Thailand Gift Tax
Tax Insight | August 2015
On 5 August 2015, Revenue Code Amendment Act (No 40) BE 2558 was gazetted putting into effect, from 1 February 2016, laws that subject gifts to personal income tax in Thailand.
The RCAA (No 40) repeals the existing provision in the Revenue Code, and inserts four new taxing provisions for gifts. A summary of the taxation of gifts, as amended by RCAA (No 40) is as follows:
Gifts Subject to Tax
All persons receiving gifts that are subject to tax are required to include the amount that is subject to tax in their personal income tax returns and pay tax according to the schedule of rates in the personal income tax rates table.
However, RCAA (No 40) BE 2558 prescribes that for the following types of gifts, taxpayers may elect to pay a 5% flat rate of tax (instead of having to pay tax according to the personal income tax rates table):
This Tax Insight is general information only. It should not be used to determine any particular matter without consulting with your experienced Thailand tax advisor.