Corporate Income Tax in Thailand

Corporate Income Tax is tax due by Partnerships and Limited Companies carrying on business on the Thai territory or generating incomes from activities performed in Thailand.

Organizations liable to Thailand Corporate Income Tax appear hereinafter:

  • Thai partnership or limited companies incorporated under Thai laws.

  • Foreign Companies which:

  1. Are deemed to carry on business on the Thai territory;

  2. Carry on business in Thailand;

  3. Do not carry on business on the Thai territory but generating certain types of income from Thailand such as dividends, rents, service fees, interests or professional fees.

Taxable profits are based on the sum of all revenues less deductible expenses during the fiscal year.

Tax Payer                                                                           Tax Base                                                                      Rate

 

1. Companies not appearing below                                          Fiscal profit                                                                         20%

2. Small companies with a paid-up capital not exceeding       Fiscal profit not exceeding 0.3m Baht                              Exempt

    THB 5M Baht and income less than THB 30M 

                                                                                       Fiscal profit over THB 0.3M and less than THB 3M          15%

                                                                                                  Fiscal profit more than THB 3M                                          20%

3. Foreign companies not leading activities in Thailand          Gross dividends                                                                 10%

    but receiving dividends

4. Foreign companies not leading activities in Thailand          Gross receipts                                                                    15%

    and receiving incomes other than dividends

5. Foreign company remitting profit out of Thailand                Amount remitted                                                                 10%

6. Regional Operating Headquarters (ROH)                           Net profit                                                                              10%

7. BOI Licensed companies                                                    Net profit                                                                               0%

       Forms and submission

  

         For limited companies and partnerships carrying on business in Thailand, forms and submission requirements are

    

         Form                                         Submission deadline                                                                        Fine for late submission

                                                                                                                                                             Within 7 days     After 7 days  

        PND 50 Annual tax return         Within 150 days from the last day of the accounting period        2,000 baht        4,000 baht

                                                    e.g. for year ended 31 December 2016 submit on

                                                                           or before 30 May 2017

 

         PND 51 Half year tax return     Within 2 months from the last day of the first 6 months              1,000 baht           2,000 baht

                                                          of the accounting period

                                                          e.g. for year ending 31 December 2017 submit on

                                                                           or before 31 August 2017

Half-year tax is a prepayment calculated from the tax payable on the forecast net profit for the year. The prepaid tax is creditable against the full-year tax liability.

The Revenue Department has announced that companies registered for e-filing have an extra eight days to file the CIT returns after the normal deadline. This incentive will run until 31 January 2019.

Surcharge for late submission

There is also a surcharge of 1.5 percent of the tax payable per month for late submission of the annual tax return.

Underpayment of half-year tax can result in a surcharge of 20 percent of the tax that has been underpaid.

For more information click==: Revenue department website