- Introduction of E-Invoicing: Cambodia is testing an e-invoicing system aiming to make it mandatory for businesses to use electronic invoices starting next year. Initially focused on B2G (Business-to-Government) transactions, it will later expand to B2B (Business-to-Business) and eventually B2C (Business-to-Consumer) transactions.
- Benefits: This system improves transparency and accountability by creating a clear electronic record of transactions. It eliminates the need for paper invoices and helps with budgeting and tax compliance.
- Implementation Timeline:
- B2G is currently being trialed.
- B2B is expected to become mandatory next year or within the next three years.
- B2C will follow later.
- Challenges: Implementation may require new legislation to establish a legal framework. Rapid digitalization is outpacing the development of relevant laws in Cambodia.
- Global Context: E-invoicing is already widespread in Europe, where B2G has been mandatory since 2019, and B2B will be compulsory by 2026.