All companies in Thailand must enter into the national e-payment system by 2019, says Finance Minister Apisak Tantivorawong, a move aimed at stemming tax evasion and boosting government revenue.

Large companies must join the system next year, mid-sized firms by 2018, and small companies the following year, he said.

A new law should be formed to aid in enforcement, said Mr Apisak.

Prasong Poontaneat, director-general of the Revenue Department, said big companies are defined as those earning annual revenue of over 500 million baht, mid-sized firms have annual revenue of 30-500 million, and small ones have revenue below 30 million.

Commerce Ministry statistics report 400,000 companies and juristic persons across the country.

The e-payment scheme is designed to transform Thailand from a cash-based society to a cashless one. It will also help the government to stem tax avoidance and provide direct subsidies to low earners and elderly people.

Under the scheme's five modules, Any ID is a system that enables people, even those without a bank account, to transfer money and make payments using a mobile phone and ID.

Other modules include expansion of electronic data capture (EDC) machines to service e-payment and an e-tax system that will allow the Revenue Department to plug all e-payment transactions into its data system to boost efficiency.

Mr Apisak said a trial run of electronic payments under Any ID will be made in September, with individual registration for the scheme open from July 15.

Veerathai Santiprabhob, the central bank governor, said the Commerce Ministry will issue a ministerial regulation requiring newly registered companies to offer EDC services to their clients from next year. The Bank of Thailand is working with commercial banks about e-payment transaction fees, but the rates should not burden consumers and must be on par with those in neighbouring countries, he said.

Source:
courtesy of BANGKOK POST

by Wichit Chantanusornsiri

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