Tax on the repatriation of profits by legal entities out of Thailand

     Companies or partnerships, as legal entities, repatriating profit or other funds derived from profits or deemed as profits out of Thailand, are obligated to pay income tax. This tax is deducted from the total repatriated amount. Moreover, repatriation of profits also encompasses:

1. The distribution of profits or any other funds, withheld from profits or considered as profits, from profit and loss accounts or any other accounts, to pay debts, offset debts, or be registered as a liability in the account of any person abroad.
2. In cases where the aforementioned scenario (1) is not explicitly shown, yet there has been a request for the purchase and transfer of foreign currencies, which are profits or other funds withheld from profits or regarded as profits, to a foreign country.
3. Any other actions that lead to the same consequences as (1) or (2).

     The tax rate and calculation: The method of paying this tax on profit repatriation abroad is through deduction from the amount being repatriated at a rate of 10 percent.

     Declaration and payment of tax: Companies or partnerships repatriating profits abroad must submit a tax declaration and make tax payment within 7 days from the end of the month in which the profits were repatriated. The applicable form for this declaration is the P.N.D. 54 (must be filed each time profits are repatriated out of Thailand. If the profits are kept within Thailand, this specific tax is not levied).

Data updated on November 14, 2020

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

Tel. +66 2272 8000

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