Thailand
AsiaMalaysia
AsiaThailand vs Malaysia Tax Comparison
Summary
4
🇹🇭 Thailand
1
Ties
2
🇲🇾 Malaysia
🇹🇭 Thailand has lower tax rates in more categories
Tax Rates Comparison
| Category | 🇹🇭Thailand | 🇲🇾Malaysia |
|---|---|---|
| Top Income Tax Rate | 35% | 30%Lower |
| Corporate Tax Rate | 20%Lower | 24% |
| VAT / Sales Tax | 7%Lower | 8% |
| Capital Gains Tax | 35% | 0%Lower |
| Employee Social Security | 5%Lower | 11% |
| Employer Social Security | 5%Lower | 13% |
| Self-Employed Social Security | 0% | 0% |
Living Indicators
| Category | 🇹🇭Thailand | 🇲🇾Malaysia |
|---|---|---|
| Cost of Living Index | 35 | 33Lower |
| Quality of Life Index | 58Lower | 60 |
| Tax Treaties | 61Lower | 75 |
Income Tax Brackets
Thailand
Income remitted to Thailand in same year as earned now taxable from 2024. Previously only if remitted in same tax year.
Malaysia
Foreign-source income exempt for tax residents (territorial system). Being reviewed for potential changes.
Special Tax Regimes
Thailand
BOI Investment Promotion
Tax holidays of 3-13 years for qualifying investments in promoted activities.
Long-Term Resident (LTR) Visa
17% flat tax on employment income. Exemption from tax on foreign income for wealthy pensioners, wealthy global citizens, and remote workers.
Malaysia
Labuan IBFC
3% tax on net profits or flat MYR 20,000 for Labuan trading companies.
Malaysia My Second Home (MM2H)
Long-term residency programme with various financial requirements.
Digital Nomad Visa
LTR Visa for Remote Workers: 17% flat income tax, 10-year visa. Must earn $80k+/year or $40k+ with master's degree.
DE Rantau Digital Nomad Pass. Must earn at least USD 24,000/year. Valid 3-12 months, renewable.
Disclaimer: This content is for informational purposes only and does not constitute tax advice. Tax laws change frequently. Always consult a qualified tax professional before making decisions about your tax residency or obligations.
Data last updated: Thailand (2024-01) · Malaysia (2024-01)