News No.   :  19/2009

Date             :  27 July 2009

Subject        :  The Revenue Department clarifies regulation on tax exemption on interest arising from saving account with representatives from commercial bank.

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                         On 27July 2009, the Revenue Department invited senior representatives from commercial banks to discuss and clarify the Revenue Department regulation on exemption of tax on interest and withholding tax on interest arising from saving accounts ( less than 20,000 baht per year) at the Revenue Department Meeting Room 5.

                         The meeting was organized in concurrent to the release of the Director-General Notification No.181, dated 22 July 2009 concerning income tax. The notification states that commercial banks do not have to withhold tax on interest from saving accounts with aggregate value of less than 20,000 baht. Mr. Vinai Vittavasgarnvej, Director-General, said that, “This tax measure requires individuals who receive interest income from various bank accounts with aggregate value exceeding 20,000 baht to notify their banks to deduct 15% of withholding tax from their interest income.”