A Thai Company generally pays tax at 30% of Net profit. However, some types of company are entitled to a rate reduction.
Small business with paid up capital less than 5 million baht
20% of Net profit < 1 million baht
25% of Net profit 1-3 million baht
Company registered in the Stock Exchange of Thailand (SET)
25% of Net profit < 300 million baht
Newly registered company in the stock exchange of Thailand (SET) and Market for alternative Investment (MAI)
25%of Net profit for newly registered company in SET
20% of Net profit for newly registered company in MAI
Bangkok International Banking Facility and Regional Operating Headquarters
10% of Net profit from qualified income
Association and foundation
2% or 10% on gross receipts
Types of income
Withholding tax rate
1. Employment income
5 - 37 %
2. Rents and prizes
3. Ship rental charges
4. Service and professional fees
5. Public entertainer remuneration
- Thai resident
5 - 37%
6. Advertising fees
PERSONAL INCOME TAX is applied on a graduated scale as follows;
Net Annual Income (Baht)
Other types of taxable income and the rate of standard deduction include:
. Interest, dividends, capital gains on the sale of securities: Forty percent but not exceeding 60,000 baht.
. Rental income: Ten percent to 30 percent depending on type of property leased.
. Professional fees: Sixty percent for income from medical practice, 30 percent for others.
. Income derived by contractors: Seventy per cent.
. Income from other business activities: Sixty-five percent to 85 percent depending on the nature of the business activity.
The following annual personal allowances are permitted:
Each child's education
THB 15,000 (limit 3)
For taxpayer contributions to an approved provident fund
For taxpayer and spouse for interest payments on loans for purchasing, hire-purchasing or construction of residential buildings
For taxpayer and spouse with respect to contributions to Social Securities Fund
Actual contribution not more than 10% of adjusted income
PROPERTY PURCHASE Tax Summary:
Specific Business Tax
The above taxes are typically calculated on the Lands Department appraised value or the sale price whichever the higher