Year-end is the time for profit calculation and bonus payments.For employees, this is additional income; for companies, it is a tool to reduce taxable profit. Let’s review an example. Initial Data Employee salary: 35,000 THB per monthAnnual income: 420,000 THB Applied deductions: Taxable income:420,000 − 100,000 − 60,000 = 260,000 THB Annual personal income tax: …
Your tax status can only be determined at the end of the year — on December 31 — by counting the number of days spent in Thailand. ➕ Resident — 180 days or more➖ Non-resident — 179 days or less The status does not depend on the type of visa — only on the actual …
We review frequently asked questions about tax residency and filing tax returns in Thailand. Can I become a Thai tax resident if I stayed in the country for less than 180 days? No. A tax resident is defined as a person who has stayed in Thailand for 180 days or more within a calendar year. …
A common misconception is that if an assignment agreement is not registered with government authorities, then no taxes apply. Let’s look at how this works in practice. Why the “Tax-Free Assignment” Illusion Arises An assignment agreement: This often leads to the incorrect conclusion:that the tax authorities will not become aware of the transaction. Key Point …
Assignment During Construction Is Not Taxed. Or Is It? Read More »
When paying for services, a Thai company acts as a tax agent:it is required to withhold tax (Withholding Tax), remit it to the tax authorities, and issue a withholding tax certificate to the recipient. How Withholding Tax Is Treated The withheld tax amount can be used: VAT When Working with Foreign Companies A Thai company …
Settlements with Thai and Foreign Agents: Recipient’s Taxation Read More »
Property tax in Thailand (land and building tax) depends on how the property is used. Base rates: Let’s review how the tax is calculated for properties valued at 10 million and 40 million THB. 1. Freehold + Yellow House Book If the owner has a yellow house book, the property is considered their primary residence. …
From the age of 50, additional visa options become available in Thailand.In practice, two main options are usually considered: the classic retirement visa and the LTR visa for wealthy pensioners. Let’s review the key differences. What These Visas Offer Validity Period Work Authorization Tax Benefits Airports and Immigration Entry and Exit Retirement visa: LTR: Visa …
Visas for Those Over 50: LTR (Wealthy Pensioners) vs Retirement Visa Read More »
LTR and Thailand Elite are long-term visas that allow comfortable living in Thailand.The choice between them depends on your goals, lifestyle, and financial capacity. Let’s review the key differences. What These Visas Offer Validity Period Work Authorization Tax Benefits Service and Support Thailand Elite: LTR: Airports and Immigration Thailand Elite: LTR: Common Advantages Both visas …
Who Needs LTR and Thailand Elite Visas — and Why Read More »
Continuing the topic of construction contracts, in practice there are cases where, before registration, the developer informs the buyer that the landowner has changed and a new leasehold agreement must be signed. Let’s review the risks involved and how to proceed. Initial Transaction Structure In such cases, the typical situation is: Then, closer to registration: …
Case Study: Change of Landowner (Developer) for a Villa Plot Read More »
When purchasing a villa in Thailand, developers may offer two different legal structures:a sale and purchase agreement or a construction contract. In practice, these are fundamentally different approaches, even though in both cases the land is typically transferred to a foreigner under a leasehold agreement. What Is the Difference Between the Models? Purchase of a …
House Purchase Agreement vs Construction Contract Read More »
