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Taxes on Taxis

Taxes have been applied to Taxis running in Yangon Region depending on the income and the traffic and drivers will pay tax at the Yangon City Development Committee’s Revenue Department. Except for the privately owned and public bus lines, tax is to be collected depending on the hail cab types.

The tax rates are 3% per 0.5 kilometres, 5% per one km and 8.5% per two km for CNG-powered taxi drivers. For gas-fuelled taxis, the tax rates are 2% per 0.5 km, 3.5% per one km and 6.5% per two km.

“I found a notification about taxation for taxis. I have no clue as to why tax is imposed on taxis. We are battered by rocketing oil prices and decreasing the number of passengers. Consequently, we are forced to raise taxi fares amid the tax burden. The taxi drivers are now struggling. This action adversely affects the passengers, taxi owners and drivers. The number of passengers is likely to drop accordingly,” said Kyaw Oo, a taxi driver.

The tax officials concerned will collect tax from the registered taxi drivers at the Yangon Region Private Transport Supervision Committee. Yet, those taxi drivers who do not own the ones are entitled to enjoy tax exemption. The owners will be charged instead. The tax will be effective from April 11.

The private-run hailing service owners can directly pay the tax by transferring them to the Revenue Department’s banking account MD 001473 at the Myanma Economic Bank Branch 5.