Home
published on 2 May 2018
If taxpayers' transactions do not comply with the arm's length principle, the Revenue Department will have the authority to adjust revenue and expenses to the market price. Taxpayers not complying with the above disclosure requirements will face penalties.
Taxpayers are welladvised to start keeping records regarding the pricing of transactions with affiliates. The pricing should be done in accordance with the departmental instructions No. Paw. 113/2545.
On 1st February 2018, Thailand introduced its new Smart Visa, aimed at attracting highly skilled professionals. The new visa type will be divided into four categories, Talents (T-Visa), Investors (I-Visa), Executives (E-Visa) and Startup (S-Visa). Smart Visa will allow foreigners to work in Thailand without the requirement of obtaining a work permit. It can also be valid up to 4 years (T, I and E). Additonally, holders of the Smart Visa only have to report to the immigration authorities once a year instead of every 90 days, and a reentry permit will no longer be required. Spouses and children will be granted the same privileges as the holder (especially the right to work in Thailand).
Applicants have to work in a targeted industry: automotive, intelligent electronics, tourism and health tourism, agriculture and biotechnology, food processing, robotics, aviation industry and logistics, biofuel and bio-chemical industries, digital industry and comprehensive medical industry.
It remains to be seen how the authorities will handle Smart Visa applications. However, foreigners planning to do business in one of the targeted industries should assess whether they are eligible for a Smart Visa.
The Department of Foreign Trade of Thailand announced electronic filing of Form D starting 1 January 2018. Form D is a certificate of origin necessary for preferential treatment of goods under the ASEAN Trade in Goods Agreement (ATIGA).
The electronic filing of Form D is part of a broader strategy to facilitate trade and regional integration in ASEAN. The goal is to create an ASEAN Single Window to speed up the cargo clearance process by exchanging relevant information electronically.
Countries initially taking part in the new e-Form D are Indonesia, Malaysia, Singapore, Thailand and Vietnam. The remaining ASEAN states are expected to implement the Form after successful introduction by the initiating countries.
Philip Ende
Partner
Send inquiry