Thailand

EXPATRIATE AND EMPLOYER TAX COMPLIANCE AND ADVISORY
Tax rate Progressive tax rate 0% – 35%
(Assessable income below THB 150,000 will not be taxed)
Tax period Calendar year
Tax residency / Domicile according to domestic law Persons are deemed to be Thai tax resident under only one condition if they stay in Thailand for 180 days or more in the calendar year
Tax registration Required if the person is obliged to pay Thai personal income tax
Employment income definition Income derived from employment, whether fixed or variable, such as the following; salaries and wages, bonuses, pension, rental housing allowances, any money, property, or benefits derived from employment
Examples of tax exemption Travelling per diem and transport expense which exclusively relate tor business purposes and rates specified in the Royal Decree;
Relocation costs paid by the employer at the commencement and termination of employment
Specific expatriate concession Not applicable….there are no separate tax concessions granted to expatriates as compared to local Thai personnel
Income of board members Taxed as ordinary income subject to DTA provisions
Tax returns Tax payers must file their personal income tax return (PND.91/ 90) and pay any due tax during the period from 1 January – 31 December by the end of March in the following year.
Tax payments Withholding tax deducted and submitted by the employer can be applied against total personal income tax payable. If tax due is over THB 3,000, the tax payer can ask to pay by 3 installments equally starting from end of March, April and May, respectively.
TAX TREATIES
Employment income / income from board members Generally follows Article 15 and 16 of the Model OECD Tax Treaty with some differences depending on the applicable DTA……Exemption from Thai tax may apply if conditions are satified under the dependent personal services article in each DTA
INTERNATIONAL SOCIAL SECURITY
Cross border employments Not applicable
Exception under Art 16 of Reg. 883/2004
and Art 17 of Reg. 1408/71
Not applicable
Social Security Cost as % from gross salary and absolute amounts Employees and employers are required to contribute to a Social Security Fund (‘SSF’) being 5% of salary up to a maximum of 750 Baht per month.
IMMIGRATION
Work permit Non-Thai nationals need to apply for a work permit.  Expatriates cannot apply for a work permit unless they have an employer who is willing to act as a work permit sponsor in the application process.
Visa Some nationals of certain countries do not require a visa to enter Thaialnd. Please see the list of countries at http://www.mfa.go.th/main/en/services/4908/15405-General-information.html
Residency permits / registration certificate Non-Thai nationals need to live in Thailand for at least 3 consecutive years under a non-immigrant visa.
Driving license Non-Thai nationals need to apply for a driving license in Thailand and the Thai work permit is required as part of the apllication. International driving licences issued in another country are accepted only for one year after a person is settled in Thailand.
STOCK OPTION PLAN Employees shall treat such options as assessable income and are required to include such assessable income in the personal income tax computation in the tax year in which the ownership in the shares is received, regardless of whether or not such shares carry conditions on sale or transfer.
ARTICLE 15 OF THE OECD MODEL
Generally follows Article 15 of the Model OECD Tax Treaty with some differences depending on the applicable DTA
183 days
Notion of employer
Existence of a permanent establishment
Damian Norris
Tax partner
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Direct line: 02-670-1100 Ext 146
Address:Mazard (Thailand) LTD.
1 Empire Tower – Tower 2, 12th floor, South Sathorn Road – Bangkok – 10120 – Thailand
www.mazars.co.th