Keywords: Mazars, Thailand, Tax, Revenue Department, PND 51, Revenue Code, Departmental Regulation
09 November 2015
Under this recently issued departmental regulation, while the “reasonable excuse” in Clause 1 of Departmental Regulation No. 50/2537 remains in use, there is a new additional reasonable excuse. As such, where a company or legal partnership estimates a year-end net taxable profit of at least the net taxable profit of the previous year, but the half-year corporate income tax remitted for the current year is less than 50% of the previous year’s tax as a result of tax privileges (a tax exemption or reduction), such a company or partnership will be considered to have a reasonable excuse for underestimating the year-end net taxable profit for the purpose of remitting the half-year corporate income tax due. Therefore, this rule will shield a company that a tax reduction under the Small and Medium Enterprise Regime against the risk of underestimating profit for the purposes of remitting the half-year corporate income tax due.