What is Personal Income Tax?
Thai Personal Income Tax (PIT) is levied on individuals who earn income according to criteria set by law. Thailand uses a progressive tax rate system, meaning the more you earn, the higher the rate applied. There are 8 tax brackets ranging from 0% to 35%.
How to Calculate Personal Income Tax
The calculation involves 3 main steps:
- Calculate assessable income — total annual income (salary × 12 + bonus + other income)
- Deduct expenses and allowances — standard expense deduction of 50% (max 100,000 THB) + personal allowance of 60,000 THB + other deductions
- Apply progressive brackets — net income = assessable income − expenses − allowances, then apply tax rates per bracket
2025 Progressive Tax Brackets
- 0 – 150,000 THB: Exempt
- 150,001 – 300,000 THB: 5%
- 300,001 – 500,000 THB: 10%
- 500,001 – 750,000 THB: 15%
- 750,001 – 1,000,000 THB: 20%
- 1,000,001 – 2,000,000 THB: 25%
- 2,000,001 – 5,000,000 THB: 30%
- Over 5,000,000 THB: 35%
Available Tax Deductions
Key deductions include: personal allowance (60,000), spouse (60,000), children (30,000-60,000 each), parents (30,000 each), life insurance (max 100,000), health insurance (max 25,000), RMF funds (30% of income, max 500,000), SSF funds (30%, max 200,000), provident fund (15%, max 500,000), home loan interest (max 100,000), donations (10% of net income), and Easy E-Receipt (max 50,000).