27 November 2023
Employment Tax
Thailand | Payroll withholding tax return – electronic filing requirement.
Impact High
Summary
The Revenue Department has recently issued DG Notification on income tax no. 438 dated 21 September 2023, stating that the companies are required to submit the payroll withholding tax returns (PND1 and PND1 Gor) via e-filing only starting from 1 January 2024.
If the company is unable to comply with this requirement, the company is then required to submit the justification letter to the Revenue Department
The Detail
This change gives rise to confidentiality concerns as based on the current e-filing process, the ‘company e-filing account’ will be used for both corporate tax and payroll tax filing. Thus, all users (including CIT users) may be able to see the cover of PND1 form – which presents the total income of all employees in the month. In addition, there is a function in the e-filing system that all users will be able to request for a copy of the PND1 and obtain it directly from the Revenue Department.
There is no clear explanation by the Revenue Department whether this issue can be solved i.e., is it possible to limit the access for each function/ each user in the company e-filing account. Once additional information is available we will issue a further bulletin.
Contact us
For a deeper discussion on the above, please reach out to your Vialto Partners point of contact, or alternatively:
Jiraporn Chongkamanont
Partner
jiraporn.chongkamanont@vialto.com
Natchanond Charoenmechaikul
Senior Manager
Natchanond.charoenmechaikul@vialto.com
Further information on Vialto Partners can be found here: www.vialtopartners.com