Signboard Tax

If you own a business in Thailand and use a signboard then you will need to apply for a signboard license of signboard tax. This could be if you own a hotel or own a restaurant or other venue. This normally is the name of the business. This can be symbols, business name for promotional purposes. Note however that there are exceptions to this tax.

Note that the owner of a signboard is responsible for paying the tax. Likewise if the signboard owner cannot be identified, the possessor of the signboard must pay the tax. If the signboard possessor cannot be identified, the tenant or landlord in whose area the signboard is located is liable to pay the tax accordingly.

1. Late Installation: If there is a late installation say after March. Then there it will need to be paid in installments from the date of installation.

2. Replacement Without Alteration: If a signboard is replaced. As long as the size remains the same as well as the text pictures or marks. In other words a duplicate to replace it. This will not require additional payment.

3. Alteration: Should you make an altering on an already taxed signboard will result in new taxation. The new tax is levied based on the type of signboard. Likewise the payment is required only for the altered part of the sign. Note however that refunding for size reduction is not permitted. Tax for size alteration must be paid within 15 days of setting up or altering the signboard.

Tax Base and Rate:

The Tax is based on the type as well as the size of the signboard. Take the widest and the longest and multiply them to get it in square centimeters.

If there is undefined boundaries, then the last alphabet, picture, or mark of the signboard’s edge is considered for calculation.

Likewise the area between 250 to 500 square centimeters are counted as 500 square centimeters for taxation. Areas less than 250 square centimeters are exempt from taxation.

Firstly for a new signboard, the signboard owner must submit a tax return along with the necessary documents, all bearing the signature of document approval. These required documents are:

1. Likewise the license for building construction permission and receipt for the hire of signboard making.

2. Additionally supply a copy of the House Registration.

3. Lastly also a copy of the Id card, Official Government Card, State Enterprise Employee Card

If the signboard owner is a legal entity, additional documents include a copy of the Certificate of Corporate Registration, Commercial Registration (for traders), and revenue documents such as Por Paw 01, Por Paw 09, and Por Paw 20.

4. Likewise a Power of Attorney if the owner is unable to appear in person.

5. Any other documents suggested by the officer.

For a former signboard, the owner submits the tax return along with a copy of the previous signboard tax receipt, if available. Lastly if the signboard owner is a legal entity, they must attach a copy of the Certificate of Corporate Registration.

1. False Statements or Evasion:

Firstly anyone intentionally providing false statements or evidence to evade tax will face imprisonment of up to 1 year, a fine ranging from 5,000 Baht to 50,000 Baht, or both.

2. Failure to File Tax Returns:

Likewise intentional failure to file tax returns results in a fine ranging from 5,000 Baht to 50,000 Baht.

3. Failure to Display Owner’s Name and Address:

Additionally, failure to display the owner’s name and address in Thai alphabets at the bottom right of a signboard installed on someone else’s property, exceeding 2 square meters in size, incurs a daily fine of 100 Baht until compliance is met.

4. Failure to File Conveyance Information:

Failure to report conveyance information within 30 days of ownership transfer results in a fine ranging from 1,000 Baht to 10,000 Baht.

5. Obstruction of Officials:

Likewise obstructing officials during tax inspections or disobeying summonses for interrogation or document presentation may lead to imprisonment of up to 6 months, a fine ranging from 1,000 Baht to 20,000 Baht, or both.

6. Liability of Legal Entities:

Lastly if a legal entity is found guilty, its managing director, manager, or representative will be held accountable unless they can prove non-involvement or lack of acquiescence in the offense.

1. Failure to File Tax Return:

Likewise failure to file tax returns within the deadline incurs a surcharge of 10% of the tax payable. If the return is filed before the officer notifies of tax evasion, the surcharge is reduced to 5%.

2. Incorrect Tax Return:

Additionally, filing an incorrect tax return resulting in a reduction of the tax payable incurs a surcharge of 10% of the reduced amount. Correction before assessment notification can mitigate the surcharge.

3. Failure to Pay Tax:

Lastly, failure to pay tax within the deadline incurs a monthly surcharge of 2% of the tax payable. Any part of a month is charged as a full month, excluding surcharges in (1) and (2) above.