BANGKOK, 22 October 2025 – PwC Thailand warns that Thailand’s tax and customs landscape is set to become more stringent, as regulatory bodies accelerate major legal reforms in pursuit of OECD membership. Authorities are also adopting advanced technologies and artificial intelligence (AI) to strengthen tax administration and close loopholes that enable modern forms of tax evasion.
Niphan Srisukhumbowornchai, Tax and Legal Lead Partner at PwC Thailand, speaking at the ‘Maximising Shareholder Value’ seminar—part of the annual PwC Thailand’s Symposium 2025, held under the theme ‘From insight to action: Staying ahead of change’—emphasised that Thai businesses must prepare for increasingly rigorous tax compliance audits.
He noted that tax evasion is becoming significantly more difficult following Thailand’s sweeping tax reforms this year, aimed at aligning with global standards as part of its bid to join the Organisation for Economic Co-operation and Development (OECD). The Revenue Department has updated various tax laws to reflect the rapidly evolving international tax landscape.
“Thailand is undergoing a pivotal transition in upgrading its tax system to keep pace with the rapid evolution of global tax standards.
“These changes are driven by advances in digital technology, the expansion of multinational enterprises, and increasing demands for transparency, fairness, and efficiency. As a result, our tax and customs regulations are expected to become significantly more stringent to better align with international norms,” Niphan said.
He added, “Furthermore, the Revenue Department has continuously incorporated new technologies to improve the tax information system. In 2026–2027, the Revenue Department plans to make the issuance of electronic tax invoices mandatory for VAT operators.
“This initiative aims to enhance the efficiency of tax collection processes, monitoring and supervision, as well as auditing and expediting tax refunds in a transparent, fair, and timely manner. Therefore, businesses should begin planning and implementing systems for electronic data collection and tax submission to the Revenue Department to ensure compliance with the new requirements within the specified timeframe,” Niphan said.
In 2025, Thailand initiated the OECD accession process, which requires the country to align its policies with OECD standards across various areas, including tax, trade and investment, and anti-corruption measures.
As part of this effort, the government has modernised its legal framework and regulatory systems to meet the OECD’s high benchmarks. Key developments include the implementation of the Global Minimum Tax, updates to transfer pricing regulations, and enhancements to VAT enforcement, he said.
Elevating tax measures and technology to keep pace with the digital economy
As part of its tax reform and efforts to integrate technology into tax auditing, Thailand has updated its VAT framework for e-commerce and cross-border digital services.
Key changes include the removal of the de minimis VAT exemption for imported goods valued under THB1,500, and stricter enforcement of VAT on electronic services (e-Service). The Revenue Department has ended the temporary extension for overseas e-Service registrants, now requiring VAT filing and payment within clearly defined deadlines, with penalties imposed for late submissions.
Additionally, tax incentives for digital assets have been introduced. These include a five-year exemption on capital gains tax from trading cryptocurrencies and digital tokens through licensed digital asset exchanges in Thailand. VAT is also exempted, while a 15% withholding tax is imposed on certain types of income.
These measures aim to promote the blockchain market and innovation alongside strict regulation aligned with the Financial Action Task Force (FATF) standards. Thailand is also preparing to implement the OECD’s Crypto-Asset Reporting Framework (CARF) to facilitate the international exchange of tax transaction data.
Niphan further explained that Thailand’s tax authorities are leveraging advanced technologies and AI to enhance tax administration. The Revenue Department has partnered with the National Science and Technology Development Agency (NSTDA) and Krungthai Bank Pcl to develop a full-scale AI system capable of analysing taxpayers’ filings in real time. This system enables automatic identification of high-risk or irregular cases.
Meanwhile, the Customs Department has adopted post-clearance audit systems to accelerate import processes while enabling thorough inspections after goods have entered the country. It’s also exploring the use of AI-powered digital tools to improve the accuracy and efficiency of assessments and audits.
Additionally, electronic declarations are now permitted via the National Single Window (NSW) platform for controlled goods, allowing for real-time tracking and classification using the Harmonised System (HS) code.
Businesses advised to prepare for intense tax scrutiny
For Thai businesses and foreign investors, comprehensive tax readiness has become essential amid a tightening domestic tax and customs environment that is increasingly aligned with international standards.
Companies must stay up to date with the latest regulatory changes—whether related to minimum tax filing requirements, transfer pricing documentation, or VAT on digital services. Robust systems for tax compliance and audit readiness are now more critical than ever.
At the same time, Thailand’s efforts to join the OECD are providing businesses with greater clarity on the future direction of the country’s tax system. Companies can expect a continued shift towards more complex and internationally coordinated tax practices, aimed at strengthening regulatory frameworks in line with globally recognised standards.
“The reform of Thailand’s tax system presents both challenges and opportunities for taxpayers. A modern, AI-driven tax administration enables precise monitoring of compliance and marks the end of complex tax avoidance strategies.
“Adapting to this rapidly evolving tax landscape requires diligence, agility, and forward planning—alongside the ability to identify opportunities in a fairer playing field created by closing tax loopholes,” Niphan said.