On June 9th, 2020, the Thai Cabinet approved a draft
amendment to the Thai Revenue Code which would impose a value-added
tax (VAT) on foreign E-service providers and E-platform operators
(with no permanent establishments in Thailand) that received
payments from users located in Thailand. The new VAT requirement is
expected to apply to all forms of qualifying international
e-service providers and e-platform operators. These include but are
not limited to websites, smartphone applications, and social media.
The new amendment will apply to a variety of businesses, from hotel
booking sites to streaming media platforms.
The new legislation aims to update Thailand's tax guidelines
to be in accordance with guidelines from the Organization for
Economic Cooperation and Development (OECD) titled Mechanisms for
the Effective Collection of VAT/GST where the supplier is not
located in the jurisdiction of taxation, which has already been
adopted by many countries. In addition to
