Thailand: Proposed specific business tax on income from securities trading via stock markets
A draft Royal Decree to impose a specific business tax on income from securities trading via stock markets approved
Proposed specific business tax on income from securities trading via stock markets
The Thai Cabinet approved a draft Royal Decree to impose a specific business tax (SBT) on income from securities trading via stock markets.
The Royal Decree has not yet been promulgated.
A selection of key points and tax implications of the proposed law are summarized below:
Transactions subject to SBT
|Sales of securities through stock markets. An exemption will only be applicable to the sales of securities made by the following sellers:
Types of securities under SBT scope
|Securities registered in the stock markets which are:
Persons liable for SBT
The person liable for SBT is the seller. The seller’s broker, as an agent of the seller, is required to deduct SBT from the sale proceeds and file the SBT return (Form PT.40) to remit SBT to the tax authorities under its own name on behalf of the seller. The seller is not required to file the SBT return.
It should be noted that under Section 91/9 of the TRC, the broker shall also be deemed a person liable to SBT.
Revenue derived from the stock trading (before expenses)
Read a December 2022 report prepared by the KPMG member firm in Thailand
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