Common use of HORIZONTAL COMMITMENTS Clause in Contracts

HORIZONTAL COMMITMENTS. All Sectors ; For a service supplier of another Party who is natural person of that Party but is not national of that Party in mode 1,2,3,4: unbound (a) Commercial presence of foreign service suppliers and/or providers are permitted in accordance with Myanmar Companies Act 1914 , Partnership Act 1932, The Special Companies Act 1950, the Foreign Investment Law (2012) and existing Notifications of Myanmar Investment Commission, the Foreign Investment Rules (2013) and Myanmar Citizens’ Investment Law (2013). As stipulated in the Foreign Investment Law (2012), the investment may be carried out in any of the following forms: (i) carrying out an investment by a foreigner with one hundred per cent foreign capital on the business permitted by the Commission; (ii) carrying out a joint venture between a foreigner and a citizen or the relevant Government department and organization; (iii) carrying out by any system contained in the contract which approved by both parties. The proposed investment may be refused subject to such implications as financial arrangements security risk involved and compliance with existing conditions. In forming the form of investment in Myanmar, it shall be formed as company in accord with existing law. (b) Incorporation of an enterprise, not involving a 3) (a) According to the Notification No. 167/ 2011, Non-Resident Foreigner will be subject to a withholding tax as follows; Class of Income Non-resident foreigner - Interest 15% - Royalties paid for the use 20% of licenses, trademarks, patent rights etc. - Payments of contracts 3.5 % and buying goods within Myanmar and, by the consistent contracts, agreement or any kinds of agreement, performed for State organizations, city development committees, cooperative societies, companies registered and non-government organizations. - Payments of contracts 3.5 % and buying goods inside Myanmar by the consistent contracts or agreement performed for the un-registered foreign entitles and foreign companies.

HORIZONTAL COMMITMENTS. All Sectors Sectors; For a service supplier of another Party who is natural person of that Party but is not national of that Party in mode 1,2,3,4: unbound :Unbound ALL SECTORS INCLUDED IN THIS SCHEDULE (3) (a) Commercial presence of foreign service suppliers and/or providers are permitted in accordance with Myanmar Companies Act 1914 , Partnership Act 1932, The Special Companies Act 1950, the Foreign Investment Law (2012) and existing Notifications of Myanmar Investment Commission), the Foreign foreign Investment Rules (2013) and ), Notification No. 1/2013 of Myanmar Citizens’ ' Investment Law (2013). As stipulated in the Foreign Investment Law (2012), the investment may be carried out in any of the following forms: (i) carrying out an investment by a foreigner with one hundred per cent foreign capital on the business permitted by the Commission; (ii) carrying out a joint venture between a foreigner and a citizen or the relevant Government department and organization; (iii) carrying out by any system contained in the contract which approved by both parties. The proposed investment may be refused subject to such implications as financial arrangements security risk involved and compliance with existing conditions. In forming the form of investment in Myanmar, it shall be formed as company in accord with existing law. (b) Incorporation of an enterprise, not involving a 3) (a) According to the Notification No. 167/ 2011, Non-Resident Foreigner will be subject to a withholding tax as follows; : Non- Class of Income Non-resident foreigner - Interest 15% - Royalties paid for the use 20% use of licenses, trademarks, patent rights etc. - Payments of contracts 3.5 % and buying goods within Myanmar and, by the consistent contracts, agreement or any kinds of agreement, performed for State organizations, city development committees, cooperative societies, companies registered and non-government organizations. - Payments of contracts 3.5 % and buying goods inside Myanmar by the consistent contracts or agreement performed for the un-registered foreign entitles entities and foreign companies.