25% top rate under a progressive scale, confirmed directly via PwC: 1% for entities with annual revenue up to MNT 300 million (except mining, petroleum, alcoholic beverage, and tobacco industries, which do not qualify for this lowest band); 10% on the first MNT 6 billion of annual taxable income; and for taxable income exceeding MNT 6 billion, tax is MNT 600 million plus 25% of the amount over MNT 6 billion. Mongolian resident entities are taxed on worldwide income; non-resident entities are taxed on Mongolia-source income only.
Confirmed via TaxAtlas: an individual present in Mongolia for 183 days or more in a tax year is a resident, taxed on worldwide income at rates up to 20%.
10% standard rate on the supply of goods and services, confirmed via TaxAtlas. Exempt supplies include education, healthcare, financial services, and residential property sales; exports are zero-rated.
An individual is a tax resident if present in Mongolia for 183 days or more in a tax year, confirmed via TaxAtlas. Mongolian resident entities are taxable on aggregate annual worldwide income; non-resident entities conducting business activities in Mongolia are taxed on Mongolia-territory and Mongolia-source income only, confirmed directly via PwC.
RESOLVED APPARENT CONFLICT: older KPMG country tax profiles (2015 and 2018 editions) state plainly "Mongolia does not have CFC rules" - but a materially more recent source (Moore Global, 2025) confirms CFC rules were specifically introduced in 2020, meaning the older KPMG profiles were accurate at the time of publication but are now outdated rather than genuinely conflicting. Under the current rules, confirmed via Moore Global: a CFC is a foreign entity in which a related party (a Mongolian tax resident entity, or an individual permanently residing in Mongolia) holds 50% or more of total shares or voting rights, directly or through one or more entities in a chain, during any part of the current tax year. A CFC is treated as a resident taxpayer for Mongolian tax purposes. An exception applies to a CFC established specifically for IPO purposes.
Confirmed via Moore Global with specific mechanics: a thin capitalization rule applies to direct shareholder loans, under which interest paid in excess of a 3:1 debt-to-equity ratio is non-deductible and is instead treated as a dividend. This is applied on an investor-by-investor basis rather than to the company as a whole, so no restriction applies to interest not paid to an investor specifically. Separately, deductible interest expense on related-party loans is further limited to 30% of EBITDA. Where an individual permanently residing in Mongolia controls a taxpayer entity, no deduction at all is allowed for interest paid on a loan from that individual to the controlled entity - the entire payment is treated as a dividend, confirmed via an older but structurally consistent KPMG profile.
No domestic FBAR/Form 8938-equivalent requiring Mongolia residents to self-report their own foreign accounts was identified. A foreign tax credit is available for foreign taxes paid, up to the Mongolian tax liability that would have applied to the same income; taxes paid in countries with exchange-of-information agreements with Mongolia's tax authorities can also be credited, confirmed directly via PwC - relevant related context though not itself an account-reporting requirement. Institutional-level CRS/FATCA participation status was not independently confirmed this session. Separately and independently of local law, US citizens and Green Card holders with Mongolia accounts remain obligated to file FinCEN Form 114 (FBAR) once aggregate foreign accounts exceed USD 10,000, and potentially Form 8938, regardless of local requirements.
Mongolia has approximately 30 double taxation agreements, confirmed via TaxAtlas, with China and Russia named as key treaty partners alongside major investment-source countries for the mining sector. Dividend withholding is 10% for Mongolian resident recipients but 20% for foreign tax residents (reducible under an applicable treaty), confirmed directly via PwC; a reduced 5% rate applies to certain qualifying share-purchase investors (excluding mineral resources, oil exploration, and mining license holders). Treaty relief requires a tax residency certificate from the foreign country's competent authority plus relevant supporting transaction documents, confirmed via Mongolia's official Investment and Trade Agency.