One of our accounting clients has asked us about the preparation of inventory report.
Is it mandatory for all Thai companies to prepare the inventory report? Do you provide this service?
Sorry, but we do not prepare inventory movement report for our clients. It is the responsibility of every VAT registered Thai company that produce, import or sell products.
The Revenue Code of the Thai Revenue Department specifies that VAT registrants must not only keep in input VAT and output VAT reports but also stock or goods and inventory records. Since your company sells products, you need to print out and prepare the inventory movement report in the format set by the VAT law (it is like a stock card, each model one report). Even though you never keep stock, you need to prepare this report.
Each model has to have a stock card in the format set by the Thai tax law. Apart from the header of the report, each stock card contains the following columns:
Date, Document Number, Quantity In, Quantity Out, Balance
And when you import it or sell your product, you need to fill out this report within 3 days. If the Revenue Department comes to check your company, they will ask to see this report. And if they see that you do not have it, or it is not correct, they will fine you.