1) What taxes are due during bankruptcy
proceedings?
During bankruptcy proceedings in Mongolia, the bankrupt entity
may be responsible for settling corporate income tax on any taxable
income, value-added on applicable transactions, outstanding
property taxes on owned properties, unpaid payroll taxes or social
insurance premium for employees, and must also continue to file
necessary tax returns.
2) What happens to outstanding tax liabilities during
bankruptcy proceedings?
During bankruptcy proceedings, the company must first pay any
outstanding tax debts.
3) Are the founders (shareholders) of the bankrupt
enterprise liable for the tax debts on a subsidiary
basis?
The founders (shareholders) of a bankrupt enterprise are not
personally liable for the tax debts of the company on a subsidiary
basis.
