The Civil and Commercial Code, Revenue Code and Accounts Act specify the reporting requirements and accounting procedures in Thailand. The Institute of Certified Accountants and Auditors of Thailand issue the accounting standards and are typically derived from International Accounting Standards (IAS), or from the generally accepted accounting standards (GAAP) used in the United States.
Business in Thailand are primarily affected by two main taxes:
Corporate Income Tax
All business establishments must have a taxpayer identification
card within sixty days of incorporation. The corporate income tax
rate is 30% of net profit. Corporate taxes are due semi-annually.
Financial statements must be prepared annually by a company
auditor. The Revenue Department requires that accounts be in the
Thai language. The books must be kept at a place of business of
ten years.
Value Added Tax
Created in 1992, the VAT is applied to each stage of the
production process, and is paid on a monthly basis. The VAT rate
is 10%. Exports, domestic transporation and certain other sales
are exempted from VAT.
Other Taxes to Consider
- Specific Business Tax-applies to certain industries such as banks, finance and insurance companies
- Remittance Tax-affects brand offices
- Withholding Tax
- Personal Income Tax- 30-37% for income in excess of $40,000
- Petroleum Stamp Duty
- Excise Taxes- on goods such as liquor and tobacco
- Property Taxes
Impact of Double Taxation Treaty
The U.S. and Thailand signed a tax treaty in 1996. The treaty
eliminates double taxation, giving U.S. investors a credit
against their U.S. tax obligations for taxes paid in Thailand, as
well as other benefits.
Contact Information | |
Revenue Department |
Excise Department 1488 Kakhon Chaisri Road Bangkok 10300 Tel: (662) 241-5600/19 Fax: (662) 241-1030 |