Consumption/VAT/Sales Tax in Thailand
- Nature of the Tax
- Value Added Tax (VAT) has been implemented in Thailand since 1992 replacing Business Tax (BT). VAT is an indirect tax imposed on the value added of each stage of production and distribution.
- Standard Rate
- The rate is currently 7% (it is suppose to be increase to 10% in October 2010 but this sensitive measure could be postpone),
- Reduced Tax Rate
Certain activities are liable to VAT at the rate of zero percent:
- export of goods;
- services rendered in Thailand and utilized outside Thailand in accordance with rule, procedure and condition prescribed by the Director-General;
- aircraft or sea-vessels engaging in international transportation;
- supply of goods and services to government agencies or state-owned enterprises;
- supply of goods and services to the United Nations and its agencies as well as embassies, consulate-general and consulates;
- supply of goods and services between bonded warehouses or between enterprises located in EPZs.
- Exclusion From Taxation
- Certain activities are exempted from VAT: Small entrepreneur whose annual turnover is less than 1.8 million baht; Sales and import of unprocessed agricultural products and related goods such as fertilizers, animal feeds, pesticides, etc.; Certain basic services such as healthcacre, education... For more information, you can consult Asiatradingonline website.
- Method of Calculation, Declaration and Settlement
- Tax base of VAT is the total value received or receivable from the supply of goods or services. Value means money, property, consideration, service fees, or any other benefits which is ascertainable in terms of money. Tax base will also include any Excise tax arises in connection with such supply. However, tax base is exclusive of the value added tax itself and does not include any discounts or allowances, but only if discounts or allowances are clearly shown in the tax invoices.
- Other Consumption Taxes
Any Comments About This Content? Report It to Us.
No content has been posted to this folder yet.
Be the first to feature your expertise related to Consumption/VAT/Sales Tax in Thailand!
- Post any content you may have that features your expertise, such as a text article with business tips, presentation, market report, etc
- By sharing your knowledge you gain more visibility for your profile not only on GlobalTrade.net but across the web
Post your content now by simply clicking on the button below.
Check these folders already populated with content posted by other users:
Click here to find out more about key benefits and instructions for contributing to the site.
Post any content you may have that features your expertise and offers valuable information to the international trade community.
The more informative content you post the more visible your will be, as your valuable content will link directly to your profile.
Check these sample pages for illustration: