Tax Section - Doing Business
You will find here a series of summaries providing an overview of useful tax regulations, processes and tax issues for Doing Business in Thailand.
e-Filing Deadline Extended Again
In October 2016, the Thai Revenue Department issued a notification allowing a taxpayer that files a tax return electronically to submit the return 8 days after the normal deadline, for another two years (until 31 January 2019). We set below a table that summarizes the deadlines for filing tax returns, both on paper and electronically.
Using foreign currency for Thai corporate tax
Previously, any transactions in foreign currency had to be converted into Thai baht for Thai corporate income tax purposes. However, in December 2016, the Thai government approved an amendment to the Thai Revenue Code that allows a Thai corporate income taxpayer to recognize transactions in a foreign currency for corporate income tax purposes.
Basis of Thai personal income tax
As it is now time to file personal income tax returns for 2016, we would like to recap the basis of Thai personal income tax.
Change in tax base
Currently, under Section 49 bis of the Thai Revenue Code, where ownership or the right of possession to immovable property is transferred, the appraised value used for collecting registration fees under the land law on the date of the transfer shall be assessable for personal income tax purposes, regardless of the actual selling price or the market price which the property should fetch in a normal purchase or sale. This appraised value is usually much lower than the actual selling price or the market price of the property.
Extension of Reduced VAT Rate
The Thai government recently issued Notification of the National Council for Peace and Order No. 65/2559, which became effective on 1 October 2016.