Thailand government approves draft legislation on digital tax

Thailand approves draft legislation that would impose 7% Value Added Tax (VAT) on foreign digital companies. The bill will require non-resident digital companies or platforms that earn more than 1.8 million baht ($ 57,434.59) per year on digital services in the country to pay VAT. 7% on sales. However, to be enforced, the bill requires approval from Thailand’s parliament through vote. This tax adoption by Thailand government is the latest push for digital tax in Southeast Asia, after Indonesia and the Philippines last month.