Thailand Personal Income Tax Deductions and Allowances
Update | February 2017
On 28 Feb 2017, Ministerial Regulation No 326 was gazetted, providing Thailand resident individuals another personal income tax allowance for deposits in a long-term life insurance bank savings account retroactively from and including the 2016 tax year. This tax insight has been updated for the prescription in MR No 326.
On 11 Feb 2017, Royal Decree (No 634) was gazetted, increasing the permitted personal income tax deduction for income earned from goodwill, copyright and other rights from and including the 2017 tax year. This tax insight has been updated for RD (No 634).
Update | January 2017
On 27 Jan 2017 Revenue Code Amendment Act (No 44) BE 2560 and Royal Decree (No 629) BE 2560 were gazetted, increasing some personal tax deductions and allowances and reducing some others from and including the 2017 tax year. This tax insight has been updated for the amendments in RCAA (No 44) and RD (No 629).
Tax Deductions and Allowances
For Thailand personal income tax purposes, the Thai tax law permits residents of Thailand (including foreign national residents of Thailand) to claim tax deductions and tax allowances against assessable income, as follows:
(1) Technically, the deduction for taxpayers who are 65 years or older is an exemption from income tax, but for ease of understanding by foreign national residents in Thailand, we have included this exemption under the deductions heading.
(2) The aggregate of the allowances claims for contributions to life insurance pension funds, provident funds, retirement mutual funds and the National Savings Fund, shall not be more than 15% of assessable income and not more than 500,000 Baht.
(3) As prescribed in Revenue Code Amendment Act (No 44) issued on 26 Jan 2017.
(4) As prescribed in Royal Decree (No 629) issued on 26 Jan 2017.
(5) As prescribed in Royal Decree (No 634) issued on 10 Feb 2017.
(6) As prescribed in Ministerial Regulation No 326 (BE 2560) issued on 20 Feb 2017.
(7) The aggregate of the allowances claims for life insurance premiums paid to a Thailand life insurance company and deposits into a long-term life insurance bank savings account shall not be more than the amount actually paid and not more than 100,000 Baht.
In addition to the above deductions and allowances, residents of Thailand are also entitled to claim donations against their assessable incomes. These are as follows:
For more information on donations, see our Corporate Social Responsibility (CSR) Tax Allowances Guide.
For what is assessable income in Thailand, see our Personal Tax Assessable Income Guide.
And for the Thailand personal tax rates, see our Personal Income Tax Rates Guide.
This Tax Insight is general information only. It should not be used to determine any particular matter without consulting with an experienced Thailand tax advisor.