Taxes on gross salary in Thailand

[Murphy182]

Hello everybody,

 

I got a job offer for working in a American company with an R&D center in Bangkok. They informed me about the gross salary but even after searching a lot in Internet, it is still not that clear the amount of money that will be left after taxes. The salary will be paid as following:

 

Salary: 75000 b/month

Housing allowance: 47000 b/month

 

Do I need to pay taxes on the salary and the housing allowance, or only on the salary?

 

In any case, how much will it be?

 

Thank you in advance.

Regards!

 

[FritsSikkink]

there you go:

 

http://www.rd.go.th/publish/6045.0.html

[Murphy182]

4 hours ago, FritsSikkink said:

there you go:

 

http://www.rd.go.th/publish/6045.0.html

Hi FritsSikkink,

 

If I understood it right, from 0 to 150k baths (attached), there is not taxation into the gross salary. Is it right somehow?

 

Thank you!

[JaiMaai]

Bear in mind that all the tax bands are based on annual salary even though most jobs quote salary on a monthly basis.

[Murphy182]

18 minutes ago, JaiMaai said:

Bear in mind that all the tax bands are based on annual salary even though most jobs quote salary on a monthly basis.

This looks more plausible I would say. 

 

Regarding the housing allowance, I don't find a citation anywhere on that webpage in which is clearly stated if it taxable or not. Does someone know?

 

Cheers

[sometimewoodworker]

8 hours ago, Murphy182 said:

This looks more plausible I would say. 

 

Regarding the housing allowance, I don't find a citation anywhere on that webpage in which is clearly stated if it taxable or not. Does someone know?

 

Cheers

It is taxed

 

You probably want to pay a tax accountant.

 

I don't understand how you didn't see the bit under.

 

Quote

Income chargeable to the PIT is called “assessable income”. The term covers income both in cash and in kind. Therefore, any benefits provided by an employer or other persons, such as a rent-free house or the amount of tax paid by the employer on behalf of the employee, is also treated as assessable income of the employee for the purpose of PIT.

 

Edited December 30, 2018 by sometimewoodworker

[sometimewoodworker]

8 hours ago, Murphy182 said:

Hi FritsSikkink,

 

If I understood it right, from 0 to 150k baths (attached), there is not taxation into the gross salary. Is it right somehow?

 

Thank you!

No as your gross reaches the 25% band.

Edited December 30, 2018 by sometimewoodworker

[scorecard]

9 hours ago, JaiMaai said:

Bear in mind that all the tax bands are based on annual salary even though most jobs quote salary on a monthly basis.

Yes, Important point, the amounts in the table above are annual. 

[Murphy182]

3 hours ago, sometimewoodworker said:

No as your gross reaches the 25% band.

No, 75k*12 months = 900k bahts per year. Therefore I would be in the range of 20%.

 

In order not to pay taxes on the housing allowance, is it needed to be in the 25% range with the salary?

 

Thank you!

[moana]

Your salary will be deemed as (75k+47k)*12 = 1.464m. You will pay income tax according to the brackets 7.5k+20k+37.5k+50k+116k = 231k, which is 15.78% of your assessable income (=25.6% of your salary income alone). If your "allowance" is fully used, you will have 55.8k/mo.

Edited December 30, 2018 by moana

[sometimewoodworker]

41 minutes ago, Murphy182 said:

No, 75k*12 months = 900k bahts per year. Therefore I would be in the range of 20%.

 

In order not to pay taxes on the housing allowance, is it needed to be in the 25% range with the salary?

 

Thank you!

You didn't read the fact that your taxable income is not 75k x 12

but 75k+45k x 12 and if you get a car then that is taxable as well.

 

Total 144k  so some, 44k, is in the 25% band

 

go back and read the fact that all the money, wages and allowances, are taxed.

 

but there could be some deductions so talk to a tax accountant 

Edited December 30, 2018 by sometimewoodworker

[sometimewoodworker]

It isn't simple, but when is tax simple?

 

Do you get 150,000 tax free or 180,000 tax free?

 

see your tax accountant 

[sometimewoodworker]

18 hours ago, Murphy182 said:

In any case, how much will it be?

Talk to the HR department!

[FritsSikkink]

13 hours ago, Murphy182 said:

Hi FritsSikkink,

 

If I understood it right, from 0 to 150k baths (attached), there is not taxation into the gross salary. Is it right somehow?

 

Thank you!

Yes (mind this is for your yearly income), and you have deductibles too, when married, have kids, ...

Edited December 30, 2018 by FritsSikkink