Below is an overview of the VAT (Value Added Tax) rates in Mongolia:
| Category | VAT Rate | Description |
|---|---|---|
| Standard Rate | 10% | Applies to most goods and services provided in Mongolia, including imports. |
| Zero-Rated Goods and Services | 0% | Applies to exports and certain goods/services such as international transportation and goods supplied to diplomatic missions. |
| Exempt Goods and Services | Exempt | Certain goods/services are VAT-exempt, including financial services, health services, education, and residential leasing. |
Additional Notes:
- Standard Rate (10%): This is the general VAT rate in Mongolia, applied to most goods and services, making it relatively moderate compared to global standards.
- Zero-Rated: Zero-rated items include exports and services related to international trade, which allows businesses to claim VAT credits on inputs while keeping the final price competitive.
- Exemptions: Certain sectors like healthcare, education, and financial services are exempt from VAT, meaning no VAT is charged, and businesses in these sectors cannot claim VAT credits on their inputs.
This summary provides a clear understanding of how VAT is structured and applied in Mongolia, reflecting its approach to taxation across different sectors.