You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

August 18, 2021

Thai Customs Department Temporarily Eases Restrictions on Requesting Stay of Duty Payments

Subscribe to Updates

Sensitive to the difficulties many business entities and individuals are experiencing during the COVID-19 pandemic, the Thai Customs Department recently implemented an important measure providing importers and exporters with the opportunity to temporarily stay pending customs duty obligations. This measure, which addresses procedures and conditions for requests to stay outstanding duty payments during the COVID-19 pandemic, was included in Announcement of Customs Department No. 103/2564, dated July 1, 2021, issued under sections 37 and 38 of the Customs Act B.E. 2560 (2017).

Background

Under the Customs Act, importers and exporters have the right to petition the Customs Department for a stay of duty payments at various stages of the customs consideration process. For example, this right extends both to petitioners who are in the process of appealing a customs duty assessment, and to those who have filed claims in the Thai courts challenging a Customs Board of Appeals decision.

On December 29, 2017, Main Announcement of the Customs Act on Principal, Methods and Conditions for Requesting a Stay of Outstanding Duty Payments No. 189/2560 was issued, stipulating that a party who appealed to the Customs Board of Appeals regarding customs duty assessment (or submitted a further complaint with the Thai courts challenging the board’s decision) can request a stay of payment of outstanding duties within thirty days from the date of filing an appeal regarding customs duty assessment.

In mid-2020, the Customs Department responded to the pressures of the COVID-19 pandemic by issuing relief measures—first a short-term easing of certain documentation requirements, followed by a longer-lasting (until September 30, 2021) extension of the deadline for requesting review of import duty penalties, fines, and surcharges on outstanding import duty amounts.

Relief for Payment of Customs Duty

With the pandemic still being acutely felt in Thailand in 2021, the Customs Department turned their attention to relief for importers and exporters who need more flexibility in meeting their duty payment obligations. In this regard, the recent announcement of July 1, 2021, temporarily replaces the previous strict thirty-day deadline for requests for stay for those petitioners who submit a request during the period July 1 through September 30, 2021. Importers and exporters who have filed a duty assessment appeal with the Board of Appeals may submit a request for stay directly to the customs entity that issued the official letter of assessment. Meanwhile, those who have filed a complaint with the Thai court challenging a Customs Board of Appeals decision on duty assessment may submit a stay request directly to the Legal Division of the Customs Department.

In addition to providing this time for petitioners seeking to temporarily stay duty payment, the recent announcement offers procedural flexibility for submitting a security deposit (covering the duty assessment amount) upon requesting a temporary stay. According to the regulations in place since December 2017, only a petitioner who is also an “authorized economic operator” (AEO) could submit a credit-based letter of guarantee as security with the request to stay outstanding duty payment in an amount to cover the duty assessment. Under the temporary relief measures, all petitioners—regardless of their AEO status—can deposit a credit-based letter of guarantee. A second option for providing the security deposit is for a petitioner to submit the previous bank guarantee from the customs clearance stage of importation or exportation, along with a certified statement from that bank allowing re-use of the guarantee for the outstanding duty payments.

The timeframe for considering requests to stay payment of outstanding duties remains unchanged—the director general of the Customs Department will approve or deny a request within fifteen days (plus an additional fifteen-day allowance if necessary and authorized). Due to statutory prescription periods for customs assessment liabilities, all requests for stay approvals are limited to outstanding duty assessments that are less than nine years from the importation or exportation date.

This announcement allowing temporary stay requests provides more flexible stay rules during a challenging period for Thailand and the region. It represents the Customs Department’s recognition of the impact of the COVID-19 pandemic on importers and exporters, as well as the vital importance they play in the supply chain. As Thailand and its neighbors continue to experience the economic burden of the ongoing pandemic, the Customs Department will reevaluate whether to extend the measure beyond the current September 30, 2021, time period.

Related Professionals

Practices

Customs and International Trade

Dispute Resolution and Litigation

Location

RELATED INSIGHTS​ 

September 25, 2025
Four of Tilleke & Gibbins’ labor and employment specialists in Phnom Penh have authored the Cambodia chapter of Labor and Employment Disputes 2026, the latest edition of Lexology Panoramic’s global guide to handling labor and employment disputes. The chapter provides practical insights on a wide range of dispute resolution issues, including: Pre-action considerations: key requirements, third-party funding, contingency fee arrangements Issuing a claim: forum, territorial jurisdiction, standing, commencing claims, fees, service, defendants and legal personality, types of claims, time limits, counterclaims Case management: procedure, rules, amendments to claims, adding parties, consolidating proceedings, class and collective actions, evidence, witnesses, tactical considerations Interim relief: availability, requirements Trial: hearings conduct and time frames, confidentiality and public access, media reporting, elements of successful claims and burden of proof Alternative dispute resolution: available types, requirements and expectations, enforcement Collective employment and labor rights: enforcement and standing Remedies and enforcement: available remedies, assessing compensation, enforcement mechanisms Appeals: procedure, time frames, other means of challenge Updates and trends: recent cases and developments, technology developments, other issues The full Cambodia chapter is available for download below. Tilleke & Gibbins also contributed the Thailand and Vietnam chapters to Labor and Employment Disputes 2026. Readers can also gain 30 days of complementary access to the full Labor and Employment Disputes 2026 guide and the rest of Lexology Panoramic’s varied offerings through this link.
Read More
September 10, 2025
Under Thai law, authorized directors stand as a company’s mind and will and, as such, may incur personal criminal liability for acts or omissions committed in the course of company business. When allegations surface, directors must be prepared for the practical reality that, before guilt or innocence is ever adjudicated, they could be deprived of liberty unless bail release is promptly achieved through the competent legal authority. When Bail Can Be Granted Two procedural moments trigger the need to consider bail. The first arises during the investigative phase, when a claim is lodged against a director with the competent law enforcement authorities. Upon receipt of a complaint, the assigned inquiry officer summons the director for questioning, compiles evidence, and ultimately forwards a prosecution or nonprosecution recommendation to the public prosecutor. Although the public prosecutor retains ultimate discretion to indict an accused director, the police or prosecutor may conclude that pretrial detention is necessary and may therefore apply to the court for an order to hold the director in court custody. The second moment occurs after a criminal case is filed directly with the court. This occurs once a court accepts a criminal case filed by a prosecutor against a director or, alternatively, when the court accepts a case filed by an individual for trial. For cases filed by individuals, the plaintiff presents prima facie evidence at the preliminary hearing, and the court will accept the complaint if it finds sufficient grounds, thereby conferring upon the director the status of a criminal defendant. Upon acceptance of the criminal case, the court then has the inherent authority to order custody pending trial unless the defendant secures bail release. Procedural Considerations Experienced litigants typically prepare bail security in advance and submit a bail petition at the earliest possible time. While there are
Read More
September 4, 2025
On June 6, 2025, the Superior People’s Court in Hanoi overturned a non-use cancellation decision by the Intellectual Property Office of Vietnam, a rare and impactful occurrence. In a ruling that may help clarify the enforcement of Vietnam’s IP Law, the court held that valid trademark use can be established through commercial arrangements where the brand owner maintains actual control over the use of the mark, and is not confined to relationships governed by a so-called “formal license agreement. Background: Cross-Border Use, Local Challenge A Singapore company owns a well-known brand of consumer products that has gained recognition across Southeast Asia. In recent years, the brand has been targeted by several unauthorized trademark filings in Vietnam. In one such instance, a local Vietnamese trading company—previously linked to the production and export of counterfeit goods to neighboring countries—filed a non-use cancellation against the Singapore company’s mark and sought to register it under its own name. If the cancellation had been upheld, it would have enabled a complete hijacking of the brand. The IP holder operates in Vietnam through a structured cross-border supply chain. Under an agreement between two related foreign entities, one of which managed regional operations, production orders were placed through a designated Vietnamese company. While the Vietnamese manufacturer was not a party to the agreement, its role in using the mark was recognized and governed by internal and commercial documentation. The Vietnamese manufacturer lawfully obtained the necessary permits, regulatory approvals, and customs clearances for producing the goods in Vietnam. These activities were supported by banking records and internal communications, evidencing active, continuous use of the mark in Vietnam. However, the IP Office concluded that this use did not meet the statutory criteria because the Vietnamese manufacturer did not have a direct license agreement with the brand owner, as
Read More
August 21, 2025
On August 19, 2025, the Trade Competition Commission of Thailand (TCCT) released its draft Guidelines on the Consideration of Unfair Trade Practices and Conduct Constituting Monopoly, Reducing Competition, or Restricting Competition in Multi-Sided Platform Businesses in the Category of Digital Platforms for the Sale of Goods or Services (E-commerce). A public comment period on the guidelines is open until September 18. The draft provides the first detailed framework for how the TCCT will interpret and enforce the substantive provisions under the Trade Competition Act against digital platforms, which have a unique network effect and require complex competition analysis. This development will profoundly impact the operations of e-commerce platforms, sellers, and associated service providers in Thailand. The guidelines primarily target e-commerce digital platform business operators, which are defined as follows: E-commerce digital platform: A medium facilitating the sale, purchase, or exchange of goods or services, including any operations to create transactions or interactions between business operators via an electronic transaction system, regardless of whether service fees are charged. E-commerce digital platform business operator: A service provider of a digital platform for the sale of goods or services who acts as an intermediary facilitating the sale of goods or services, including any operations to create transactions or interactions through an electronic transaction system by receiving orders for goods or services transacted via an electronic system, whether in the form of an e-marketplace, a social marketplace, or any other form that connects purchase orders for goods or services with business operators through an electronic system. Prohibited Conduct The guidelines classify potentially anticompetitive conduct and unfair trade practices into two categories: price-related and non-price-related conduct. 1. Price-related conduct The TCCT is targeting pricing strategies that can harm competition. Key prohibited behaviors include: Price below cost: Setting prices below the average total cost without
Read More