This country currently has a directory entry or basic profile only; a full handbook is planned.
01Overview
- Region
- Southeast Asia
- Capital
- Vientiane
- Currency
- LAK
- Languages
- Lao
- ISO code
- LA / LAO
Jurisdictions
- Laos — National level; special zones and regulated sectors have separate rules
Macro indicators such as GDP and population will be added from the World Bank in the data release (P1).
02Market Entry
Foreign ownership
Whether 100% foreign ownership is generally allowed, and key exceptions. Allowed / conditional / not allowed / unverified.
Most sectors open under the Investment Promotion Law
- Applies to
- Concessions and SEZ investment are handled by the Ministry of Finance
- Jurisdiction
- Laos
- Source
- MOFCOM
03Business Formation
Common legal entity
The company form most commonly used by foreign investors for a local operating entity.
Limited company
- Applies to
- Sole enterprises and partnerships are also possible
- Jurisdiction
- Laos
- Source
- MOFCOM
Registration authority
Primary authority for company or commercial registration.
Enterprise Registration Office, Ministry of Industry and Commerce (and provincial departments)
- Applies to
- Foreign investment needs an investment licence first
- Jurisdiction
- Laos
- Source
- MOFCOM
Foreign ownership
Whether 100% foreign ownership is generally allowed, and key exceptions. Allowed / conditional / not allowed / unverified.
Most sectors open under the Investment Promotion Law
- Applies to
- Concessions and SEZ investment are handled by the Ministry of Finance
- Jurisdiction
- Laos
- Source
- MOFCOM
04Taxation
Headline corporate income tax
Statutory headline rate for ordinary companies, before incentives, exemptions, thresholds or special regimes. Always read with the conditions.
20%
- Applies to
- Tobacco companies pay 22%
- Jurisdiction
- Laos
- Source
- State Taxation Administration
Indirect tax (VAT / GST / SST)
Standard rate and type of VAT, GST or sales & service tax.
VAT 10%
- Applies to
- The 2024 VAT amendment restored the standard rate from 7% to 10%
- Jurisdiction
- Laos
- Source
- State Taxation Administration
Dividend withholding tax (non-residents)
General withholding on dividends paid to foreign shareholders, before treaty relief.
10%
- Applies to
- Ordinary companies
- Jurisdiction
- Laos
- Source
- State Taxation Administration
Tax authority
Authority responsible for corporate tax registration and filing.
Tax Department, Ministry of Finance
- Applies to
- Ordinary companies
- Jurisdiction
- Laos
- Source
- State Taxation Administration Tax Department, Ministry of Finance
Tax treaty with China
Whether a double taxation agreement with China is in force. Rates and conditions per the treaty text.
In force
- Applies to
- Rates and conditions per the treaty text and STA publications
- Jurisdiction
- Laos
- Source
- State Taxation Administration (China) State Taxation Administration
05Banking & Payments
Exchange controls
Whether general exchange controls or cross-border fund rules apply.
Foreign exchange controls are tightening
- Applies to
- Since 2024 a share of export proceeds must be converted (mining 35%, agriculture 30%, power and services 20%, etc.)
- Jurisdiction
- Laos
- Source
- MOFCOM
Banking & financial regulator
Primary regulator for banking and foreign exchange.
Bank of the Lao PDR
- Applies to
- Ordinary companies
- Jurisdiction
- Laos
- Source
- MOFCOM
06Employment
Foreign employee work permit
Main permit types needed for foreign employees to work legally.
Work permit from labour authorities plus B2 business visa
- Applies to
- Ordinary companies
- Jurisdiction
- Laos
- Source
- MOFCOM
Labour & work permit authority
Authority for labour rules and foreign employee work permits.
Ministry of Labour and Social Welfare (foreign workers department)
- Applies to
- Ordinary companies
- Jurisdiction
- Laos
- Source
- MOFCOM
07Trade & Customs
Main free trade agreements
Main regional and bilateral trade agreements relevant to Chinese exporters (not exhaustive).
ASEAN, RCEP (in force 2022), ASEAN–China FTA and others
- Applies to
- Ordinary companies
- Jurisdiction
- Laos
- Source
- MOFCOM
08Investment & Manufacturing
Investment authority / agency
Body responsible for approving, registering or promoting foreign investment.
Ministry of Industry and Commerce (general investment); Ministry of Finance (concessions and SEZs)
- Applies to
- Ordinary companies
- Jurisdiction
- Laos
- Source
- MOFCOM
Free zone / SEZ regime
Whether free zones or special economic zones operate under rules different from the mainland.
Special and specific economic zones
- Applies to
- Concessions of up to 99 years
- Jurisdiction
- Laos
- Source
- MOFCOM
09Digital & IP
IP office
Authority for trademark and patent filing and registration.
Department of Intellectual Property
- Applies to
- Trademark rights are territorial; register locally or designate via the Madrid System (check WIPO membership)
- Jurisdiction
- Laos
- Source
- WIPO
10Compliance & Risk
New York Convention party
Whether the country is party to the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, which affects enforcing foreign arbitral awards locally.
Yes
- Applies to
- Foreign arbitral awards can be enforced under the Convention, subject to its limited refusal grounds
- Jurisdiction
- Laos
- Source
- UNCITRAL
Live risk monitoring
Geopolitical, conflict and trade-route risk events for Asia-Pacific, monitored by our sister site Global Risk Monitor.
View Asia-Pacific risk monitor
Global Risk Monitor · Geopolitical and trade-route risk monitoring
11Step-by-Step
- 1Decide model and jurisdiction
- 2Confirm licences
- 3Prepare documents
- 4Incorporate
- 5Register for tax
- 6Open bank account
- 7Obtain operating licences
- 8Start operations
Generic steps without times or fees; rely on the facts and official sources on this page.
12Official Resources
Chinese official resources
Country materials from MOFCOM, the State Taxation Administration and China's overseas commercial offices
- MOFCOM country investment guideMOFCOM · PDF (Chinese)
- Country tax guide (STA)State Taxation Administration · PDF
- Commercial office中华人民共和国驻老挝人民民主共和国大使馆经济商务处
- MOFCOM going-global platformMOFCOM
- Compliance & security alertsMOFCOM platform
Official guides are long Chinese-language PDFs updated on the publishers' schedules. Our structured facts cite local authorities as primary sources; use these guides to cross-check.