Payroll taxes
in Thailand.

SALARY PAYMENT IN Thai baht (THB, ฿)

CONTRACT LANGUAGES Thai / English

PAYROLL TAX 5.2% – 6%

PAYROLL CYCLE Monthly

TIME TO HIRE 12 hours

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Thailand

What is the average employer tax rate in Thailand?

Thailand employers pay one of the lowest taxes in the world. The average payroll tax is between 5.20% to 6%. The tax year in Thailand runs from 1^st January to the 31^st December.

What is the average employee tax rate in Thailand?

There are eight progressive income tax thresholds that employees in Thailand have to pay. The income tax rates are as follows:

Thailand – Individual Income Tax

Taxable Income (THB)	Tax rate 2023
First 150,000 THB	0%
150,001 – 300,000 THB	5%
300,001 – 500,000 THB	10%
500,001 – 750,000 THB	15%
750,001 – 1,000,000 THB	20%
1,000,001 – 2,000,000 THB	25%
2,000,001 – 5,000,000 THB	30%
5,000,001 THB and above	35%

Employers are obligated under the Revenue Code of Thailand to withhold employee taxable income based on the thresholds listed above.

Employer contributions in Thailand

Employers are mandated to make the following minimum contributions out of an employee’s salary:

Thailand – Employer contributions

Contribution item	Contribution rate
Pension	3%
Health Insurance (maternity, disability, and death)	1.5%
Unemployment	0.05%
Work Injury Cover	0.20% – 1%

This equals around 5%-6% of non-mandated employer social security contributions. The new National Pension Fund contribution replaced the voluntary contribution called the Provident Fund in 2021.

Employee contributions in Thailand

Employees also make mandatory contributions as part of their salary. These contributions and amounts are as follows:

5% to a social security fund or a maximum of 750 THB per month

This contribution is broken down into the following social security benefits:

Thailand – Employee contributions

Contribution item	Contribution rate
Pension	3%
Health Insurance (maternity, disability and death)	1.5%
Unemployment	0.05%

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Your business can easily hire employees in Thailand without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.

FAQs

What is the tax bureau of Thailand called?

The tax bureau in Thailand is called the Thailand Revenue Bureau. The Revenue Bureau is a department of the Ministry of Finance and is responsible for the administration of personal income taxes, corporate and specific business taxes, petroleum income tax, value added tax (VAT), and stamp duties.

Is there an employer payroll tax contribution in Thailand?

Yes, employers are expected to contribute to the social security fund. Employers can also contribute to an employee’s pension fund, health insurance fund, unemployment, and work injury cover.

How does the payroll tax system of Thailand work?

Employers have a duty to withhold income taxes, involuntary and voluntary contributions for an employee.

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