Normally, the entities that are only established under Thai law such as ministries, government departments, organizations or cooperatives are not required to pay corporate income tax.
However, there are also some types of juristic persons that are subject to corporate income tax under the Revenue Code but are exempted to pay tax under the provisions of various laws as below:
- A company or juristic partnership under obligations under an economic or technical cooperation agreement between the Thai government and a foreign government.
- A limited company that is exempted from corporate income tax under the Investment Promotion Act. This includes a company that has obtained the BOI promotion and has been granted with tax incentives.
- Limited companies or juristic persons having the same status as limited companies established under Thai law or foreign law are exempted from corporate income tax under the Petroleum Income Tax Act.
- A company or juristic partnership located in a country that has a double taxation agreement with Thailand, under the conditions specified in the DTA.
Thai taxation has a unique structure therefore; it is highly recommended to consult with the Thai tax experts like us. Contact MSNA for the best Thai tax advice.