The Revenue Department admits that Timo is not registered in Thailand. He is not eligible to pay taxes and Bumidham does not want to retaliate against China. He fears that this will affect exports

Yesterday, August 9, 2024, Mr. Phumttam Wechayachai, Deputy Prime Minister and Minister of Commerce, on the issue of dumping of Chinese products, the Ministry of Commerce, led by the Permanent Secretary of the Ministry of Commerce, is leading meetings with relevant agencies. Including the Ministry of Finance by the Customs Department, the Revenue Department responsible for imports and taxes, the Ministry of Digital Economy and Society or DE, responsible for various platforms, the Ministry of Industry responsible for product standards. And the Ministry of Public Health, the supervisor of the Food and Drug Administration standards, to find a solution to the problem of importing substandard and cheap products that are flooding into the country in large numbers through e-commerce and various inspection points to see if what is happening is dumping or not. What are the rules? Including WTO standards

By emphasizing the guidelines for protecting Thai products based on existing laws. Don't focus on retaliation. Because it is acceptable that it will affect international trade relations, as Thailand exports agricultural products to China. However, I discussed the matter privately with the Chinese ambassador to Thailand. The Chinese ambassador also expressed his concern and willingness to find a joint solution. Being willing to say that China will invade Thailand or that Thailand will invade China is the trend of international trade in the modern world. China has the right to enter. Thailand also has the duty to protect itself. If it rises up and resists, China will block trade, and China may also block Thailand. International trade will not happen.

Ms. Kollaya Tantimit, director general of the Department of Revenue, said that the Department of Revenue had sent an email to Temu to inform them whether Temu met the criteria required to pay Thai taxes. It must be legally present and registered. However, it was not disclosed whether Temu had responded.

However, typically, an e-commerce platform that the Revenue Department can collect taxes must be a platform registered as a VAT operator in Thailand. There are currently more than 180 companies in the system, able to collect more than 6,000 million baht in VAT and must have Thai merchants to deal with that platform. Various operating fees such as commissions are collected. The Revenue Department will also collect 7% VAT on Thai merchants, but Temu does not yet fall into this category. That is, it does not have a settlement office in Thailand. It does not trade with sellers in Thailand, although it has been found that there are people who buy products from Temu in large quantities or frequently and it cannot be assumed that they are purchased for resale.

In the case of Chinese businessmen setting up shop in Thailand, it is up to the Ministry of Commerce to inspect business licenses. But the Revenue Department has sent officials to explain and understand how to enter the tax system correctly. But it is not a disclosure feature. However, it is acknowledged that there are complaints of foreigners continuing to set up businesses in Thailand, which the Revenue Department has investigated separately and coordinated with relevant agencies to take action under the authority of the law in each agency. Usually, sending a letter to remind businesses to enter the current tax system is successful in half of all clarifications.

Watch on YouTube: https://youtu.be/CS3fW77hZ3g