Revenue Department Urges Temu to Register for Thai Tax System
Deputy Finance Minister Julapun Amornvivat instructed the Revenue Department to urge Chinese e-commerce platform Temu to register for the Thai tax system. Currently, Temu avoids VAT registration due to direct overseas sales without Thai intermediaries. Commerce Minister Phumtham Wechayachai aims to tackle low-cost imports to protect Thai products within legal frameworks.
Deputy Finance Minister Julapun Amornvivat has directed the Revenue Department to reach out to Chinese e-commerce platform Temu, which has recently entered the Thai market, to encourage it to register for the tax system.
Kulaya Tantitemit, the director-general of the Revenue Department, mentioned that they have contacted Temu via email, advising them to register as a taxpayer under Thai law.
Currently, Temu does not meet the legal requirements for VAT registration in Thailand because the platform sells products directly from overseas without involving Thai intermediaries or allowing local businesses to operate stores.
Consequently, it is not subject to the VAT for Electronic Services (VES) applicable to foreign platforms with local operators.
Imported goods from Temu are subject to a 7% VAT for items valued under 1,500 baht.
Should future policies necessitate further action, the Revenue Department is ready.
Commerce Minister Phumtham Wechayachai, along with other key ministries, is addressing the influx of low-cost imports, focusing on potential dumping practices and relevant regulations to protect Thai products without affecting international trade relations, especially with China.
Kulaya Tantitemit, the director-general of the Revenue Department, mentioned that they have contacted Temu via email, advising them to register as a taxpayer under Thai law.
Currently, Temu does not meet the legal requirements for VAT registration in Thailand because the platform sells products directly from overseas without involving Thai intermediaries or allowing local businesses to operate stores.
Consequently, it is not subject to the VAT for Electronic Services (VES) applicable to foreign platforms with local operators.
Imported goods from Temu are subject to a 7% VAT for items valued under 1,500 baht.
Should future policies necessitate further action, the Revenue Department is ready.
Commerce Minister Phumtham Wechayachai, along with other key ministries, is addressing the influx of low-cost imports, focusing on potential dumping practices and relevant regulations to protect Thai products without affecting international trade relations, especially with China.
