Mongolia

Overview

Last reviewed - 30 December 2019

Mongolia, a landlocked country in Asia, is bordered by Russia to the north and China to the south, east, and west. It won its independence in 1921. Following the breakup of the socialist regime, Mongolia established a parliamentary democracy; and 20 years later, this remains one of just a few in Asia. Mongolia is divided into 21 provinces, with Ulaanbaatar as the capital. The official language of Mongolia is Mongolian, and the currency is the Mongolian tugrik (MNT).

Economic activity in Mongolia has traditionally been based on agriculture. Mongolia's extensive mineral deposits have attracted foreign investors in the booming years following 2010. The country holds copper, gold, coal, molybdenum, fluorspar, uranium, tin, and tungsten deposits. Due to a decline in commodity prices, Mongolia went through an economic slowdown between 2014 and 2016. However, starting from 2017, the economic situation improved, and expected gross domestic product (GDP) growth is 3.8% as per ‘Asian Development Outlook 2018’ by the Asian Development Bank.

Mongolia purchases 95% of its petroleum products and a substantial amount of electric power from Russia. Trade with China represents more than half of Mongolia's total external trade, and China receives about two-thirds of Mongolia's exports. Mongolia joined the World Trade Organization (WTO) in 1997 and seeks to expand its participation in regional economic and trade regimes.

PwC Mongolia supports clients in all sectors of the economy, including energy, financial services, consumer and industrial products, telecommunications, and services, with the local knowledge and skills of its people and with access to a broad range of other professionals across the PwC global network of firms.

Quick rates and dates

Corporate income tax (CIT) rates
Headline CIT rate (%)

25

Corporate income tax (CIT) due dates
CIT return due date

Quarterly return by the 20th day of the month following the end of each quarter and annual return by 10 February of the following year.

CIT final payment due date

Quarterly by the 20th day of the month following the end of each quarter and annually by 10 February of the following year.

CIT estimated payment due dates

Tax is paid in advance by the 25th day of each month.

Personal income tax (PIT) rates
Headline PIT rate (%)

Residents: 10;

Non-residents: 20

Personal income tax (PIT) due dates
PIT return due date

The tax agent (i.e. employer) filing: Quarterly return by the 20th day of the month following the end of each quarter and annual return by 15 February of the following year.

Individuals: Annual return by 15 February of the following year.

PIT final payment due date

The tax agent (i.e. employer) should transfer the tax withheld from a taxpayer’s income to the budget by the tenth day of the following month.

Individuals: Annual payment by 15 February of the following year.

PIT estimated payment due dates

The tax agent (i.e. employer) should transfer the tax withheld from a taxpayer’s income to the budget by the tenth day of the following month.

Value-added tax (VAT) rates
Standard VAT rate (%)

10

Withholding tax (WHT) rates
WHT rates (%) (Div/Int/Roy)

Resident: 10 / 10 / 10;

Non-resident: 20 / 20 / 20

Capital gains tax (CGT) rates
Corporate capital gains tax rate (%)

See Mongolia's corporate tax summary for capital gain rates.

Individual capital gains tax rate (%)

See Mongolia's individual tax summary for capital gain rates.

Net wealth/worth tax rates
Headline net wealth/worth tax rate (%)

NA

Inheritance and gift tax rates
Inheritance tax rate (%)

NA

Gift tax rate (%)

NA

NA stands for Not Applicable (i.e. the territory does not have the indicated tax or requirement)

NP stands for Not Provided (i.e. the information is not currently provided in this chart)

All information in this chart is up to date as of the 'Last reviewed' date on the corresponding territory Overview page. This chart has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this chart without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this chart, and, to the extent permitted by law, PwC does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this chart or for any decision based on it.