“Shop Dee Mee Kuen” tax rebate scheme

In an effort to boost domestic consumption at the start of the new year and to promote e-tax systems for businesses registered for VAT, the Thai government has provided a personal income tax deduction of up to THB 40,000 for the domestic purchase of goods and services from 1 January 2023 to 15 February 2023.

Keywords: Mazars, Thailand, Tax, Personal Income Tax, Tax Allowance, E-tax, OTOP, Revenue Department

10 February 2023

The “Shop Dee Mee Kuen” scheme applies to the purchase of goods and services from businesses registered for VAT, as well as the purchase of books, e-books (not including newspapers and magazines) and OTOP goods registered with the Department of Community Development.

Regulation No. 386 of the Revenue Department, which was published in the Royal Gazette on 29 December 2022, sets the thresholds and conditions for claiming personal income tax deductions for purchases under this scheme, which are as follows:

1) a threshold of up to THB 30,000 for the purchase of goods and services from businesses which issue tax invoices (those businesses registered for VAT) or receipts (those businesses not registered for VAT) in either paper or electronic form; and

2) a threshold of up to THB 10,000 for the purchase of goods and services from businesses which issue tax invoices (those businesses registered for VAT) or receipts (those businesses not registered for VAT) in electronic form only.

A tax deduction cannot be claimed for the purchase of certain goods, e.g., liquor, tobacco, cars, motorcycles, boats, hotel costs, tour guide fees, utility bills (including telephone and internet bills), or insurance premiums.

Sources:

https://www.rd.go.th/fileadmin/user_upload/kormor/newlaw/mr386.PDF

https://www.rd.go.th/fileadmin/user_upload/kormor/newlaw/dg431A.pdf

List of qualified business operators who are eligible to issue electronic tax invoices or electronic receipts:

https://efiling.rd.go.th/rd-questionnaire-web/etax-invoice