Initially proposed four years ago, Thailand’s new Value Added Tax (VAT) rule for nonresident providers of electronic or digital services (so-called “e-services” under Thai law) to non-VAT registrants in Thailand was passed into law in February 2021 and will apply from 1 September 2021.
The rule is broadly similar to the rules introduced in Singapore (Goods and Services Tax or GST), Malaysia (Services Tax) and Indonesia (VAT) in 2020.
Its principal objective is to generate additional tax revenue and to create a level playing field for Thai-based providers of e-services.
Source: EY
