Personal income tax reduction and revision

On 18 December 2012, the Thai Cabinet resolved and approved the revision of the personal income tax structure. The new structure will include the revision of the personal income tax rate from the current 5 tiers at the rate of 0 % - 37 % to the revised 7 tiers at the rate of 0 % - 35 % as follows:

Taxable Income (THB)

Marginal
Taxable income
(THB)

Current Tax
Rate (%)

New Proposed
Tax Rate (%)

0 - 150,000

150,000

Exempt

Exempt

150,001-300,000

150,000

10

5

300,001-500,000

200,000

10

10

500,001-750,000

250,000

20

15

750,001-1,000,000

250,000

20

20

1,000,001-2,000,000

1,000,000

30

25

2,000,001-4,000,000

2,000,000

30

30

4,000,000 and over

-

37

35

 

The new tax structure, which will be effective from the 2013 tax year, will apply to all 2014 personal income tax returns.