Tax

You will find here a series of summaries providing an overview of useful tax regulations, processes and tax issues for Doing Business in Thailand.

Personal Income Tax Benefits Announced

In July 2017, the Thai government issued Royal Decree Number 641 giving personal income tax benefits to an employee (“the Employee”) of a company or legal partnership that conducts business in a targeted industry, and has its place of business (defined as a place that is used in the normal course of business or used for manufacturing goods on a regular basis) in Chachoengsao, Chonburi, or Rayong Provinces.

Tax measures to incentivise registrations

In our tax article for April 2017, we noted that the Thai Revenue Department issued Notification of the Director-General of the Revenue Department No. 4 which sets out the rules that exempt taxes from the transfer of an individual’s property to a company or legal partnership, and the sale of goods by that individual to such a company or partnership.

Changes to the method of paying Stamp Duty

In April 2017, the Revenue Department issued Notification of the Director-General of Revenue on Stamp Duty No. 56, which expands the scope of instruments for which duty must be paid in cash instead of by affixing stamps.

Tax Privileges for e-Payment

In May 2017, the Thai government issued Royal Decree Number 640. This law allows the 100% additional deduction, for corporate income tax purposes, of the cost of acquisition of an electric data capture equipment (e.g. a credit or debit card reader or “the Equipment”). It also allows the 100% additional deduction of a transaction fee for receiving payment by debit card through the Equipment, for both corporate income tax and personal income tax purposes.

Filing Hard Copies of the Financial Statements

On 17 May 2017, the Revenue Department issued Notification of the Director-General of Revenue Number 296, which requires corporate income taxpayers to file audited financial statements with the Revenue Department office of the district in which the taxpayer’s office is located, even if the taxpayer has filed the year-end corporate income tax return (Form Phor. Ngor. Dhor. 50) electronically.

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