TAX INVOICE minimum info required ?

[JohnnyBKK]

Hello,

 

We are building a new company and our accountant asked us to make sales even if we can't right now.

My idea is to make an invoice to one of my other companies in another country to get some income so the thai accountant would be happy.

My idea is to "rent" computing power to a company of mine in Dubai, I added Tax invoice on the paper, the date, the description of the goods, 7% of VAT as the goods will stay in Thailand, address and tax id of my thai company and address of the Dubai company, what else should I add ? Can I use this as a sale ? The accountant said the thai revenue department wont allow a company with 0 sales.

 

Best regards,

[Stef]

I think that what you plan to do is not correct. There should be no 7% VAT on your tax receipt/invoice if you don't sell a product or service in Thailand.

But you should pay 15% of the invoice amount as withholding tax. For example, the Dubai company issues a USD 1,000 invoice. You pay them USD 1,000 and you pay USD 150 to your tax office in Thailand. You can deduct these USD 150 at the end of the year from your annual corporate income tax if you turn a profit.

A smarter solution may be to do this with another Thai company as the withholding tax for a service is only 3%.