On 28 December 2023, the Department of Trade (“DOT”) under the Ministry of Commerce (“MOC”) of the State Administration Council issued Newsletter 17/2023 (“Newsletter”).
This follows the issue of Notification 51/2023 dated 21 July 2023 (“Online Sales Business Registration Order”) which mandated online goods and service providers to register their business with the DOT’s online registration system and was issued pursuant to the Essential Supplies and Services Law 2012 (“ESSL”).
6-month Fee Waivers
The Newsletter states that businesses that were registered online with the DOT between 2 October 2023 and 31 December 2023 will be exempted from paying registration fees for a period of 6 months from their respective registration dates.
It further states that starting from 1 January 2023, the DOT will issue registration certificates with validity of up to two (2) years and the registration fees payable by the applicants will be as per the following table:
Registration Fees Commencing from 1 January 2024
| No. | Type | Registration Fees | Re-registration fees | Amendment fees |
| 1 | Company (or) Business Organization | 70,000 MMK | 70,000 MMK | Once – 3000 MMK |
| 2 | Company (or) Business Organization that has some form of evidence of registration as an SME business | 50,000 MMK | 50,000 MMK | Once 3000 MMK |
| 3 | Individual | 30000 MMK | 30000 MMK | Once – 3000 MMK |
Due Date for the Payment of Registration Fees Stipulated under the Online Sales Business Registration Order
Notably, under the Online Sales Business Registration Order, the applicant intending to register its business with the DOT is required to pay the registration fees and online service charges within a period of two (2) weeks from the date it receives a notification from the DOT to do so using digital payments platform prescribed by DOT. Thereafter, DOT will issue the registration certificate upon receipt of such fees.
Impact of Non-registration of Online Sales Business with the DOT
It is important to note that ‘online sales business’ was designated an ‘essential service’ under the ESSL and the Online Sales Business Registration Order was passed under the ESSL.
The ESSL states that ‘whoever violates any order’ passed under the ESSL ‘shall be punished with imprisonment for a term from a minimum of six months to a maximum of three years and shall also be liable to a fine not exceeding five hundred thousand Kyats.’ Further, the ESSL states in this regard that ‘the Court may pass an order for destruction or confiscation or otherwise disposal of the exhibits involved in the offence.’
Accordingly, online sale businesses should apply for and register with the DOT by payment of the applicable fees stipulated in the table above within the time stipulated under the Online Sale Business Registration Order.
The information provided here is for information purposes only and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.
