Exact Globe

Product Updates 410 and 409: VAT reporting functionality updated (Thai legislation)

Previously, information such as the head office, branch number, and tax identification number for both the debtors and creditors were required to be printed on the invoices and VAT reports from 2014 onwards. For more information, see Product Updates 407, 406, and 405: New requirements added to VAT from year 2014 onwards (Thai legislation).

In this product update, the default option for the Head office/Branch no. field has been reset to Head office.

VAT reports screen realigned (via Finance ? VAT/Statistics ? VAT reports)

In line with the latest tax requirements in Thailand, additional criteria have been added and existing ones restructured in the VAT reports screen. The Financial year, Frequency, and Period fields in the Return section are existing fields repositioned from the Date filter section. The values specified in these fields will be displayed in the header of the VAT reports to be submitted to the tax authorities.

In the Date filter section, when you select the Date or Reporting date option at Range, the default date range will be prefilled with the values extracted from the financial period in the Return section. You may redefine the date range manually. Transactions within the specified date range will be included in the VAT reports.

However, if you want to include transactions with VAT terms assigned to the selected VAT return period, select the newly added option, Return period at Range. When you select this option, the date range will be disabled. You can select the return period by clicking   at Return period. The browser displays only return periods that have been preassigned to the VAT terms via Finance ? VAT / Statistics ? VAT overview.

Further enhancement on the VAT reports

The VAT reporting system has been extended to register the same information such as the head office, branch number, name, and VAT number of both the debtors and creditors for service items in the VAT return. Previously, sales or purchase entries for service items were initially held in a suspense account. The VAT amounts for the service items were officially booked to the VAT to claim or VAT to pay general ledger only after the invoices were paid. For more information, see Batch 360: Thai Withholding Tax and Tax Invoices.

Hence, with the enhancement, the head office or branch code and the VAT code of the debtors and creditors for the service item entries will be included in the VAT reports after the invoices are paid, as shown in the following example:

Similarly to the tax suspense account for the service items, the same enhancement has been applied to sales and purchase entries involving cash-based VAT codes under the Flexible VAT system. After the sales or purchase entries have been paid, the VAT amounts will be reversed from the suspense account and booked to the actual VAT to claim or VAT to pay general ledger. The required information such as head office, branch number, name, and VAT number of both the debtors and creditors will be included in the VAT reports, along with the VAT amounts.