6/8/2021
The Fiscal Policy and Planning Department (FPPD) of the Ministry of Finance (MOF) is implementing technical assistance and capacity-building activities to harmonize tax legislation under the “Strengthening Governance in Mongolia” (SGM) and the “Strengthening Fiscal and Financial Stability” (SFFS) projects.
As part of the tax reform package, General Tax Law, Corporate Income Tax Law, Personal Income Tax Laws, and 29 other relevant laws were amended. These laws were approved on March 22, 2019, and have been effective since January 1, 2020. The primary purpose of the tax reform was to support honest taxpayers, introduce measures against tax evasion practices, and simplify and digitalize tax payment and filing through information technology solutions.
The tax reform package incorporates the implementation of 44 secondary legislation necessary for regulating further tax issues, of which 9 regulations are aimed at the internal activities of the tax administration and 35 regulations are aimed at taxpayers. The MOF and consultants of the Taxation Office and the SFFS project have jointly developed 35 draft regulations aimed at taxpayers and organized a "two-staged" public discussion among companies, associations, and clubs through 2019.10.21-2019.11.11, and ensured taxpayers' participation in these matters.
The first round of discussion was held from November 11 to 18, 2019, at the Taxpayers' Hall of the General Department of Taxation (GDT) in Ulaanbaatar, with 7 events. A total of 1,486 taxpayers participated in the discussion, 132 taxpayers asked questions and 134 taxpayers provided recommendations. The second round of the public discussion was held from November 18 to 25, 2019, at the Taxpayers' Hall of the GDT in Ulaanbaatar with a total of 11 events. 1,879 taxpayers participated in the event, 91 taxpayers asked questions and 84 taxpayers provided recommendations.
In addition, the provincial tax authorities also organized public discussion events on this secondary legislation in aimag centers and soums, involving a total of 4,640 taxpayers. The draft regulations were published on websites such as www.mta.mn, www.mof.gov.mn, www.juram.mta.mn and provided the public with an opportunity to review and comment. A total of 15,939 taxpayers nationwide participated in discussing these draft regulations, and 606 suggestions were made orally and in writing for improvement.
Furthermore, there was an urgent need to introduce preventive measures against tax avoidance practices of multinational corporations by introducing internationally recognized principles of international taxation issues to domestic law. Therefore, in 2018, Mongolia joined the Inclusive Framework on Base Erosion, and Profit Shifting /IF on BEPS/ of the OECD and introduced the relevant standards to domestic laws as part of the tax reform package
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WORLD BANK WORKING GROUP MET WITH PIU AND IMPLEMENTING ORGANIZATIONS REGARDING THE COMPLETION REPORT OF THE STRENGTHENING GOVERNANCE IN MONGOLIA PROJECT
4/3/2023
Concerning the Strengthening Governance in Mongolia project, which was completed on February 28, 2023, the World Bank working group to develop the project completion report had an official meeting with Project Implementation Unit (PIU) and implementing organizations on March 30, 2023. The purpose of the working group meeting is to review the implementation of the project, the results achieved, and the fulfillment of the project indicators. |
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PERFORMANCE BASED FINANCING: INSPIRING NEW APPROACHES TO PUBLIC FINANCIAL MANAGEMENT IN HEALTH AND EDUCATION
3/23/2023
Performance based financing (PBF) links funds or payments to service providers to results achieved and gives them considerable autonomy in the use of these funds. The strategic approach is appealing to many individuals and organizations as it motivates them to perform better and channels resources directly to the frontlines. This in turn fosters greater accountability. Using this approach has been popular in different sectors with some promising results emerging. |
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AN INTEGRATED SYSTEM FOR RESULTS-BASED MEDIUM-TERM BUDGET PLANNING: IN ACHIEVING THE GOALS OF IMPROVING BUDGET PLANNING, BUDGET EFFICIENCY AND PROGRAM OUTCOME.
3/7/2023
Under the scope of improving public financial management, Mongolia is aiming to introduce result-oriented medium-term budgeting, transitioning from the traditional input-based budgeting. This goal is aligned with development policy of Mongolia to shift from medium-term fiscal framework (MTFF) to medium-term expenditure framework (MTEF). |
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The MOF is entering the new phase of PFM Reform Action Plan
2/28/2023
Within the framework of the European Union financed, World Bank managed “Strengthening Governance in Mongolia” project, the Ministry of Finance, in compliance with the “Sustainable Development Vision 2030” and the “Action Program of the Government of Mongolia for 2016-2020”, has approved and implemented the Public Financial Management (PFM) Reform Strategy and the Action Plan for 2018-2022. The overarching objective of the strategy was to improve governance and achieve effective resource allocation and efficient public service delivery. The implementation status of the PFM Action Plan is indicated as “Certain results have been achieved” at the rate of 85 percent. |
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LAUNCHED BETA VERSION OF THE REDEVELOPED GLASS ACCOUNT PORTAL
1/20/2023
The Ministry of Finance Mongolia has developed and successfully launched the new version of the Glass Account Portal in 2023 within the framework of the Strengthening Governance in Mongolia Project jointly implemented by the EU and the World bank. |
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New systems and services are added in the Intermediate service platform for fiscal and financial systems
1/11/2023
The Ministry of Finance Mongolia has developed and successfully launched the Intermediate Service Platform (ISP) in 2022 within the framework of the Strengthening Governance in Mongolia Project. The main purpose of the system is to provide a possibility of information /web services/ exchange between the independent systems of the Ministry of Finance and other organizations in a easy and flexible way. In addition, it is solving the issues of overlapping connections and development between many information systems and organizations, transferring them to a unified standard, making it has no complexity, and more secure. |
