Thailand foreign e-services VAT consultation

Thailand has launched a public consultation into imposing VAT on non-resident providers of electronic or digital services to its consumers.

The latest consultation will be based on a revised VAT bill designed to impose tax collection obligations on the providers. The first version was drawn up in 2018. The bill includes a provision for simplified VAT registrations, without the right to deduct any local input VAT suffered. Only services delivered via the internet, or other electronic network, will be included in the tax net. Online marketplaces which act of the payment collector for the original provider would be required to charge and collect the taxes, too.

Global VAT on e-services has been spreading around the world for several year.