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MYANMAR / INVESTMENT INCENTIVES

See the incentives.
Plan the investment.

Location, activity and funding shape your eligibility.
Explore the MIC and SEZ frameworks, then prepare your next step.

Compare the two frameworks
MIC / INCOME TAX HOLIDAYS
ZONE 17years
ZONE 25years
ZONE 33years

Income tax holidays by development zone.
Subject to sector, funding and approval requirements. [1]

Sources checked & updated: 13 October 2026Sources & applicability ↗
MIC NOTIFICATION 1/202635%

Minimum cash contribution
as a share of total investment

16 MAR 2026

Start with the funding conditions.

For relief in a promoted sector, the investor must be able to contribute at least 35% of the total investment stated in the proposal or endorsement application in cash. [3]

  • For offshore borrowing: CBM loan approval and repayment schedule.
  • Evidence that the offshore loan and foreign capital entered through an AD-licensed bank.

These are minimum conditions; meeting them alone does not secure an incentive.

CHOOSE THE RIGHT FRAMEWORK

Two frameworks. Different conditions.

MIC development zones and SEZ zones are different classifications. Section 81 excludes SEZ businesses from the Investment Law’s tax incentives. [1]

01 / MIC INCENTIVES

Location shapes the tax holiday.

Consecutive years, including the year commercial operations begin. Available to eligible promoted investments following application and assessment. [1]

ZONE 1

Less developed regions

7years

Income tax holiday

ZONE 2

Moderately developed regions

5years

Income tax holiday

ZONE 3

Adequately developed regions

3years

Income tax holiday

Check the MIC eligibility criteria

Rules 91–93 require, among other criteria, more than USD 300,000 in additional funds or further capital in Myanmar, a permit/endorsement held or under application, and compliance with law. Income tax holidays also require promoted-sector and zone eligibility. [2]

Also check the 2026 cash and funding-evidence conditions. Relevant employment, skills, technology, productivity and export benefits are assessed too. [2] [3]

Imports & exports

Relief on qualifying construction or preparatory imports, and relief or refunds for export inputs. Confirm the goods, timing and approved scope. [1]

Reinvestment

Income tax relief may cover profits reinvested within one year in the approved business or a similar business. Application and assessment are required. [1]

Depreciation & R&D

Accelerated depreciation and deductions for qualifying R&D conducted in Myanmar. Identify eligible assets, expenditure and supporting records. [1]

Check the approved tax, asset and period for each benefit. A permit or endorsement does not exempt a business from every tax. [1]

02 / SEZ INCENTIVES

Read the relief across each phase.

Investor income tax incentives under section 32. Free Zone activities are export-oriented; a Promotion Zone is within the domestic taxation area of the SEZ. [6]

Free Zone

Years 1–77yearsIncome tax exemption
Years 8–1250%Income tax relief
Years 13–1750%Qualifying reinvested profits

Promotion Zone

Years 1–55yearsIncome tax exemption
Years 6–1050%Income tax relief
Years 11–1550%Qualifying reinvested profits

Periods run from commercial commencement. In the final phase, 50% relief applies to eligible profits reinvested in the business as a reserve fund within one year. These are operating years, not calendar years. [6]

Import incentives & ongoing obligations

Check each import category

Free Zone: exemptions on qualifying materials and equipment. Promotion Zone: qualifying equipment benefits from five years of exemption, then five years of 50% relief. Production inputs are ordinarily taxed, with refunds available for qualifying exports. [6]

Maintain the conditions

Maintain required Free Zone audited reports, separate accounts and import/use/export records. For an existing incentivised project transferred into an SEZ, check how prior relief and any remaining period are treated. [7]

TURN THE FRAMEWORK INTO A PLAN

Bring the right facts to the application.

  1. 01

    Locate & classify

    Identify the township, activity code and export/domestic mix. Confirm which MIC or SEZ framework applies.

  2. 02

    Document funding

    Gather the investment budget, cash contribution, bank inflows, offshore-loan approval and repayment schedule.

  3. 03

    Apply & confirm

    Coordinate the required approval and incentive applications. Confirm the taxes, period and conditions actually granted.

  4. 04

    Track & retain

    Track commercial commencement, imports, reinvestment, reports and accounts. Check approval requirements before changes.

A preparation guide. Confirm the required documents and authority for the specific project. [2] [3] [7]

TAXES OUTSIDE THE INCENTIVE

For general exemptions, check the current tax law.

Review FY 2026–27 rates and commercial-tax conditions alongside the project incentive.

SOURCES & APPLICABILITY

Sources and applicability.

Public information checked on 13 October 2026. Foundational laws and rules are dated separately from 2026 eligibility and procedural updates. The August procedural update is based on identified law-firm commentary.

This is a general guide. Confirm eligibility for the activity, location and approval conditions with MIC, the SEZ Management Committee and a qualified tax adviser. This page is not updated automatically. [9]

  1. 01
    DICA · LAW 40/2016

    Myanmar Investment Law ↗

    18 October 2016. Sections 74–81: tax holidays, imports, reinvestment, depreciation, R&D and separation from SEZs.

  2. 02
    DICA · RULES 35/2017

    Investment Rules: incentive assessment criteria ↗

    30 March 2017. Rules 91–93: over USD 300,000 in additional funds or further capital, permit/endorsement and assessment.

  3. 03
    MIC · 16 MAR 2026

    Notification 1/2026: minimum eligibility criteria ↗

    Published by DICA on 3 April 2026. Minimum 35% cash contribution, offshore-loan approval and AD-bank inflow evidence.

  4. 04
    MIC · 22 FEB 2017

    Notification 10/2017: development zones ↗

    Township-by-township zone classification. The attached English version is an unofficial translation. Confirm the project location.

  5. 05
    MIC · 01 APR 2017

    Notification 13/2017: promoted sectors ↗

    Promoted sectors for income tax exemption. Check activity codes and exclusions, not only a sector heading.

  6. 06
    MINISTRY OF COMMERCE · LAW 1/2014

    Myanmar Special Economic Zone Law ↗

    23 January 2014. Section 32 for investors; sections 44–45 for imports. Developer incentives are outside this comparison.

  7. 07
    MINISTRY OF COMMERCE · RULES 1/2015

    Myanmar Special Economic Zone Rules ↗

    27 August 2015. Rule 47 applications; 59–60 reporting; 68–71 separate accounts, transferred projects and records.

  8. 08
    TILLEKE & GIBBINS · 15 SEP 2026

    Professional commentary on Notification 5/2026 ↗

    Law-firm analysis of the 19 August notification: regional procedures and MIC review of incentive changes. This is commentary, not the notification itself.

  9. 09
    IRD · UNION TAXATION LAW

    Union Taxation Law by year ↗

    Consult the 2026 law in the official list. General commercial-tax exemptions and project-specific incentives require separate checks.