate depreciation in respect of machinery, equipment, building or other capital assets used in the business, at the rate fixed by the Commission to the extent of the original value for the purpose of income-tax assessment; （d） if the goods produced by any enterprise are exported, relief fr

23、om income-tax up to 50 percent on the profits accrued from the said export; （e） right of an investor to pay income-tax payable to the State on behalf of foreigners who have come from abroad and are employed in the enterprise and the right to deduct such payment from the assessable income; （f） right

24、to pay income-tax on the income of the above-mentioned foreigners at the rates applicable to the citizens residing within the country; （g） right to deduct from the assessable income, such expenses incurred in respect of research and development relating to the enterprise which are actually required

25、and are carried out within the State; （h） right to carry forward and set-off up to 3 consecutive years from the year the loss is sustained in respect of such loss sustained within 2 years immediately following the enjoyment of exemption or relief from income tax as contained in sub-section （a）, for each individual enterprise; （i） exemption or relief from customs duty or other internal taxes or both on machinery, eq