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 are not included yet; see official statistics such as the World Bank.
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 AdministrationTax 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.