BANGKOK, June 10 (TNA) — The cabinet on Tuesday endorsed an e-service bill that will require foreign-based online platform operators to pay the value-added tax in Thailand.
Deputy government spokesperson Ratchada Thanadirek said the Finance Ministry proposed the bill as foreign-based operators were generating more revenue in Thailand but did not have to pay VAT.
Their services were growing in the country thanks to more demand from local users who, for example, watched movies, listened to streaming music and played games provided by foreign operators through application software and websites, she said.
The bill would allow the Revenue Department to collect VAT from foreign operators and that would be fair to local operators, Ms Ratchada said.
VAT would be collected from foreign-based operators that earned more than 1.8 million baht a year each from their business in the country. The bill already underwent public hearings and was scrutinized by the Council of State. The government would submit it to the House of Representatives for its passage, the deputy government spokesperson said.
The Revenue Department was likely to collect about 3 billion baht worth of VAT yearly from such operators, she said. (TNA)
