Step-by-step calculation
Filing deadlines drive the cash-flow timing of PIT, not the underlying tax math. The Myanmar tax year runs 1 April – 31 March. The default scenario is a Myanmar tax resident, single, with no dependants — the calculation below shows how monthly PAYE rolls into the annual return.
Step 1 — Apply the 20% basic personal relief (annual figure)
| Annual gross salary | MMK 12,000,000 |
| Less: 20% basic personal relief | − MMK 2,400,000 |
| Less: spouse / child / parent allowances | 0 (default) |
| Annual taxable income | MMK 9,600,000 |
Step 2 — Apply the Union Tax Law 2025-2026 brackets
1 Lakh (L) = MMK 100,000.
| Annual taxable income | Marginal rate |
|---|---|
| 1L – 20L (MMK 0 – 2,000,000) | 0% |
| 20L – 100L (MMK 2,000,000 – 10,000,000) | 5% |
| 100L – 300L (MMK 10,000,000 – 30,000,000) | 10% |
| 300L – 500L (MMK 30,000,000 – 50,000,000) | 15% |
| 500L – 700L (MMK 50,000,000 – 70,000,000) | 20% |
| 700L & above | 25% |
| Band | Amount in band (MMK) | Rate | Tax (MMK) |
|---|---|---|---|
| First 2,000,000 | 2,000,000 | 0% | 0 |
| Next 7,600,000 | 7,600,000 | 5% | 380,000 |
| Annual PIT | MMK 380,000 | ||
Step 3 — Convert to monthly withholding and confirm deadlines
- Monthly PIT withheld: MMK 380,000 ÷ 12 ≈ MMK 31,667/month
- Monthly remit deadline: by the 15th of the following month, paid to IRD with the withholding return.
- Annual reconciliation deadline: within 3 months of FY-end → typically 30 June.
- Records retention: at least 7 years.
What about SSB and the true net salary?
SSB has its own monthly deadline — the 15th of the following month, paid to the township SSB office, separate from PIT. Employees pay 2% on wages capped at MMK 300,000/month (max MMK 6,000/month). Employers add 3% (max MMK 9,000/month).
| Monthly gross | MMK 1,000,000 |
| Less: PIT | − MMK 31,667 |
| Less: SSB (employee, capped) | − MMK 6,000 |
| Monthly take-home | MMK 962,333 |
Employer takeaway
Two PIT deadlines drive the calendar: monthly PAYE remit to IRD by the 15th of the following month, and annual PIT reconciliation by 30 June (3 months after 31 March FY-end). SSB monthly contribution sits on the same 15th deadline. Late filings attract interest and penalties per IRD circulars. Retain payroll, withholding receipts, and reconciliation worksheets for 7 years.
Common variations to watch for
- Public holiday on the 15th — confirm IRD's pushed-back date; do not assume.
- Mid-year departures — final reconciliation typically due at the next annual filing window, not on departure.
- Multiple employers in one year — employee files a consolidated annual return.
- Non-resident expats — flat 25% withholding still due monthly by the 15th.
- Mandatory e-filing via IRD digital channels in major townships.
Common deadline mistakes
- Treating the 15th as month-end — the deadline is fixed.
- Skipping monthly returns — even nil-tax months may require a return. See late-filing penalties.
- Filing annual return late — interest accrues from 30 June. See employer reporting flow.
- Misaligning fiscal year — Myanmar FY (1 April – 31 March) differs from calendar year. See tax year explainer.
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