Thailand cabinet approves draft law on global minimum corporate tax: Sources

Under the new rules being shepherded through by the Organisation for Economic Cooperation and Development, a minimum 15% tax will be charged on multinationals with annual global turnover of more than 750 million euros ($789.6 million), regardless of their location.

Bangkok: Thailand's cabinet on Wednesday approved draft legislation to implement a global minimum corporate tax of 15 per cent on multinational enterprises, according to two sources with direct knowledge of the matter.

Under the new rules being shepherded through by the Organisation for Economic Cooperation and Development (OECD), a minimum 15 per cent tax will be charged on multinationals with annual global turnover of more than 750 million euros ($789.6 million), regardless of their location.

The sources who spoke to Reuters declined to be identified because they were not authorised to speak to media.

Thailand's corporate income tax is currently set at 20 per cent, but it offers a tax exemption of up to 13 years for companies receiving incentives from the Thailand Board of Investment.

Vietnam's parliament last year approved the minimum global tax rate.

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