• Burmese
Saturday, July 19, 2025
No Result
View All Result
NEWSLETTER
The Irrawaddy
28 °c
Yangon
  • Home
  • News
    • Burma
    • Politics
    • World
    • Asia
    • Myanmar’s Crisis & the World
    • Ethnic Issues
    • War Against the Junta
    • Junta Cronies
    • Conflicts In Numbers
    • Junta Watch
    • Fact Check
    • Investigation
    • Myanmar-China Watch
    • Obituaries
  • Politics
  • Business
  • Opinion
    • Commentary
    • Guest Column
    • Analysis
    • Editorial
    • Stories That Shaped Us
    • Letters
  • Junta Watch
  • Ethnic Issues
  • War Against the Junta
  • In Person
    • Interview
    • Profile
  • Books
  • Donation
  • Home
  • News
    • Burma
    • Politics
    • World
    • Asia
    • Myanmar’s Crisis & the World
    • Ethnic Issues
    • War Against the Junta
    • Junta Cronies
    • Conflicts In Numbers
    • Junta Watch
    • Fact Check
    • Investigation
    • Myanmar-China Watch
    • Obituaries
  • Politics
  • Business
  • Opinion
    • Commentary
    • Guest Column
    • Analysis
    • Editorial
    • Stories That Shaped Us
    • Letters
  • Junta Watch
  • Ethnic Issues
  • War Against the Junta
  • In Person
    • Interview
    • Profile
  • Books
  • Donation
No Result
View All Result
The Irrawaddy
No Result
View All Result
Home News Burma

Gem Traders Blame Smuggling on Tax Rate

Htet Naing Zaw by Htet Naing Zaw
August 4, 2017
in Burma
Reading Time: 2 mins read
0 0
A A
A jade and gems emporium in Naypyitaw. / Htet Naing Zaw / The Irrawaddy

A jade and gems emporium in Naypyitaw. / Htet Naing Zaw / The Irrawaddy

12.2k
VIEWS
Share on FacebookShare on Twitter

NAYPYITAW — The government is losing a large sum on gems and jewelry sales as gems traders smuggle them into China because of a steep trade tax, said U Myint Han, vice chairman of Myanmar Gems and Jewelry Entrepreneurs Association.

“[Gems and jewelry] merchants are smuggling not because they don’t want to pay tax, but because they can’t afford to pay,” said the vice-chairman at a press conference on the first Myanmar Gems and Jewelry Day in Naypyitaw on Thursday.

The tax in question—the Special Commodities Tax Law—was introduced in 2016 for the sales of natural commodities such as teak, hardwood, log, processed wood, jade and gems, as well as fuel, alcohol, beer, and cigarettes.

RelatedPosts

Chameleon Crony: How Myanmar’s ‘Baby’ Tycoon Thrived Across Four Eras

Chameleon Crony: How Myanmar’s ‘Baby’ Tycoon Thrived Across Four Eras

June 10, 2025
5.5k
Trump-Musk Alliance Melts Down in Blazing Public Row

Trump-Musk Alliance Melts Down in Blazing Public Row

June 6, 2025
525
ASEAN Corporate Giants Fueling Myanmar Junta’s War Crimes: JFM

ASEAN Corporate Giants Fueling Myanmar Junta’s War Crimes: JFM

May 26, 2025
2.4k

In 2015, the commercial tax rate was set at 15 percent for raw gemstones such as jade, rubies, sapphires, emeralds and diamonds for foreign trading, but increased to 20 percent under the Special Commodities Tax Law, plus a 5 percent trading tax, and 3 percent service charge by Myanmar Gems Enterprise, meaning the total tax was 28 percent of the price of sold items.

However, it has since been lowered to an overall 18 percent after traders’ protested.

“This tax rate is inconvenient for merchants. And it is also a loss for the country. In China, you can sell as much as you like for just 2 percent [tax],” said the vice-chairman.

Gems and jewelry sales at the jade and gems emporiums have fallen as a result, he said. The 51st emporium in 2014 garnered US$2.4 billion in sales, when the commercial tax was set at 10 percent.

The following year, in the 52nd emporium, sales dropped to $500 million after the tax was increased, and dropped again to $380 million at the 53rd emporium last year.

“I’m sure gems and jewelry can be had for good prices only at the emporium, but not in the outside market. They get the best prices at emporium compared to other places including China,” said U Min Thu, deputy director-general of Resources and Environmental Conservation Ministry.

The tax on gems and jewelry sales has been reduced from 20 percent to 15 percent and the trading tax has been spiked recently following a request from merchants earlier this year, but the service charge remains unchanged. The total tax is now 18 percent, but smuggling persists, gems and jewelry merchants said.

“Some still smuggle even though the tax has been reduced, but not big stones, just small ones. Smuggling has existed for a long time in successive periods, but there is more smuggling now,” a gems merchant told The Irrawaddy on the condition of anonymity.

Under the previous governments, gems and jewelry merchants had to show they had paid taxes once a year, but under the new government they must get tax clearances monthly, with harsh penalties for those who fail to do so.

Parliament is working to amend the Myanmar Gemstone Law for the third time, and jewelry merchants at the conference hoped that these amendments would help streamline tax procedures.

Translated from Burmese by Thet Ko Ko.

Your Thoughts …
Tags: BusinessGemsTax
Htet Naing Zaw

Htet Naing Zaw

The Irrawaddy

Similar Picks:

Post-Coup Myanmar is a Family Business: Min Aung Hlaing & Co
Burma

Post-Coup Myanmar is a Family Business: Min Aung Hlaing & Co

by David Aung
February 8, 2024
18k

Min Aung Hlaing is an opportunistic businessman in military uniform and his children are more mercenary than the offspring of...

Read moreDetails
KIA Seizes Myanmar Junta’s Last Remaining China Trade Route in Kachin State
War Against the Junta

KIA Seizes Myanmar Junta’s Last Remaining China Trade Route in Kachin State

by The Irrawaddy
June 14, 2024
17.1k

The military regime has also lost control of all border trade in neighboring northern Shan State.

Read moreDetails
Myanmar Junta Reportedly Set to Prosecute High-Profile Businessmen for Corruption
Junta Cronies

Myanmar Junta Reportedly Set to Prosecute High-Profile Businessmen for Corruption

by The Irrawaddy
October 18, 2023
15.9k

Regime cronies Thein Win Zaw and Mu Mu Shein are set to follow former lieutenant general Moe Myint Tun as...

Read moreDetails
Myanmar Junta’s ‘Brainless’ Response to Soaring Gold Prices Leaves Market in Disarray
Analysis

Myanmar Junta’s ‘Brainless’ Response to Soaring Gold Prices Leaves Market in Disarray

by Hein Htoo Zan
June 4, 2024
14.8k

Arrests, corruption, false receipts—the crisis in the gold and currency markets bears all the hallmarks of the junta’s inability to...

Read moreDetails
Junta Watch: Cash-Strapped Regime Milks Myanmar Expats With New ‘Passport Tax’; and More
Junta Watch

Junta Watch: Cash-Strapped Regime Milks Myanmar Expats With New ‘Passport Tax’; and More

by The Irrawaddy
December 16, 2023
14.4k

Also this week, the regime lashed back at East Timor’s leader, sent imprisoned deserters back into battle, and exploited wounded...

Read moreDetails
Myanmar’s Multibillion-Dollar Jade Trade ‘Crashing’ as China Clamps Down  
Business

Myanmar’s Multibillion-Dollar Jade Trade ‘Crashing’ as China Clamps Down  

by The Irrawaddy
June 5, 2024
14.3k

Crackdown on border scams and tax fraud is taking heavy toll on gems trade, say merchants.

Read moreDetails
Load More
Next Post
Data journalism trainer Yan Naung Oak. / Thet Htun Naing / The Irrawaddy

'You Need to Show the Numbers’

The confrontation in Outt Nan village. / State Counsellor Office Information Committee / Facebook

Violence Follows Confrontation Between Villagers, Police in Rakhine

No Result
View All Result

Recommended

What the ‘Snake Charmer’ Analogy Gets Wrong About Myanmar

What the ‘Snake Charmer’ Analogy Gets Wrong About Myanmar

4 days ago
1.4k
Chinese Investment Reshapes Myanmar’s N. Shan as MNDAA Consolidates Power

Chinese Investment Reshapes Myanmar’s N. Shan as MNDAA Consolidates Power

1 week ago
3.5k

Most Read

  • Myanmar Junta Airstrikes Protecting Irrawaddy Flotilla Kill 20

    Myanmar Junta Airstrikes Protecting Irrawaddy Flotilla Kill 20

    shares
    Share 0 Tweet 0
  • More Than 20,000 Displaced As Myanmar Junta Burns Homes Around World Heritage Site

    shares
    Share 0 Tweet 0
  • Myanmar Junta’s Recapture of Nawnghkio Shows Strategic Missteps by TNLA

    shares
    Share 0 Tweet 0
  • Myanmar Junta’s Power Transfer Looms, but Real Control to Remain With Regime Boss

    shares
    Share 0 Tweet 0
  • Indian Top Brass Visit Myanmar After Cross-Border Drone Attack

    shares
    Share 0 Tweet 0

Newsletter

Get The Irrawaddy’s latest news, analyses and opinion pieces on Myanmar in your inbox.

Subscribe here for daily updates.

Contents

  • News
  • Politics
  • War Against the Junta
  • Myanmar’s Crisis & the World
  • Conflicts In Numbers
  • Junta Crony
  • Ethnic Issues
  • Asia
  • World
  • Business
  • Economy
  • Election 2020
  • Elections in History
  • Cartoons
  • Features
  • Opinion
  • Editorial
  • Commentary
  • Guest Column
  • Analysis
  • Letters
  • In Person
  • Interview
  • Profile
  • Dateline
  • Specials
  • Myanmar Diary
  • Women & Gender
  • Places in History
  • On This Day
  • From the Archive
  • Myanmar & COVID-19
  • Intelligence
  • Myanmar-China Watch
  • Lifestyle
  • Travel
  • Food
  • Fashion & Design
  • Videos
  • Photos
  • Photo Essay
  • Donation

About The Irrawaddy

Founded in 1993 by a group of Myanmar journalists living in exile in Thailand, The Irrawaddy is a leading source of reliable news, information, and analysis on Burma/Myanmar and the Southeast Asian region. From its inception, The Irrawaddy has been an independent news media group, unaffiliated with any political party, organization or government. We believe that media must be free and independent and we strive to preserve press freedom.

  • Copyright
  • Code of Ethics
  • Privacy Policy
  • Team
  • About Us
  • Careers
  • Contact
  • Burmese

© 2023 Irrawaddy Publishing Group. All Rights Reserved

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • News
    • Burma
    • Politics
    • World
    • Asia
    • Myanmar’s Crisis & the World
    • Ethnic Issues
    • War Against the Junta
    • Junta Cronies
    • Conflicts In Numbers
    • Junta Watch
    • Fact Check
    • Investigation
    • Myanmar-China Watch
    • Obituaries
  • Politics
  • Opinion
    • Commentary
    • Guest Column
    • Analysis
    • Editorial
    • Stories That Shaped Us
    • Letters
  • Ethnic Issues
  • War Against the Junta
  • In Person
    • Interview
    • Profile
  • Business
    • Economy
    • Business Roundup
  • Books
  • Donation

© 2023 Irrawaddy Publishing Group. All Rights Reserved

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.