VAT Registration

Register correctly and prepare your tax-document system before issuing tax invoices

VAT registration is more than submitting form Por.Por.01. It marks the beginning of recurring tax-invoicing, reporting, record-keeping, and monthly filing obligations.

A business should review its activities, taxable revenue, place of business, VAT-effective date, invoicing process, and input-tax documents before applying.

Late registration, issuing tax invoices before authorisation, or incorrectly claiming input tax may result in retrospective tax, surcharges, and penalties.

Taxpoint provides VAT eligibility reviews, document preparation, application assistance, and initial guidance on the obligations that begin after the VAT registration certificate, Por.Por.20, becomes effective.

What is Value Added Tax?

Value Added Tax, or VAT, is an indirect tax imposed on taxable sales of goods, provision of services, and importation of goods under Thai tax law.

A VAT-registered operator generally collects VAT from customers as output tax. VAT paid to other registered operators may qualify as input tax when the purchase relates to the taxable business and is supported by legally valid documentation.

The general calculation is:

Output VAT − deductible input VAT = VAT payable or tax credit

Thailand currently applies a general VAT collection rate of 7%, including local tax. The applicable rate should be confirmed on the date the transaction occurs.

Who is required to register for VAT?

A person regularly selling taxable goods or providing taxable services in the course of a business or profession may be required to register, including:

• Individuals

• Unincorporated bodies of persons

• Unregistered ordinary partnerships

• Registered or limited partnerships

• Private limited companies

• Other juristic persons

• Online and e-commerce businesses

When annual revenue from activities subject to VAT exceeds THB 1.8 million, the operator must generally submit a VAT registration application within 30 days from the date the threshold is exceeded.

The relevant revenue must be considered under VAT tax-point and tax-base rules. It should not always be determined solely from cash received in a bank account.

Can a business register voluntarily below THB 1.8 million?

A business carrying out activities subject to VAT may be able to register voluntarily even when its annual revenue does not exceed THB 1.8 million.

Certain exempt businesses may also elect to enter the VAT system by submitting form Por.Por.01.1 with form Por.Por.01. However, not every exempt activity has the right to make this election, so the activity must be reviewed before applying.

Voluntary registration may be suitable where:

• Most customers are VAT-registered companies

• Customers require full tax invoices

• The business incurs significant VAT-bearing investment or operating expenses

• Revenue is expected to exceed the threshold soon

• The business wants to establish its accounting and tax system from the beginning

Voluntary registration also creates ongoing compliance obligations. Pricing, input-tax entitlement, administrative work, and monthly filing costs should be considered before making the decision.

Activities that may be exempt from VAT

Exceeding THB 1.8 million does not automatically require every business to register. Thai tax law exempts certain goods and services.

Examples that may be exempt subject to statutory conditions include:

• Certain agricultural products

• Certain animals, fertilisers, animal feed, and related products

• Medical services provided by qualifying licensed healthcare establishments

• Qualifying educational services

• Certain domestic transportation services

• Newspapers, magazines, and textbooks

• Certain professional services specified by law

The exemption depends on the actual products, services, licences, and method of operation. The business name or registered objectives alone are not sufficient to determine VAT treatment.

Should your business register voluntarily?

Consider at least four areas before applying.

1. Type of goods or services

Determine whether the business is taxable, exempt, or has both taxable and exempt income.

2. Customer profile

VAT may affect consumer-facing prices. Business customers registered for VAT, however, may require valid tax invoices to claim input tax.

3. Input tax

A business investing in equipment, goods, or professional services may benefit from deductible input tax, subject to the legal restrictions and documentation requirements.

4. Document readiness

The business must be able to issue tax invoices, maintain VAT reports, retain supporting records, and file monthly returns accurately.

VAT registration channels

There are two principal application channels.

1. Online application

An application may be submitted through the Revenue Department’s online service with information about the operator, business activities, place of business, and proposed VAT-effective date.

The Revenue Department may request further documents or verify the place of business.

2. Paper application

Form Por.Por.01 and its supporting documents may be filed with the registration unit responsible for the place of business, normally the competent Area Revenue Branch Office.

Where the operator has multiple establishments, the filing arrangements and branch information should be reviewed according to the Revenue Department’s rules.

Documents commonly required

The documents depend on the applicant and place of business. They commonly include:

• VAT registration application, form Por.Por.01

• Election form Por.Por.01.1, where required

• Identification documents of the proprietor or directors

• Company certificate and incorporation documents

• Evidence of ownership of the premises

• Lease agreement identifying the property owner

• Letter consenting to use the premises where no rent is charged

• Identification and ownership documents of the landlord or consenting owner

• Location map

• Photographs of the premises and business signage

• Condominium juristic-person confirmation where applicable

• Stamped power of attorney if another person files the application

• Additional documents for foreign or specially regulated businesses

Original documents should be available for inspection. Names, addresses, unit numbers, branch information, and other details should be consistent across all documents.

Taxpoint’s VAT registration process

Step 1: Review the business activity

We review whether the goods or services are taxable, exempt, or eligible for voluntary registration.

Step 2: Review revenue and deadlines

We identify when taxable revenue exceeded THB 1.8 million and determine the applicable registration deadline.

Step 3: Review the place of business

We review the lease, owner’s consent, ownership documents, map, photographs, and signage.

Step 4: Prepare and submit the application

We prepare form Por.Por.01 and related documents and submit them through the appropriate channel.

Step 5: Coordinate and follow up

We follow up on the application, assist where further information is requested, and review the information shown on the Por.Por.20 certificate.

Step 6: Provide initial post-registration guidance

We explain the VAT-effective date, tax invoices, statutory reports, and the monthly Por.Por.30 filing obligation.

Obligations after receiving Por.Por.20

Once VAT registration becomes effective, the business should:

• Charge VAT from the applicable tax point

• Issue legally compliant tax invoices

• State the correct name, address, tax identification number, and branch

• Maintain an output-tax report

• Maintain an input-tax report

• Maintain an inventory and raw-material report where goods are sold

• Verify tax invoices before claiming input tax

• File Por.Por.30 every month, even when there are no sales or services

• Pay VAT by the deadline where output tax exceeds deductible input tax

• Retain tax invoices, reports, and supporting documents

• Notify the Revenue Department of significant registration changes

Paper Por.Por.30 returns are generally due by the 15th day of the following month. Online filers should verify the applicable deadline through the Revenue Department’s current tax calendar.

Common VAT mistakes

• Registering more than 30 days after exceeding the threshold

• Charging VAT or issuing tax invoices before the effective date

• Failing to file Por.Por.30 during a month with no revenue

• Showing an incorrect name, address, or branch on tax invoices

• Treating an ordinary receipt as a tax invoice

• Claiming prohibited input tax

• Recording input or output tax in the wrong month

• Failing to notify changes to the place of business

• Maintaining incomplete or inaccessible records

Establishing a proper document system from the first VAT-effective date greatly reduces future compliance risk.

Service fee

Our standard VAT registration service fee is THB 2,500.

The standard scope includes an initial document review, application preparation, registration filing, and follow-up for an ordinary application.

Multiple branches, restricted premises, incomplete documents, foreign businesses, or specialised tax issues may require a separate scope assessment.

Frequently asked questions

Is registration required when revenue equals exactly THB 1.8 million?

The published threshold applies when taxable annual revenue exceeds THB 1.8 million. The obligation generally arises once revenue goes above that amount.

Can a business register below the threshold?

An eligible taxable business may register voluntarily. The effects on pricing, input tax, and monthly compliance should be reviewed first.

When should the business start charging 7% VAT?

The business should begin complying as a VAT-registered operator from the effective date stated on its Por.Por.20 certificate. It should not issue tax invoices before it has the legal right to do so.

Must Por.Por.30 be filed when there is no revenue?

Yes. A registered operator must file the monthly return even when there are no sales or services during that tax month.

Can a home or condominium be used as the place of business?

This depends on the right to use the property, owner’s consent, lease terms, building rules, and actual use. A condominium may require confirmation that the relevant space may legally be used for commercial purposes.

How long does registration take?

Timing depends on document completeness, verification of the place of business, and the Revenue Department’s review. Tax invoices should not be issued until the approved effective date is confirmed.

Register correctly from the beginning

A sound VAT registration begins by confirming whether the business is required or entitled to register and preparing a genuine, properly documented place of business.

Let Taxpoint review your documents, manage the application, and provide initial guidance after Por.Por.20 so that your business can enter the VAT system with confidence.

Contact us for a free initial consultation before making your decision.