The cabinet passed two draft ministerial regulations on Thai-US tax information exchange.

The Deputy Spokesperson of the Prime Minister’s Office reveals that the Cabinet has passed two draft ministerial regulations on the exchange of Thai-US tax information. Prevention of international tax evasion

Today (25 January), Ms. Ratchada Thanadirek, Deputy Spokesperson of the Office of the Prime Minister The results of the meeting of the Cabinet (Cabinet) on January 24, 2023 revealed that the Cabinet approved the draft Ministerial Regulation No.. (BE ….) issued under the Operations Act . By agreement between the Government of the Kingdom of Thailand and the Government of the United States of America for cooperation to improve compliance with international taxation BE 2560, a total of 2 copies as proposed by the Ministry of Finance Issuing rules to reporters and officials for compliance with tax information exchange agreements.

In 2016, Thailand signed an agreement between the Thai government and the US government for cooperation to improve international tax compliance and the implementation of FATCA (Foreign Account Tax Compliance Act) of the United States of America To prevent tax evasion in international financial transactions. Thailand therefore promulgated the Act on the Implementation of the Agreement between the Government of the Kingdom of Thailand and the Government of the United States of America for Cooperation to Improve International Taxation Compliance BE 2560 as a law to support the obligations under the Agreement. according to FATCA by prescribing criteria for the collection and submission of information to officials Therefore, the Ministry of Finance has drafted 2 ministerial regulations issued under the Act. The details are as follows:
The first issue is a draft ministerial regulation which prescribes rules, procedures and conditions for the reporter to collect and submit the reportable information to the competent authority BE Collect information and submit it to the Minister of Finance or his authorized representative. Including the duty to store information for audit purposes as follows:

1. Determine the duties of the person responsible for reporting. by collecting the information that must be reported to authorized authorities such as financial account information, tax information must be reported such as 1) name, address and US tin (US person tax identification number), 2) account number , 3) or Thai financial institution identification number, etc.
Person responsible for reporting
2. Person responsible for reporting Information must be submitted by June of the following year. from the last day of the calendar year in which the reporting information was acquired
3. Submission of information is considered complete. When the Thai authorities have approved and submitted the data through the IDES (International Data Exchange Service) system.
4. The person responsible for reporting must keep the customer’s information and documentary evidence for at least 6 years from the year the information was received.
The second issue is a draft ministerial regulation prescribing criteria and procedures for applying for a certificate of status as a person with a duty to report, BE Applying for a certificate of status as a person responsible for reporting Timetable for submitting an application and the procedure for considering the status of the person with the duty to report is as follows:

1. Eligible person to apply He must be a person or a legal person with a duty to report according to Act on the Compliance of the Agreement between the Government of the Kingdom of Thailand and the Government of the United States of America BE 2560, namely 1) Financial Institutions 2) securities company 3) Life Insurance Company 4) Non-life insurance company 5) Derivatives business operator 6) Custodians by law on escrow 7) Credit card business operators and individuals carrying on a securities depository business or carrying on a related business with investing
2. Submit an application for a certificate of status and supporting documents as required. through the website of the Department of Revenue
3. Establish a committee to consider the status certificate. by the appointed Finance Minister The powers and duties are: 1) to consider applications to issue a certificate of status 2) To give opinions and advice to competent officers.

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