EU-funded projects now exempt from customs duties, taxesPolitics
Ulaanbaatar /MONTSAME/. During its plenary session of October 29, State Great Khural – the parliament of Mongolia ratified general agreement between the Government of Mongolia and European Union on taxation and customs regulations applicable for European Development Fund and European Union-funded projects in Mongolia.
A Financing Agreement for the European Union Budget Support programme with a grant of EUR 50.8 million was established, building upon the achievements of past and ongoing EU projects in the two sectors within the 2014-2020 multi-annual indicative programme.
This first budget support programme of EU in Mongolia will support the government in implementing reforms, notably its employment policy and its public finance management sectors, including tax reforms.
In the scope of the programme, the Government of Mongolia and European Union have developed the Mongolia-EU general agreement on taxation and customs regulations applicable for European Development Fund and European Union-funded projects in Mongolia.
The general agreement provides exemptions from customs duties, value-added taxes and other relevant taxes levied on projects to be implemented in Mongolia with funding from the European Union.