More types of instruments available for electronic stamp service

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On August 31, 2021, the Revenue Department (“DR”) Announced notification no. 63 to be revised Notification no. 58 concerning the payment of electronic stamp duty on electronic instruments. Notification No. 63 greatly expands the types of electronic instruments eligible for electronic stamp duty.

Background

  • Stamp duty must be paid on certain documents (“Instruments“) during the execution ;
  • The instruments are defined under the Tax Code and the Electronic Transactions Act 2001;
  • In June and July 2019, the DR published notifications from the Director General of the DR regarding stamp duty (“Notification”) Nos. 58 and 59 which require the payment of stamp duty on certain electronic transactions (“E-Instruments“), using the online payment platform of the Tax Administration (“Electronic stamping“). Details of notifications nos. 58 and 59 can be found on this LINK
  • Notifications nos. 58 and 59 allowed parties to E-Instruments, which had been concluded before December 31, 2020, the possibility of paying the stamp duty using either the Or.Sor.4 form (generally used for hard copies) or Gold .Sor.9 (for E-Instruments) as long as the E-Instrument in question has not been physically executed on paper.
  • In September 2020, the DR published notification no. 60, which allowed stamp duty payments for electronic instruments executed physically and electronically before December 31, 2020 to be stamped through the online payment platforms of the Ministry of Finance using the Or.Sor. 9 form. Details of notification no. 60 can be found at this LINK; and
  • In February 2021, the RD published Notifications nos. 61 and 62 to extend the eligibility for standardization (introduced in Notification No. 60) for physical instruments and E-Instruments executed between September 29, 2020 and December 31, 2021. Details of Notification nos. 61 and 62 can be found on this LINK.

Extension of types of electronic instruments

Previously, electronic stamping was only acceptable for five types of electronic instruments, as prescribed in notification no. 58, as follows:

  1. Labor hire contracts;
  2. Loan agreements or bank overdraft agreements;
  3. Powers of attorney;
  4. Letters of proxy for voting at company meetings; and
  5. Guarantee agreements.

Under Notification no. 63, the DR expanded the types of electronic instruments eligible for electronic stamping as follows:

  1. Rental of land, buildings, other structures or a houseboat;
  2. Transfer of shares, bonds, bonds and debt securities issued by any company, association, group of persons or body;
  3. Rental-purchase of property;
  4. Work rental contract;
  5. Money loan or bank overdraft agreement;
  6. Insurance policy;
  7. Powers of attorney;
  8. Letters of proxy to vote at a company meeting;
  9. Bill of exchange and promissory note, or similar instrument;
  10. Bill of Lading;
  11. Certificate of share or debenture, or certificate of debt issued by any company, association, group of persons or organization, and Bond of any government sold in Thailand;
  12. Check or any written order used in lieu of a check for each instrument;
  13. Receipt for fixed interest-bearing deposit in a bank;
  14. Letter of credit;
  15. traveler’s check;
  16. Receipt of goods from a transport company;
  17. Guarantee agreement;
  18. Pawnbroker loan;
  19. Warehouse reception;
  20. Delivery note;
  21. Agency contract;
  22. Partnership contract ; and
  23. Receipt issued in connection with a sale, sale with the right of repurchase, hire-purchase or transfer of ownership of a vehicle, only if the vehicle is registered in accordance with the law governing that vehicle.

In addition, notification no. 63 also provides that fines and surcharges resulting from late payment of E-Instruments are payable via E-Stamping.

Currently, electronic stamping can be paid for through the DR website or the DR operated API platform, both of which require user registration before use.

Notification No. 63 will apply to E-Instruments executed after the publication date of Notification 63 in the Royal Gazette, which is expected to take place in early October 2021 (e.g. October 5, 2021) as the RD provides to allow users to pay for E-Stamping for additional E-Instruments from October 6, 2021.


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