Setting personal income tax rates

     Every individual with income has the responsibility to file and pay personal income tax. The Revenue Department has established a minimum assessable income level for individuals required to file a tax return.

     Tax rates are the percentage at which taxes are levied and can be categorized into three types: fixed, progressive, and regressive, based on changes in the tax base as determined by law.

     Currently, the personal income tax rate is progressive, meaning that as the tax base increases, so does the tax rate. Thailand has adjusted personal income tax rates, which have been effective since the tax year 2017, as follows:

     Net income from 1 - 150,000 baht: the maximum net income of the first 150,000 baht is tax-exempt.

     Net income 150,001 - 300,000 baht: the maximum net income of the first 150,000 baht is taxed at a rate of 5%. The maximum tax in each income step is 7,500 baht, with a maximum cumulative tax of 7,500 baht.

     Net income 300,001 - 500,000 baht: the maximum net income of the first 200,000 baht is taxed at a rate of 10%. The maximum tax in each income step is 20,000 baht, with a maximum cumulative tax of 27,500 baht.

     Net income 500,001 - 750,000 baht: the maximum net income of the first 250,000 baht is taxed at a rate of 15%. The maximum tax in each income step is 37,500 baht, with a maximum cumulative tax of 65,000 baht.

     Net income 750,001 - 1,000,000 baht: the maximum net income of the first 250,000 baht is taxed at a rate of 20%. The maximum tax in each income step is 50,000 baht, with a maximum cumulative tax of 115,000 baht.

     Net income 1,000,001 - 2,000,000 baht: the maximum net income of the first 1,000,000 baht is taxed at a rate of 25%. The maximum tax in each income step is 250,000 baht, with a maximum cumulative tax of 365,000 baht.

     Net income 2,000,001 - 5,000,000 baht: the maximum net income of the first 3,000,000 baht is taxed at a rate of 30%. The maximum tax in each income step is 900,000 baht, with a maximum cumulative tax of 1,265,000 baht.

     Net income from 5,000,001 baht and above: the tax rate is 35%.

     Specifically, the portion of net income not exceeding 150,000 baht continues to be exempt according to the 2008 Royal Decree Exempting Tax (No. 470).

Data updated on January 9, 2021

Source: The Revenue Department, 90 Phaholyothin 7, Phayathai, Phayathai, Bangkok 10400

Tel. +66 2272 8000

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