On 08 Nov 2021, Thailand Revenue Code Amendment Act (No. 54) BE 2564 was gazetted for providing the Director-General of Revenue with the powers for the Multilateral Convention for Exchange of Information (EOI).

This Insight summarizes the prescriptions in the Amendment Act.

Multilateral Convention for Exchange of Information

On 3 June 2020 Thailand joined the international efforts against tax evasion by signing the Multilateral Convention on Mutual Administrative Assistance in Tax Matters (the Convention), the 137th country to do so.

The Convention was developed jointly by the OECD and Council of Europe as a comprehensive multilateral instrument for countries to engage in exchange of information and other assistance to tackle intentional tax evasion, including:

• Automatic exchange of information,
  
• Exchange of information on request,
• Participation in tax examinations abroad, and
• Assistance with serving of assessments and collection of taxes, etc.

Thailand's Revenue Code Amendment Act (No 54)

The Convention requires the enactment of various domestic legislation and the Revenue Code Amendment Act (No 54) 2564 gazetted on 08 Nov 2021 is the 1st domestic tax legislation enacted, prescribing as follows:

Applicability

From and including 09 Nov 2021.

The Laws

As enacted under Section 10 ter of the Revenue Code:

1. The Director-General of Revenue or his designated representative as the competent authority under an agreement or convention for avoidance of double taxation and prevention of fiscal evasion that the government of Thailand has entered into or will enter into with foreign governments is authorized to exchange information, which is acquired by official means, with the competent authorities of foreign countries;
2. In the case of an agreement between the Thai Economic and Trade Office and a foreign country Economic and Trade Office, the Director-General of Revenue has the same power as prescribed in paragraph one;
3. ​In the case of other agreement between the Thai Government and foreign countries In which there is a provision for exchange of information for the prevention of fiscal evasion the Director-General of Revenue has power to exchange the prescribed information; and
4. The information that's exchanged shall be in accordance with regulations that are consistent with obligations under agreements or conventions.

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