NationThailand-Dec 11
The Thai Cabinet has approved two new laws aimed at implementing a minimum corporate tax rate of 15% in alignment with OECD guidelines.
This significant move involves the endorsement of the Supplementary Tax Act 2 and modifications to the criteria of the Competitiveness Enhancement Fund. The measures are anticipated to generate over 10 billion baht in annual revenue by providing clear guidelines, which are expected to enhance Thailand’s attractiveness to investors. During a Cabinet meeting on Wednesday, details emerged regarding the approval of draft decrees focused on corporate tax reform. The new regulations will enable the collection of taxes from foreign juristic persons investing in Thailand, in accordance with the global minimum tax principles of the Organization of Economic Cooperation for Development (OECD). Deputy Finance Minister Julapun Amornvivat emphasized that the enactment of this tax legislation is crucial for economic stability and does not require extensive prior notification for the public. He assured that procedures for announcement and implementation would be followed promptly.
The global minimum tax is a principle accepted by over 100 countries in accordance with the OECD guidelines. Thailand has seen a rise in inquiries from foreign investors regarding this tax landscape. Julapun noted, “A clear announcement on this measure will enable investors to decide whether to pay taxes in Thailand or in their home countries.” “This measure is considered beneficial as it not only clarifies the investment climate but is also expected to generate additional revenue for the country of more than 10 billion baht per year,” he added. Read more at: https://www.nationthailand.com/business/economy/40044058
