In case you missed Peter's presentation on Planning and registering your business in PNG, here is the Keynote Presentation.

1. www.hanrickcurran.com.auwww.hanrickcurran.com.au
Planning and Registering
your business in PNG
16 May 2016
Peter Maletz

2. Why do business in PNG?
 Opportunities are plentiful
 Limited expat suppliers
 Cheap labour
 Technology is improving
 Oil & Gas sector is red hot
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3. Doing business in PNG
3 forms of business structure
 Foreign Contractor
 Branch of an overseas company
 Local PNG Company
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4. Foreign Contractor
 Prescribed contract
 Withholding tax 12%
 Discretion to assess actual taxable income at
48%
A simpler option, but not for everyone
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5. Branch of an Overseas Company
 Tax rate 48.5%
 Audited accounts – with exemptions
Not too attractive? Used correctly, this can be a
very effective cross border business structure
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6. Local PNG Company
 Tax rate 30%
 Dividend withholding tax 17%
 Required to be audited
 Requires a local ordinarily resident PNG director
Provides a local presence and allows you to
capitalise on all associated benefits
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7. The Registration Process
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8. Exchange Controls
 Administered by the Bank of Papua New Guinea
 Authorised dealers approve transactions (ie
Banks)
 Tax Clearance Certification required for
>K200,000 per calendar year.
Be aware of controls in place and take action to
minimise their impact
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9. Personal Property Securities
Register
 Operative from 9 May 2016
 Similar to Australia
 Register title to business assets
Seek advice to avoid risk of loss
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10. Bust a Myth
MYTH: It’s too dangerous
to do business in PNG
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FACT: Follow the well
beaten expat path
MYTH: The red tape is
impossible!
FACT: Use advisers who
know the system
MYTH: You must have local ownership
FACT: The reality is, foreign is fine

11. Disclaimers
This document contains information in summary form and discusses proposed
but not legislated rules and is therefore intended for general guidance only.
It is not intended to be a substitute for detailed research or the exercise of
professional judgement. It does not purport to be comprehensive or to render
professional advice. The reader should not act on the basis of any matter
contained in this publication without first obtaining specific professional
advice.
We believe that the statements made by us in this document are accurate but
no warranty of accuracy or reliability is given. Our conclusions are based on
interpretations of accounting standards and other relevant professional
pronouncements and legislation current as at the date of this document.
Should the interpretations, accounting standards, other relevant professional
pronouncements or legislation change, our conclusions may not be valid.
© Hanrick Curran, 2016
All rights reserved
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12. Topic Date
Thank you!
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