Thailand
Top Income Tax
35%
Marginal rate
Corporate Tax
20%
Standard rate
VAT / Sales Tax
7%
Standard rate
Capital Gains
35%
Standard rate
Overview
Thailand offers an incredibly low cost of living with a tax system that is becoming stricter on foreign income remittance. The LTR visa provides a 17% flat tax rate and long-term residency for qualifying professionals. Bangkok and Chiang Mai are top digital nomad destinations.
Income Tax Brackets
| Income Range (THB) | Tax Rate |
|---|---|
| 0 - 150,000 | 0% |
| 150,000 - 300,000 | 5% |
| 300,000 - 500,000 | 10% |
| 500,000 - 750,000 | 15% |
| 750,000 - 1,000,000 | 20% |
| 1,000,000 - 2,000,000 | 25% |
| 2,000,000 - 5,000,000 | 30% |
| 5,000,000+ | 35% |
Income remitted to Thailand in same year as earned now taxable from 2024. Previously only if remitted in same tax year.
Corporate Tax
Standard Rate
20%
20% standard. SMEs: 0% on first 300k THB, 15% on 300k-3M THB.
VAT / Sales Tax
Standard Rate
7%
7% (temporarily reduced from 10%). On goods and services.
Capital Gains Tax
Standard Rate
35%
Taxed as regular income at progressive rates. Withholding tax on dividends 10%.
Social Security Contributions
Employee
5%
Employer
5%
Self-Employed
0%
Capped at THB 750/month each. Limited benefits.
Special Tax Regimes
BOI Investment Promotion
Tax holidays of 3-13 years for qualifying investments in promoted activities.
Eligibility: Must apply to Board of Investment for specific approved activities. Minimum investment requirements vary.
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.
Eligibility: Various categories with different income/investment thresholds. Remote workers: min $80k/year salary.
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.
Pros & Cons
Pros
- Very low cost of living
- LTR visa with 17% flat tax
- Excellent food and culture
- Strong digital nomad community
- Low VAT at 7%
Cons
- Foreign income now taxable when remitted
- High top marginal rate (35%)
- Visa complexity
- Language barrier
- Hot and humid climate
Living Indicators
Cost of Living Index
Very affordable
Quality of Life Index
Average
Best For
Data Sources
Tax rate data for Thailand is compiled from the following authoritative sources:
- OECD Tax Database
- Tax Foundation International Tax Competitiveness Index
- World Bank Business Enabling Environment
- Thailand government tax authority publications
- PwC Worldwide Tax Summaries
Last verified: 2024-01
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.