Editor’s Talk

Editor's Talk (From JAP No. 72)

Dear all readers.      

       Taxation is an important intersection between “accounting” and “jurisprudence”. Taxation is a law that defines the financial duties of taxpayers, while "accounting" is a system of recording, measuring, and reporting financial transactions, which is used as a basis for calculating the amount of tax to be paid.

       According to the news on November 17, 2025, the Supreme Court ruled that the tax assessment in the case of selling all shares of Shin Corporation Public Company Limited to Temasek Group is enforceable according to that law. The Supreme Court's decision has established an important norm: the consideration of "intent" is more important than the form of the transaction document and the "essence" of the transaction are disguises for tax benefits directly to ultimate beneficiary. In addition, the court ruled that the transaction was "lacking in tax merit" and "unlawful" whilst the intention is camouflage to evade taxes and laws. Therefore, the transaction is not exempt from tax for the sale of shares on the Stock Exchange of Thailand. 

       In accounting, we've talked about "substance over form" principle for a long time, and the issue of morality and ethics is key point. A good tax system must consist of information from a clear, impartial, intent, and transparent and fair legal system. Both accounting and law must strictly adhere to "moral principles" so that the tax system is an important mechanism to regulate against economic inequality and to ensure economic resources are distributed fairly and equally to all sectors of society.

       Accounting and jurisprudence have a deep relationship in the context of taxation. Accounting system delivers factual information while legal system sets norms and principles, both of which are centered on common virtue, which will bring true well-being to the society and nation as a whole.

Asst.Prof.Somchai Supphatada
Editor

ผศ.สมชาย ศุภธาดา
บรรณาธิการ