A Thailand Branch Office tax structure is the same legal entity as its foreign head office corporation but Thai tax law treats it, the same as other countries do, as if it were a separate legal entity.

The Thai tax law also treats a Branch Office as a profit-seeking entity and because of that a Branch Office in Thailand is subject to all of the income and transaction taxes that apply to profit-seeking entities in Thailand.

Thailand Taxes Payable by a Branch Office

A summary of the taxes that Branch Office structures in Thailand are subject to (and which the Thailand Revenue Department tax audit offices expect to receive from a Branch Office in Thailand) is as follows:

Corporate Income Tax		Corporate income tax on the net profits of the branch office at the normal (standard) rate of corporate tax applying to corporate entities in Thailand
Domestic Withholding Tax		Withholding tax on payments of income to recipients in Thailand
International Withholding Tax		Withholding tax on payments of income to recipients in foreign countries
Personal Withholding Tax		Personal withholding tax on payments of income to employees of the branch office
Profits Remittance Tax		Withholding tax on remittances of branch office profits to the foreign head office*
Specific Business Tax		Specific business tax (instead of VAT) on certain types of income transactions
Stamp Duty Tax		Stamp duty tax on an execution of various instruments
Value Added Tax		Value added tax on sales of goods and on services in Thailand and imports of goods and services into Thailand

* Except for remittances to a head office company in Hong Kong, which are exempt from profits remittance tax under the Thailand - Hong Kong Double Tax Treaty. See our Branch Profits Withholding Tax for Hong Kong Companies Insight.

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