Taxes on Rental Income from Property in Thailand

Regardless of your tax domicile, income earned from renting property in Thailand will generally be subject to Thai income tax. An exception would be when the location receiving the income is outside of Thailand making it beyond the scope of Thai taxation. For example, when a management company or online portal (e.g., Airbnb Booking.com etc.) may make a payment abroad (from their account overseas) directly to owner’s account overseas.

When the income does fall within the scope of Thai taxation, depending on such factors as the entity owning the property (a person or a company), if the income is collected into a personal or company bank account and if the rental contract is in a person’s or company’s name, the tax applicable will either be personal income tax or corporate income tax.

Personal Income Tax

This is levied on income before expenses. Progressive rates apply from 5 to 35% apply to income over 150,000 THB. Under Thai law, there are certain relief/deductions allowable against personal income taxes.

Corporate Income Tax

This levied on net profit after expenses. Progressive rates from 15-20% apply to net profit over 300,000 THB. Deductible expenses include furnishing, maintenance, utilities, estate fees and depreciation.