A draft costs to monitor e-commerce deal reports is going through a 2nd public hearing after the Council of State concluded the vetting process, says a source at the Income Department.The law will enhance the Profits Department’s taxation efficiency as e-commerce services boom, providing a tool for the department to figure out if online suppliers are understating or evading tax payments.The public hearing will run through Sept 15 on the department’s site,
the source said.Under the bill, banks and digital monetary provider will be needed to report deals of client accounts that have more than 3,000 deposits and more than 200 cash transfer transactions a year with a total value of at least 2 million baht to the Earnings Department.The first report is arranged for March 31, 2020 and financial organizations and e-payment company need to send reports every March thereafter.Financial organizations and e-payment operators that fail to report the needed details to the tax-collecting firm within the specified period will go through fines of up
to 100,000 baht, plus 10,000 baht for each day they do not abide by the requirement.If profits officials reveal sensitive information, they undergo approximately one year in jail or an optimum 100,000 baht in fines, or both.The draft likewise empowers the Earnings Department director-general to hang on to the details in
the reports for up to 10 years.Upon completion of the 2nd public hearing, the expense will be given the cabinet once again if substantial changes are made, or forwarded
directly to the National Legal Assembly in case there are no significant changes.The Revenue Department is pushing several taxes and laws to tax digital platforms and online vendors.The cabinet recently authorized a modified Revenue Code related to VAT collection from e-business operators with a physical existence beyond Thailand, while the Revenue Department is drafting a bill on the cancellation of the value-added tax(VAT)exemption for online purchases of goods worth less than 1,500 baht from suppliers outside of Thailand that are shipped by mail.According to the Earnings Department, there are around 500,000 online vendors, which 350,000 are based in Thailand and the rest are foreign-based operators.