For tax refundable, we would like to inform again that the officer has authority to assess tax from these expenses ( when they random check your company or their checking for tax refundable ) if the company’s clarification could not make them believe. However, apart from the paying to director and related persons, the company can dispose profit out of Thailand as “dividend payment” to company’s shareholders ( withholding tax rate at 15 %) which it does not make the net loss in income statement or more expenses. Can we once declare the dividend but physically, we do not take the money out yet? If we declare dividend and don’t take the money out, do we still need to pay the 15% withholding tax? The withholding tax must be paid in cash or just a note for accounting purposes?
Panwa : Please note that if company declare dividend payment, it cannot make memo only and cannot pay by cash because the company’s cash is the actual amount, so, maybe should record paying by “loan from director”(it will make this account higher). However, the foreigner shareholders still should deduct withholding tax at 10% (if he/she stay in Thailand less than 180 days). Anyway, we have taxation services related to individual tax and company tax click here.
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Phone : +66 2 933 9000
Fax: +66 2 933 6120