Junta to tax foreign online shopping platforms

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buksida
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Junta to tax foreign online shopping platforms

Post by buksida » Wed Jul 18, 2018 12:19 am

The Cabinet on Tuesday gave a green light to collect 7-per-cent value added tax from foreign vendors and e-commerce platforms, Government Spokesman Maj-General Sansern Kaewkamnerd said.

The VAT will be applied to both those who sell goods and services on Internet platforms and those who operate such platforms, such as Google, Amazon and Alibaba.

Under the draft bill, foreign businesses in the two groups will have to register their tax compliance with the Revenue Department, the spokesman said.

The government will now forward the draft bill to the Council of State – the government’s legal advisory body – after which it will be submitted to the National Legislative Assembly for debate, Sansern added.

Source: http://www.nationmultimedia.com/detail/ ... s/30350256
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Re: Junta to tax foreign online shopping platforms

Post by PeteC » Wed Jul 18, 2018 1:16 am

Do any foreign Christmas shopping early! Pete :cheers:
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Re: Junta to tax foreign online shopping platforms

Post by handdrummer » Wed Jul 18, 2018 5:35 am

Every day there's another reason to dislike living here.

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Re: Junta to tax foreign online shopping platforms

Post by Takiap » Wed Jul 18, 2018 6:41 am

I can really see how this will work. Amazon for example has no official Thai web presence, and to the best of my knowledge, not warehouses here either. Thai or expats buying on amazon.com are buying from an American company on an American website. Any tax paid by Amazon would need to be paid to the US government rather than the Thai government.
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Re: Junta to tax foreign online shopping platforms

Post by PeteC » Wed Jul 18, 2018 7:01 am

With Amazon from the US I don't think things will change much. Now when you purchase they at the same time charge for shipping and anticipated Thai Customs and Tax which I assume is the 7% Vat. If they charge too much you get a refund and they are very good and prompt issuing that. A buyer would never know but they seem to be honest about it.

I can't see at the moment what they'll do differently, and it seems to me it's just taking a burden off of Customs as they won't have to do the additional check to assure if the 7% has been withheld as it will be become automatic through a different department....Maybe? :? Pete :cheers:
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Re: Junta to tax foreign online shopping platforms

Post by PeteC » Wed Jul 18, 2018 7:18 am

I remember one thing very clearly that burns my chops and that is when you buy something and the seller/carrier has to pay VAT, the Thai gov charges the 7% not only on the cost of the product but on the shipping cost as well. :banghead: Pete :cheers:
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Re: Junta to tax foreign online shopping platforms

Post by STEVE G » Wed Jul 18, 2018 7:56 am

This is starting to happen everywhere, New Zealand just announced a similar law and in America, internet sellers are going to be responsible for charging State taxes wherever they're from.
http://www.stuff.co.nz/business/industr ... e-shopping

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Re: Junta to tax foreign online shopping platforms

Post by Takiap » Wed Jul 18, 2018 10:37 am

What I can't seem to justify/get my head around, is if a Thai person travels to the US for example, they are obviously going to spend money there. Should all those shops, hotels and etc be made to pay tax in Thailand based on the amount of money Thai people spent at those businesses. Obviously not, but what is actually the difference if you visit an online store in the US via the internet?

You have essentially traveled to the US via cyberspace and purchased something in the US. The seller/business is already taxed on their income. I just don't think it is fair that people, companies or otherwise, are taxed twice. If you order something from overseas, then in my mind, it is Thailand's responsibility to make sure you the buyer pays whatever import duties are due.

At the end of the day, big businesses are not going to lose even one penny. Instead, it will be the consumers who are forced to pay higher prices in order to prop up corrupt and shamelessly greedy governments.


Hahahaha, Rant Over. :D
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