On 28 October 2022, Chandler MHM held a Webinar titled “The Tax Implications of International Secondments”. The presenters from Chandler MHM were Waree Shinsirikul, Wichuda Pongsapan and Supakan Nimmanterdwong. The presenters discussed how to approach secondment arrangements to mitigate tax exposure and best practices for multinational companies revisiting their secondment arrangements. 

Usually services performed by employees under a secondment arrangement would not create any permanent establishment for a foreign company in Thailand, As a result, that foreign company would not be obliged to pay income tax in Thailand. However, if the Thai Revenue Department considers that the secondee is an employee of the foreign company when providing services to the Thai subsidiary, and that the fee is actually a management service fee, the foreign company could be considered to have a permanent establishment in Thailand and therefore be subject to Thai income tax on service fees.

If you would like to contact the presenters please click on the links above. If you would like a copy of the presentation slides please contact our business development marketing communications team at bd@mhm-global.com