Tax Preview: What Foreigners Pay in Thailand

As January ends, let's preview what's coming in February: Tax Season. Here's a quick overview of what foreigners pay in Thailand.

Corporate Taxes

Corporate Income Tax (CIT)

Standard rate: 20% on net profits
SME rate: 10-15% (if capital ≤5M THB and revenue ≤30M THB)
BOI rate: 0% for up to 8 years

Beyond the headline rates, remember that companies generally settle corporate tax through a mid-year estimate and an annual return—so your profit forecast matters during the year, not only at year-end.

Value Added Tax (VAT)

Rate: 7% on goods and services
Threshold: Required if annual revenue exceeds 1.8M THB
Export: 0% VAT on exported services/goods

Note also that while CIT follows the company's fiscal year, VAT runs monthly. Registered businesses file every month without exception, which is why disciplined bookkeeping matters more for VAT than for any other tax.

Personal Taxes

Personal Income Tax

Progressive rates from 5% to 37% based on income level.

| Income (THB) | Rate | |--------------|------| | 0 - 150,000 | 0% | | 150,001 - 300,000 | 5% | | 300,001 - 500,000 | 10% | | 500,001 - 750,000 | 15% | | 750,001 - 1,000,000 | 20% | | 1,000,001 - 4,000,000 | 25% | | Over 5,000,000 | 37% |

Withholding Taxes

When you take money out of Thailand:

Dividends: 10%
Management fees: 15%
Royalties: 15%
Interest: 15%

The 180-Day Rule

If you spend 180+ days in Thailand per year, you become a tax resident. This means worldwide income may be taxable in Thailand.

Residency is only part of the picture. Thailand's treatment of foreign-sourced income has been evolving in recent years, so if you receive income from abroad, review your position with an adviser rather than assuming older rules still apply.

Coming in February

We'll dive deep into tax preparation for the March 31 deadline. In the meantime, start gathering what your return will need: income statements, withholding tax certificates, and records of deductible payments. Collected in February, these turn March from a scramble into a routine.

Related Service: Accounting & Tax Compliance — Professional tax planning and filing support.