Personal Income Tax (PIT) is a tax directly collected on the revenue of a Thai tax residents. A Thai tax resident is a person living in Thailand more than 180 days per year. A Thai resident has therefore the obligation de declare the totality of its income on the Thai territory without consideration of his permanent status under the immigration requirements.
On the other hand, a person who has lived less than 180 days per year in the Kingdom of Thailand is considered as a non-resident by tax authorities. However, a non-resident has the obligation to declare incomes derived from a source in Thailand.
Assessable incomes for PIT purposes are
- Income rewarding professional services rendered to your employer (wages and salaries, stock options, fringe benefits)
- Incomes yearly paid and derived from a will or any judgment or act, goodwill, franchise, copyright, other rights.
- Interests earned from Thai banks, dividends, shares of profits, any kind of personal benefit from a juristic partnership, a juristic company or a mutual fund.
- Payments received following the reduction of a own capital, bonuses, an increase of capital holdings.
- Income received from breaches of contracts,
- Income from liberal professions.
- Incomes from the letting of property, leases, installment sales, hire-purchase agreements.
- Any other income from commerce, industry, agriculture, transportation services.
- Income from any other activity not mentioned above
Allowances and Deductions
- Expenses: 40% not over THB 60,000.00
- Personal Allowance: THB 30,000.00
- Child allowance: THB 15,000.00 par child, up to 3 children and not over 25 years old.
- Child Education allowance: THB 2,000.00 per child, up to 2 children, and not over 25 years old.
- Parents Allowance: THB 30,000.00
- Retirement mutual fund: payments up to THB 500,000 but not over than 15% of wages.
- Life-Insurance: up to THB 100,000.00
- Long-term equity fund: payments up to THB 500,000 but not over than 15% of wages.
- Mortgage Interests: Up to THB 100,000.00
- Social Security contributions
- Donation to recognized charities: up to 10% of assessable incomes after deductions and allowances.
|Taxable Income (Baht)||Rate|
|1 to 150,000||Exempt|
|150,001 to 300,000||5%|
|301,000 to 500,000||10%|
|501,000 to 750,000||15%|
|750,001 to 1,000,000||20%|
|1,000,001 to 2,000,000||25%|
|2,000,001 to 4,000,000||30%|
|4,000, 001 and more||35%|
Note: Details, updates and double tax treaties can be found at www.rd.go.th