Deadlines extended for filing transfer pricing disclosure forms and reports

HLB Thailand Transfer Pricing Team

Thailand’s Ministry of Finance on 25 March issued a notice under the Revenue Code to extend the deadline for companies to file related party disclosure forms for accounting period(s) that began between January 1, 2020 to December 31, 2020.

The deadline for filing has been extended to 30 May 2022. The deadline for filing a disclosure form is normally 150 days after the accounting year end.

This means for example that a company with a 31 December 2020 year end that has not yet filed its disclosure form for that year, now has until 30 May 2022 to file the form and not incur a fine for late filing.

In the same notice the deadline for filing of the form was extended by 8 days in case of online filing if the deadline for filing of the form falls on 23 May to 30 May 2022. Read more about online filing of disclosure forms.

Thailand’s transfer pricing legislation, in effect since 2019, requires companies with Baht 200 million (USD 6M) or more in revenues in an accounting period to file a related party disclosure form with the Revenue Department, disclosing details of their related parties and transactions during the year with related parties.

The first year of reporting in 2020 coincided with the pandemic which led to filing deadline extensions and fine reductions for late filing. The pandemic was also cited as the reason for granting the latest extension deadline.

Country by country reporting deadline extension

As part of the country’s commitment to implement the OECD/G20 BEPS Action Plans, last year the Director-General of the Revenue Department introduced country-by-country reporting, effective for accounting periods commencing on or after 1 January 2021. Read more about Thailand’s country by country reporting rules.

Thailand’s reporting rules are largely based on the model legislation contained in the country-by-country implementation package of the OECD. One exception however was that the report had to be filed with the company’s corporate tax return, which is due for filing within 150 days of the year end, whereas the usual time frame given is 12 months from the close of the financial year.

Following representations made to the Revenue Department, the Ministry of Finance issued a notice under the Revenue Code on 23 December 2021 to extend the filing deadline.

The reporting deadline was extended to 12 months after the  financial year end for Thai headquartered groups and surrogate parent entities appointed to file the report on behalf of the group.

In other cases, companies carrying on business in Thailand will be required to file the report within 60 days if requested by the Revenue Department.

This article first appeared in NME Tax


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