Taxpayers should pay attention to special allowances granted for 2016

     Food, dining, accommodation and travel with a package tour in Thailand during the Songkran festival, April 9-17, 2016, for actual amount paid (including value-added tax) but not exceeding Bt15,000.
     Purchases of any Otop (One Tambon One Product) items during the period August 1-31, 2016, for actual amount paid (including VAT) not exceeding Bt15,000. 
The products must be registered by the Community Development Department and sold by a VAT registrant. 
 Accommodation and/or tour package in Thailand between January 1 and December 31, 2016, for actual amount paid (including VAT) but not exceeding Bt15,000 and additional allowance up to Bt15,000 (including VAT) for spending during the month of December. 
Therefore the total allowance cannot exceed Bt30,000.
     Goods and services, excluding alcoholic drinks, tobacco, fuel for vehicles, and accommodation, in Thailand from December 14-31, 2016, for actual amount paid (including VAT) but not exceeding Bt15,000.
It is important to have official tax invoices for proof of purchases and spending in order to take advantage of these special tax allowances, since the tax officers will request this. 
With the above special tax allowances granted for 2016, you may be entitled to a tax refund. You should ensure that you have completed a separate section on the tax return for refund request when filing, otherwise you will need to submit a separate application. 
The Revenue Department is encouraging Thai taxpayers to request that their refunds be transferred directly into their bank accounts held in Thailand, since this will expedite the process. 
To do so, you need to register for PromptPay at specific banks in Thailand with your 13-digit Thai tax ID number. 
The right tax form must be used. If you earn exclusive employment income, use 2559 (2016) PND.91. If you earn other income including employment income, use form 2559 PND.90. 
For employment income earned from a regional headquarters, international headquarters or international trading company in Thailand that provides reduced tax rates, use form 2559 (2016) PND.95. 
Since the Revenue Department has the authority to conduct a tax audit for a period of two years (which may be extended to five years from the date of filing the tax return in certain instances), we recommend that a copy of your tax return and all supporting documentation be retained for this period.
There are two ways to file your tax return, and it determines the due date. Paper-based manual filing is due by no later than Friday, March 31, 2017, while electronic filing is due no later than Monday, April 10.
Start gathering all your data and supporting documents for a smooth tax season.

Contributed by Benjamas Kullakattimas and Lynn Tastan, KPMG in Thailand.