A former chairman of Baker McKenzie, an international law firm with offices in Thailand and a member of the National Reform Council has come out strongly against a recent move by the Revenue Department to change a 38-year regulation applicable to foreigners with overseas income on several grounds including the legality of the order and its broader impact on the Thai economy moving forward.
Top lawyer and former member of the National Reform Council, along with others, calls for a new Revenue Code and for Thailand to compete with World tax havens such as Singapore and Hong Kong. They condemn the current move as a backwards step for the country and its tired economy.
A former Chairman of a prestigious international law firm in Bangkok has warned that a new taxation directive issued by the Revenue Department targeting foreign income sources faces a legal challenge and will create more reporting obligations and confusion.
The order published on September 15 2023, altering a 38-year-old interpretation, is a definite step by the government to widen the tax base, meaning more significant reporting requirements, at the very least for expats living in Thailand. Kitipong Urapeepattanapong, along with other legal experts, including a Supreme Court judge, is calling on the Thai government to overhaul the tax system thoroughly to make it competitive with Hong Kong and Singapore.
Former Chairman of Baker McKenzie in Thailand, Mr Kitipong Urapeepattanapong, warns that the September directive issued by the Revenue Department, rescinding a previous legal interpretation that stood for 38 years, means more reporting for foreign residents and Thai nationals investing abroad as well as confusion. He predicts taxpayers will challenge the new measure in court. Along with other experts and even a former Supreme Court judge, the top legal practitioner cites the move as a retrograde one for the economy.
Full story: Thai Examiner
