On 24 Feb 2016, Thailand Revenue Code Amendment Act (No. 41) was gazetted, amending the Thailand tax evasion law for filing false income tax returns.

This Insight has been updated for the amendment.

Penalty and Surcharge

For filings of false income tax returns, the Revenue Department tax audit officers have the power to adjust the amounts stated in the filed income tax returns, and impose penalty and surcharge as follows:

Penalty

In the case of a tax audit officer adjusting a filed income tax return, a taxpayer is liable to a penalty equal to:

• 100% of the adjusted amount of tax additionally payable.

Surcharge

A taxpayer who fails to pay tax within the specified time for paying tax shall pay a surcharge (interest charge for late payment of tax) of:

• 1.5% for each month or a fraction of a month an amount of tax payable is not paid from the specified time for paying tax to the date the tax is paid.

Punishment

​In addition to the above penalty and surcharge, a Revenue Department tax audit officer also has the power to punish taxpayers filing false income tax returns.

Punishment for Intentionally Avoiding (Evading) Tax

Whoever intentionally avoids a payment of tax or claims a refund of tax* by filing false tax returns, or providing false statements or false answers to questions, or providing false evidence can be punished by:

• Imprisonment for a term of 3 months to 7 years, and/or
• A fine of 2,000 Baht to 200,000 Baht.

* As amended by Revenue Code Amendment Act (No 41) gazetted on 24 Feb 2016

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