Update on VAT registration of e-services

Keywords: Mazars, Thailand, Tax, VAT, Revenue Department, e-Services

8 September 2021

Under Notification No. 241, business operators providing electronic services from foreign countries to customers who are not VAT registrants in Thailand and who use the services in Thailand, or electronic platform operators from abroad, have a duty to pay VAT under the Revenue Code. Such entities must submit an application for VAT registration in the form prescribed by the Director-General of the Revenue Department (Form P.P. 01.9) through the Revenue Department’s website. The form must be filled out completely and correctly, and must be submitted together with the English version of the following documents:

1. For a legal entity

1) Certificate of incorporation, containing the entity’s name, date of incorporation, and country of incorporation. The document must be certified for no more than 6 months by the Ministry of Foreign Affairs, a notary public, or other agencies of the country of incorporation.

2) Certificate of tax residency in the country of incorporation (optional).

2.   For an individual

1) A copy of the individual’s passport (only the photo page showing the passport holder’s name, photo, and passport number) or a copy of the individual’s ID card. The document must be certified for no more than 6 months by the Ministry of Foreign Affairs, a notary public, or other agencies under the laws of that country.

2) Certificate of tax residency in the country where the individual is a tax resident (optional)

If an application for VAT registration and the supporting documents are correct and complete, the Revenue Department will approve the application and list the applicant as a VAT registrant on the Revenue Department’s website. The entity shall be considered a VAT registrant from the date that the application for VAT registration was filed.  However, if a business operator submits an application for VAT registration before 1 September 2021, if the application is approved, the entity will be considered a VAT registrant from 1 September 2021 onwards.

The application for VAT registration may not be approved by the Revenue Department for one of the following reasons:

1. It appears that the business operator was previously a VAT registrant, but its registration was revoked by the Director-General of the Revenue Department because it provided false information in the VAT registration application, does not have an actual place of business as shown in the VAT registration application, does not conduct business, or is not a real service business operator.

2. It appears that the business operator did not show or submit complete documents to the Revenue Department or the documents submitted were inconsistent with the VAT registration application.

3. It appears that the address on the internet or other electronic networks listed as used by the entity for business purposes (Business Website) in the VAT registration application does not exist.

The order to reject the application shall be effective from the date that the business operator submitted the application for VAT registration.

If the VAT registrant has materially changed the information submitted when it registered for VAT, it must notify the authorities of the change in the form prescribed by the Director-General of the Revenue Department (Form P.P. 09.9) through the Revenue Department’s website, within 15 days from the date that the change occurs.