Why is there a need to collect e-Service tax? 

  e-Service tax is the value added tax (VAT) charged to foreign electronic service providers and various electronic platforms. If sales exceed 1.8 million baht per year, VAT must be submitted to the Revenue Department. Which currently charges 7% of the service price IT.

          Simply put, foreign online platforms that provide services in Thailand. Such as Facebook, Google, Line, Microsoft, Apple, TikTok, etc. If the income exceeds 1.8 million per year, must be register for VAT. and file VAT with monthly tax payment within the 23rd of the following month 

          The main reason is to create fairness between Thai entrepreneurs with entrepreneurs from abroad. Because usually when doing business Thai entrepreneurs must  always file taxes and pay 7% VAT to the Revenue Department. But foreign entrepreneurs earning income in Thailand do not have to pay VAT at all because the old law did not cover it UFABET

          so the e-Service tax law come out to help close the loophole here. So that foreign entrepreneurs must register and pay taxes like Thai entrepreneurs. The Revenue Department expects to be able to collect more VAT by 5,000 million baht per year.

     And it’s not just Thailand that has tax collection. But more than 60 countries such as Australia, New Zealand, Singapore, Malaysia, Taiwan, etc. have passed legislation on this matter. For electronic operators of foreign platforms to register and remit VAT to the tax authorities of that country