e-Withholding Tax system is a new service of the Revenue Department that listens to the needs of those in the process of reporting the amount of tax withheld, both the person liable to withhold tax and the taxpayer from whom tax is withheld.
The system uses information technology designed and developed to integrate with financial technologies for greater ease and convenience. It reduces steps in the process for all relevant parties employing the Revenue Department’s D2RIVE strategy and new normal policy which every sector, business operator, and individual globally must comply with.
The new e-Withholding Tax system manages withholding tax completely in one step. As an electronic medium service that meets international standards of security, it is an alternative way to cover the withholding tax steps in what has been a daunting process and makes the system shorter and more pleasant. Expense on messengers and printing are therefore avoided. Moreover, the documents according to Section 50 Bis are digitised and so not easily lost. It also promotes transparency with its channel to check evidence at the Revenue Department website www.rd.go.th 24 hours without having to keep physical documents.
Taxpayers who are responsible for filing withholding tax can use the e-filing system.
Although filling withholding tax returns via internet is easy, using the e-Withholding Tax system is easier. In addition, the rates for taxpayers from whom tax is withheld via e-Withholding Tax are automatically reduced from 3% to 2% (1 October 2020 – 31 December 2021) as part of tax measures to help those affected by COVID-19 by increasing financial liquidity.
The Revenue Department is now open for applications from financial institutions interested in becoming e-Withholding Tax service providers of e-Withholding Tax. Financial institutions service systems are being examined to ensure international standards of accuracy and security, in preparation for becoming new normal entrepreneurs. Taxpayers can decide to use the service through a financial institution qualified by the Revenue Department from the list to be announced at www.rd.go.th from August 2020.
For further information, please contact the RD Intelligence Center at 1161.
Ministry of Finance’s Vision: “Being Fiscal and Economic Pillar for Sustainable Development” By Division of Information, Office of the Permanent Secretary