President of Mongolia Kh.Battulga has put a veto on the General Taxation Law, the Law on Corporate Income Tax, the Law on Personal Income Tax and accompanying adopted related legislation. The laws were adopted by parliament on 22 March 2019, and forwarded to the office of the president on 8 May 2019.
The personal income tax (PIT) rate on employment income has been reverted to 10% from the progressive tax rate system retroactively from 1 January 2018. The tax rate on Mongolian-sourced income (including fringe benefits, property income, dividends, business income, and interest income) for non-resident taxpayers remains at the newly introduced flat 20% tax rate.
Excise tax for tobacco products and alcoholic beverages is to increase by 10% in 2018, 5% in 2019, and 5% in 2020, respectively.