What is P.P. 30? Who is required to file the Value Added Tax (VAT) return?

P.P. 30 It is the Value Added Tax (VAT) return form that entrepreneurs or businesses in Thailand must submit to the Revenue Department to report sales, purchases, and VAT incurred each month. P.P. 30 shows information about output tax and input tax. Each form is different, as follows: 

• 1. Output VAT It is the value-added tax collected from customers on the sale of goods and services.
• 2. Input VAT It is the value-added tax paid to suppliers when purchasing goods and services.

Who is required to file P.P. 30?

• Entrepreneurs who are VAT-registered, including businesses with annual sales of goods or services exceeding 1.8 million THB.
• Importers of goods who are required to pay VAT when the goods pass through customs.
• Entrepreneurs who provide services abroad but are used in Thailand.  For example, purchasing online advertising services from abroad.

Filing deadline by which date must it be submitted? 

• P.P. 30 must be filed by the 15th of the following month and can be submitted in either of the following ways: Online. via the Revenue Department’s website, and paper form. at the local Revenue Office.

 Calculation of Value Added Tax (VAT) in P.P. 30.

Teach how to calculate value-added tax (VAT) in form P.P.30 with an easy-to-understand calculation example

How to calculate value-added tax (VAT) in form P.P.30
The calculation of VAT in form P.P.30 considers 2 main parts: 1. Output VAT , 2. Input VAT The calculation method is as follows: 

1. Output VAT

It is the value-added tax collected from customers when selling goods and services, calculated from

2. Input VAT

It is the value-added tax paid to suppliers when purchasing goods and services, which can be deducted from the sales tax.

3. Calculate the tax to be paid or refunded.

Tax payable = Output VAT − Input VAT

Notes and precautions:

• Input VAT can be deducted from Output VAT only for taxes related to the business, such as VAT on the purchase of product costs. VAT on personal expenses cannot be deducted.
• Tax invoices from both sales and purchases must be kept as evidence for filing form P.P.30.

 Q&A: Frequently asked questions about form P.P.30 

FDI has compiled frequently asked questions and answers about form P.P.30 to help readers gain a better understanding. 

Q: If form P.P.30 is filed late, how are the penalties charged?
A: In the case of filing value-added tax (P.P.30) past the deadline 

1. Criminal fine (The fine must be paid in cash only) If the filing is late by no more than 7 days, the fine is 300 baht, and if it is more than 7 days late, the fine is 500 baht. 

2. Surcharge  A surcharge is imposed at a rate of 1.5% per month on the total tax payable (a fraction of a month is counted as a full month), excluding penalties. The surcharge must not exceed the amount of tax. If there is no tax payable, no surcharge is required.

Q: If sales or income do not reach 1.8 million baht, is it necessary to file form P.P.30?
A: If annual sales or income do not reach 1.8 million baht, you may request to cancel VAT registration. However, if you are already registered, you must file form P.P.30 until the registration is canceled.

Q: What should be taken into consideration when calculating tax in form P.P.30?
A: Tax calculation is based on Output VAT, which comes from sales (excluding VAT), and Input VAT paid on purchases of goods and services related to the business, which is deducted from the sales tax.

Q: If VAT is not collected from customers, is it necessary to file form P.P.30?
A: If you are a VAT-registered business, you must file form P.P.30 even if VAT is not collected from customers. However, you can report a "zero" amount if there are no VAT-related transactions.

Q: If form P.P.30 is not filed throughout the year, what are the consequences?
A: If form P.P.30 is not filed within the specified time, interest and fines must be paid. It may affect the business owner's record for future tax approvals or result in an audit by the Revenue Department.

Q: Is it possible to file form P.P.30 online?
A: Form P.P.30 can be filed online through the Revenue Department's website. Filing online is convenient and fast.

Q: What documents need to be kept for filing form P.P.30?
A: Business operators must keep tax invoices (both from sales and purchases) to calculate output and input VAT, as well as copies of other relevant financial documents.

Q: What should be done if input VAT is not deducted from output VAT?
A: If input VAT cannot be deducted from output VAT, form P.P.30 must be filed indicating that no input VAT is deducted, and the full tax from sales must be paid.

Summary of information for form P.P.30

• P.P.30 is a summary document of input and output VAT that business owners must use to file value-added tax with the Revenue Department every month, and it must be done by the 15th of the following month.
• Business owners required to file P.P.30 are those with annual income exceeding 1.8 million baht and who have already registered for value-added tax.

Why must there be? FDI is a tax and accounting consultant. !!

1. Financial and accounting operations are conducted in accordance with standards, accounting principles, and tax laws under the Revenue Code.

2. Helps reduce tax risks, assists in tax planning, and advises on the appropriateness of tax-related investments and correct tax deductions.

3. Organizational financial planning becomes more efficient; in financial and tax planning, it helps taxpayers receive necessary information to make effective investment and financial decisions.

4. Saves time and resources in operations and ensures that operations are carried out more efficiently. 

        FDI provides tax and accounting consulting services, both monthly and annually, supporting every business from the start and covering all aspects in every organization. With expert advice, we are ready to assist all clients professionally in accounting and tax matters. FDI Accounting & Advisory offers comprehensive business consulting—simple, complete, and all in one place!

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