Personal Income Tax rates reduced effective 2013
On 18 December 2012, the Thai cabinet approved reductions of the personal income tax rates, to take effect in the beginning of the fiscal year 2013.
The previously five income tax brackets are being expanded into now eight brackets by adding tax rates of 5%, 15%, and 25%. The top marginal tax rate decreases slightly, from previously 37% to now 35%. This applies for net taxable income of THB 4 million or more. The tax exemption for low salaries of less than THB 150,000 remains as it is.
This is the first major change of PIT rates since approximately 20 years. According to the Bangkok Post, details of the new tax rates are as follows:
