Month: October 2007

The Deposit Protection Agency (DPA) Act is now deliberated in Thai Parliament after the Cabinet approved the bill on August 28, 2007. The main points of this bill are as follows : To set up the DPA to be a juristic person. To set up the deposit protection fund. To set rules and regulations of reimbursement. To ensure that the DPA reimburses financial institution’s client in case of default. To set up penalties for non compliant institutions or persons that use symbols to identify their business that they are covered under this act. The Finance Ministry is intent on passing the bill during the current government’s term for fear that an elected government would lack the political will to do so. ”If this government does not pass the law, an elected one may never do so for fear of losing […]

The VAT rate in  Thai Revenue Code is 10 %,but the finance ministry issued royal decree reduce the rate to 7 % (6.3+local tax 10%) from time to time until now,the last one is  Royal Decree 465 released by the Revenue Department on September 3, 2007,extend the reduced rate of  7 %  until September 30,2008. If no new royal decree issue to extend such rate,then the VAT rate will increase from 7% to 10% on October 1, 2008.There are informal news from the Revenue Department that under the present economic situation,the old 7% VAT rate shoulde be extended to another one year.