Srettha calls for probe into operations of China’s Temu e-commerce platform

SUNDAY, AUGUST 04, 2024

PM concerned about company repatriating profits without paying taxes in Thailand

Prime Minister Srettha Thavisin on Saturday said he had asked authorities to look into Chinese e-commerce platform Temu entering the Thai market, as well as other global markets. 

Speaking during his visit to Narathiwat, he expressed worries that profits might be repatriated to China without paying taxes in Thailand. To address this issue, he has instructed the Revenue Department and the Ministry of Digital Economy and Society (DES) to investigate, emphasising that these issues are significant due to rapid technological advancements, and Thailand must stay prepared.

Regarding measures to prevent market encroachment in Thailand, Srettha said that businesses operating in the country must pay local taxes, and adhere strictly to the law to ensure tax compliance.

He mentioned ongoing investigations directed by the DES, the Royal Thai Police and the Revenue Department, highlighting the importance of continuous discussions on the matter. He referred to the tax exemption on goods valued under 1,500 baht as part of the problem, noting that it affected small and medium-sized enterprises, which were a vulnerable sector needing protection.

 

When asked about the involvement of government officials in such matters, the PM asserted that decisive legal action will be taken where there was proof, while ensuring fairness to the civil servants involved.