Check Your Thailand Tax & Compliance Obligations
Foreign companies in Thailand face overlapping tax obligations, filing deadlines, and entity-specific compliance requirements. Missing a single deadline can trigger penalties of 1.5% per month on unpaid tax, and repeated non-compliance increases the risk of a Revenue Department audit. This free tool walks you through questions about your entity type, transactions, and internal practices, then generates a compliance score, obligation map, risk alerts, and personalized filing calendar.
Thailand Tax Compliance for Foreign Companies: Key Obligations and Deadlines
Operating a foreign-owned business in Thailand means navigating multiple tax obligations with different filing deadlines, rates, and forms. The specific obligations that apply to your company depend on your entity type, revenue level, cross-border transactions, and whether you hold BOI promotion. Below is an overview of the key tax and compliance areas that our diagnostic tool evaluates.
01
Corporate Income Tax (CIT)
Thailand applies a flat 20% CIT rate on net profits for most entities. Thai Ltd companies are taxed on worldwide income, while Branch Offices are taxed on Thai-source income plus a 10% remittance tax. SMEs with paid-up capital under THB 5 million and revenue under THB 30 million qualify for progressive rates starting at 0%. The annual return (PND.50) is due within 150 days of your financial year end, with a half-year estimate (PND.51) due within 2 months after the first 6 months.
02
Value Added Tax (VAT)
Companies with annual revenue exceeding THB 1.8 million must register for VAT and file monthly returns (PP.30) by the 15th of the following month. The current rate is 7%, extended through September 30, 2026. When a Thai company pays a foreign company for services consumed in Thailand, it must self-assess 7% VAT via form PP.36 (reverse charge) by the 7th of the following month, regardless of whether the foreign provider has any Thai presence.
03
Withholding Tax (WHT)
Thailand's WHT system covers both domestic and cross-border payments. Domestic WHT (PND.3 for individuals, PND.53 for companies) ranges from 1% to 5% and is due by the 7th. International WHT (PND.54) defaults to 15% for services, royalties, and interest, and 10% for dividends. Thailand's 57+ Double Taxation Agreements can reduce these rates significantly. Verifying the correct DTA rate before making payments is critical, as underpayment triggers a 1.5% monthly penalty.
04
Transfer Pricing
All companies with related-party transactions must ensure arm's-length pricing. Companies with revenue exceeding THB 200 million must file a Transfer Pricing Disclosure Form with their annual CIT return. Penalties for non-disclosure reach THB 200,000 per level. Even companies below the threshold must maintain documentation, as the Revenue Department can request transfer pricing files within 60 days during an audit.
05
BOI Compliance Requirements
BOI-promoted companies face additional obligations beyond standard tax compliance: annual operating reports to the BOI, strict segregation of promoted and non-promoted income, compliance with investment and employment conditions, and separate customs documentation for import duty exemptions. Failure to segregate income properly risks losing all BOI tax privileges. Non-submission of the annual report can lead to suspension or revocation of promotion.
06
Social Security and Payroll
Companies employing staff must withhold personal income tax (PND.1) and remit Social Security contributions by the 15th of the following month. The Social Security rate is 5% from both employer and employee, capped at THB 875 per month per party. Foreign employees must file personal income tax returns by March 31 each year. Non-BOI companies must maintain the 4:1 Thai-to-foreign employee ratio and minimum salary requirements for work permit renewals.
Disclaimer: This tool provides a preliminary assessment based on publicly available Thai tax regulations including the Revenue Code, BOI Investment Promotion Act, and relevant Royal Decrees. It is intended for informational and educational purposes only and does not constitute legal, tax, or professional advice. BizWings Thailand Co., Ltd. does not accept responsibility for any decisions made or actions taken based on the results of this diagnostic. Tax regulations are subject to change, and the application of specific rules may vary depending on individual circumstances. Users should consult with a qualified tax advisor or accounting firm before making any compliance or business decisions based on the information provided.
Frequently asked questions
How to Choose the Right Entity for Your Thailand Market Entry
Foreign companies entering Thailand must choose from five main entity structures, each with distinct implications for ownership, taxation, staffing, and operations. The right choice depends on your industry, investment size, ownership requirements, and whether you qualify for Board of Investment (BOI) promotion. Choosing incorrectly can result in unnecessary foreign ownership restrictions, higher tax burdens, or regulatory complications that are costly and time-consuming to unwind.