In 2019, Thailand introduced an online system for payment of stamp duty (e-Stamp Duty) and a requirement for e-Stamp Duty to be paid on the following five instruments when executed electronically (e-Instruments): hire of work service instrument; loan instrument or bank overdraft instrument; powers of attorney (POA); proxy letters for voting at company meetings; and guarantee instrument. However, given the strict financial penalties on those who fail to pay stamp duty, the government implemented a grace period until December 31, 2020, to allow people to become familiar with the e-Stamp Duty system before the requirement is strictly enforced. During the grace period, taxpayers could pay stamp duty for the five e-Instruments at an area revenue office, rather than via the e-Stamp Duty system, and could also pay stamp duty for traditional paper versions of those five instruments through the e-Stamp Duty system. On January 19, 2021, the Revenue Department issued Notifications of the Director-General of Revenue Re: Stamp Duty (Nos. 61 and 62) B.E. 2564 (2021) further extending that grace period until December 31, 2021. The following table summarizes the revised methods of stamp duty payments available for the five instrument categories mentioned above under the new notifications. The e-Stamp Duty system allows taxpayers to pay stamp duty online by filing the prescribed form (Form Or.Sor.9) through (i) the website of the Revenue Department (www.rd.go.th), or (ii) the Application Programming Interface (API) of the Revenue Department before or within 15 days from the date of instrument execution. Taxpayers can currently file a request to pay for e-Stamp Duty no earlier than 30 days before the date of instrument execution. Taxpayers should note that the e-Stamp Duty system does not currently support late payment. Therefore, late filing and stamp duty payments will have to be made at an area revenue

The renewed spread of COVID-19 in Thailand since December 2020 has led to additional tax relief measures to lessen the economic impact of the outbreak. Most recently, it has prompted the Ministry of Finance to propose a draft Royal Decree on Land and Building Tax Reduction B.E. 2564 (2021), which is expected to be similar to the 2020 measures that reduced land and building tax payments by 90 percent. In the meantime, on January 21, 2020, the Ministry of Interior announced an extension for the payment of land and building tax in 2021, which is now due by June 30, 2021 (extended from April 30, 2021). In light of the new land and building tax payment deadline for 2021, the Bangkok Metropolitan Administration, or the relevant municipality or local administrative office, will now send land and building tax assessment forms to taxpayers by April 30, 2021 (extended from February 28, 2021). For more details on these measures, or on any aspect of Thailand’s land and building tax, please contact Chaiwat Keratisuthisathorn at [email protected] or +66 2056 5507.

At a meeting on December 21, 2020, the Thai Board of Investment (BOI) approved a series of stimulus packages aimed at encouraging local and foreign investment, as the government seeks to boost Thailand’s economic recovery from the COVID-19 pandemic. The additional investment incentives, which will be promoted by the BOI in the upcoming year, include a number of sector- and project-specific stimulus measures.   Additional Tax Incentives for Large-Scale Projects Projects in target industries with investment of at least THB 1 billion (approx. USD 33 million) over a 12-month period, starting from the issuance of the BOI promotion certificate, will be entitled to an additional 50% corporate income tax (CIT) deduction for a period of five years, calculated on top of the standard 5–8 year CIT exemptions offered under the normal BOI tax-incentive scheme. To obtain this special tax incentive, eligible projects may apply to the BOI from January 4 to December 30, 2021.   Stimulus Package for Digital Economy and Software Industry Projects that support digital technology adoption, such as software integration, artificial intelligence, machine learning, or big data analytics, may benefit from 50% CIT exemptions on profits generated from their existing BOI projects for an additional three years. Applications for the exemption must be submitted by the end of 2022.   Application Deadline Extensions for Special Economic Zones and Five Southern Provinces Measures relating to special economic zones cover more than 300 investment promotion categories, with both tax and non-tax incentives, including an additional tax incentive for target industries such as textiles, agriculture, home furniture, jewelry, and others. These incentives are available to projects located in the border areas of Thailand (i.e., the 10 special economic zones in the provinces of Chiang Rai, Kanchanaburi, Mukdahan, Nakhon Phanom, Narathiwat, Nong Khai, Sa Kaeo, Songkhla, Tak, and Trat), with the

On December 15, 2020, Thailand’s Revenue Department (RD) announced a further extension for e-tax filing and payment until January 31, 2024. The RD’s announcement is meant to support the government’s Thailand 4.0 policy by encouraging use of the online system for filing and paying taxes. The RD has been promoting the use of e-tax filing and payment since 2012 by granting eight-day extensions to anyone who submits online, rather than using traditional paper filing. Initially, this eight-day extension program was due to expire on January 31, 2021, but the RD has now further extended it for another three years, until January 31, 2024. Tax Filing and Payment Schedule for Eligible Tax Returns * Notification of the Ministry of Finance Re: Extension of Period for Tax Return Filing and Tax Payment via Internet System (No.3) dated December 15, 2020. It should be noted that tax returns and supplemental tax returns must be submitted via the e-filing system to qualify for the eight-day extension. If a taxpayer has submitted their tax return in paper form, they will not be entitled to the extension even if they resubmit via e-filing system. The reverse is also true—a tax payer who submits via the e-filing system, and resubmits in paper form, will not be eligible for the eight-day extension. For personal income tax payments set up as three instalments, the first instalment can be paid together with the e-filing and that tax payment is also entitled to eight-day extension.  The second instalment can be paid within one month after the extended due date of the first instalment, and the third instalment can be paid within one month after the due date for the second instalment. For more information about these tax filing extensions, or any aspect of tax law in Thailand, please contact Varapa