Tax Base for Specific Business Taxation

Tax Base for Specific Business Taxation

     The tax base for businesses subjected to specific business tax consists of the total revenues before deducting any expenses received or to be received from conducting the business, irrespective of whether these revenues are from within or outside the Kingdom.

     Businesses subjected to specific business tax must pay tax calculated from the tax base, i.e., the revenues per the tax base of each type of business, multiplied by the stipulated tax rate, and must also pay local tax, which is 10 percent of the specific business tax amount. These businesses include:

Banking, Capital Market Businesses, Securities, Factoring, and Similar Commercial Banking Operations

Tax Base

• Interest, discounts, premiums, service fees, or profits before any deductions from the purchase or sale of money orders or any debt securities. Tax rate: 3.0 percent
• Profits before any deductions from currency exchange or buying/selling of currencies, issuing money orders, or international money transfers. Tax rate: 3.0 percent

Life Insurance Business

Tax Base

• Interest, premiums, service fees. Tax rate: 2.5 percent

Pawnshop Business

Tax Base

• Interest, premiums, service fees. Tax rate: 2.5 percent
  Money, assets, compensation, or any benefits of value received or to be received from selling pawned items after their redemption period. Tax rate: 2.5 percent

Real Estate Trading

Tax Base

• Revenues before any deductions. Tax rate: 0.1 percent

Securities Sales in the Stock Market

Tax Base

• Revenues before any deductions. Tax rate: 0.1 percent (currently exempted)

Repurchase Agreement (Repo) Business Authorized by the Securities and Exchange Commission

Tax Base

• Profits before any deductions from securities repurchase, but not including interest, dividends, or any benefits from the securities. Tax rate: 3.0 percent

Factoring Business

 Tax Base

• Interest, discounts, premiums, or service fees. Tax rate: 3.0 percent

Business Conducted under Royal Decree No. 469

 Tax Base

• Interest, discounts, premiums, or service fees. Tax rate: 0.01 percent
• Profits before any deductions from currency exchange or buying/selling of currencies. Tax rate: 0.01 percent
• Profits before any deductions from securities repurchase. Tax rate: 0.01 percent

Data updated on November 16, 2020

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

Tel. +66 2272 8000

For more information