Thailand - Individual - Taxes on personal income (2024)

FAQs

How much is personal income tax in Thailand? ›

In order to support low income earners and the aged, the first THB 150,000 of net income is tax exempt. For a resident who is 65 years of age or older, an exemption is granted on income up to an amount not exceeding THB 190,000.

The individual income tax (or personal income tax) is a tax levied on the wages, salaries, dividends, interest, and other income a person earns throughout the year. The tax is generally imposed by the state in which the income is earned.

All resident and non-resident individuals earning income from sources in Thailand are subject to personal income tax (PIT).

Income earned inside Thailand during retirement is the only income subject to tax, while personal income from pension, interest, or other income sources in your home country is not subject to income tax in Thailand.

From 2007 to 2021, the tax-to-GDP ratio in Thailand decreased by 1.1 percentage points from 17.6% to 16.4%. The highest tax-to- GDP ratio in this period was 19.3% in 2013, and the lowest 16.4% in 2021.

The Thai Department of Revenue issued Departmental Instruction No. Paw 161/2566 which provides significant changes to the collection of personal income tax on foreign-sourced income. The new tax treatment has been in effect since January 1, 2024.

Following Ministerial Regulation No. 391 of the Revenue Department, published in the Royal Gazette on 21 December 2023, individuals can receive an additional personal income tax deduction of up to THB 50,000. This deduction applies to purchasing goods and services between 1 January 2024 and 15 February 2024.

The maximum tax rate applicable to both residents and non- residents is 35 percent. sourced in Thailand. An individual, resident or non-resident, who derives assessable income from their employment in Thailand, is subject to personal income tax on the whole amount related to their employment in Thailand.

Do digital nomads pay tax in Thailand? ›

Tax Exemptions for Digital Nomads in Thailand

When it comes to tax benefits, Thailand stands out as an alluring option for digital nomads. In most cases, a foreign remote employee is subject to personal income tax in Thailand for work performed in the country.

Goods purchased in Thailand are VAT inclusive. But foreign visitors (with a few exceptions) have the benefit of receiving a 7% VAT refund on luxury goods purchased from shops that participate in the 'VAT Refund for Tourists' scheme.

Ivory Coast

The country with beach resorts, rainforests, and a French-colonial legacy levies a massive 60% personal income tax – the highest in the world.

In general, yes — Americans must pay U.S. taxes on foreign income. The U.S. is one of only two countries in the world where taxes are based on citizenship, not place of residency. If you're considered a U.S. citizen or U.S. permanent resident, you pay income tax regardless where the income was earned.

This type of income tax is levied on an individual's wages, salaries, and other types of income. This tax is usually a tax that the state imposes. Because of exemptions, deductions, and credits, most individuals do not pay taxes on all of their income.

Thai citizens and foreigners who are permanent residents are subject to pay income tax, should they earn their annual income, at the following rates: 0 to 150,000 THB is exempted from income tax. 150,001 to 300,000 THB is subject to a 5% tax rate. 300,001 to 500,000 THB is subject to a 10% tax rate.

International travellers who arrive in Thailand by air will be charged a tourism fee of 300 baht per person and 150 baht if they arrive by land or sea.

There are many rates of withholding taxes, 1% for transportation, 2% for advertising, 5% for rent, 3% for most other services (including legal, accounting, repairs, cleaning, construction, making things to order), etc.