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2000 The skeletons are flashing me a welcoming white smile.They lie in dried up riverbeds, still waiting for the rains.Above them the sky is cornflower blue, interrupted only by the wings of vulture eagles. The train guard asks, in a pleading voice, for us to close the windows. Though it is barely 8 a.m., all the passengers are up, even the song and dance troupe: they were still perfecting their version of “Love Me Tender” at 3 a.m. They are returning from a two-month tour of China laden with toasters, teddies and microwave ovens.On departure the women stripped down to their underwear whilst shouting and brushing their hair, then donned peach silk dressing gowns which they have been lounging in ever since.I haven’t really come to see Mongolia, but to visit my friend Theo who is a Peace Corps volunteer in a small town.I last saw him two years ago in Edinburgh, when my last words to him were, “See you in Asia”.So there is no joy in asking if China has outgrown its strength after ten years of blazing, enthralling growth. The hedge-fund managers, those canny vultures of finance, are beginning to circle slowly, high overhead.They are starting to bet on the bursting of the Chinese bubble.

As you get closer to its heart, you see many of the famous new coal-fired power stations that China is building at a rate of two a week. You see the enormous white concrete stilts of new motorways and express railways, penetrating what until now has been a lonely steppe of soft red earth, deep ravines and prehistoric hamlets of cave-like homes.

There are specific rules for payroll and taxation in Mongolia, depending upon whether your employees are foreign nationals or local Mongolians who require Mongolia payroll.

The primary concerns for a foreign company that needs to comply with tax laws in Mongolia are: Individual income tax (IIT) for employees in Mongolia, social security costs, fringe benefits tax, and value added tax.

But the payroll calculations, payments and filings can all be outsourced to the payroll provider.

Larger companies with a longstanding commitment to Mongolia may wish to run their own local payroll for all employees, foreign and local.


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