Ulaanbaatar
Draft Law on Amendments to the General Law on Taxation to Be Submitted to Parliament
Politics
Ulaanbaatar, June 5, 2025 /MONTSAME/. During its regular session on June 4, 2025, the Cabinet of Mongolia discussed the draft Law on Amendments to the General Law on Taxation and decided to submit it to the State Great Khural (Parliament) of Mongolia.
One of the main goals of the advisory services is
to prevent taxpayers from risks and support their voluntary compliance with tax
legislation. In this context, in situations where taxpayer compliance decreases
or tax risks are assessed negatively, taxpayers are notified about potential
issues in advance, allowing them to address and correct errors. It will prevent
tax violations, ensure the stability of the tax environment, and allow
taxpayers to conduct responsible and transparent activities.
In addition, the tax authorities will extend
the period for correcting tax returns, rather than issuing an act after the
taxpayer makes a mistake. Accordingly, it will play a crucial role in trusting taxpayers and conducting tax collection and inspection more effectively, less
burdensome for taxpayers, and more risk-based.
The draft Law eliminates the regulation that
completely closes the bank accounts of taxpayers whose financial situation has
worsened and who have fallen into tax debt, and includes a regulation that
freezes a certain part of the account. This action will have an important impact
on ensuring that taxpayers manage to pay their debts without disrupting their
normal business operations.
