Thai Tax Comparatively Low

Thai Tax Comparatively Low In its Paying Taxes 2014: The global picture, A comparison of tax systems in 189 economies worldwide, PricewaterhouseCoopers International Ltd. writes "‌the global average Total Tax Rate has continued to fall in 2012, 14 economies have significantly increased their rate while 14 have reduced it." The average for the Asia Pacific region, 36.4 percent, is below the global average, with profit taxes accounting for the largest portion of the Total Tax Rate. In fact, the report notes that in 23 of the 37 economies in the region taxes on profits account for more than half of the Total Tax Rate. The trend in the region is, however, for increasing labor taxes and reducing other taxes, which is also consistent with a global trend.

In East Asia and the Pacific, 7 of 25 economies have established electronic means for filing and paying taxes, including Thailand. "With the temporary reduction in corporate income tax rate from 30% to 23% in 2012 and to 20% in 2013 and 2014, Thailand has made significant moves to reduce the tax cost for corporate taxpayers." Looking at the World Bank's Ease of Doing Business rankings investors will note that the total of all business tax in Thailand is just less than 30%. This includes corporate income tax, employer paid social security contributions, business specific taxes and others.

With its low taxation, good infrastructure and safe and convenient lifestyle it is little wonder that Thailand has remained for several years among the top 20 countries for Ease of Doing Business and is consistently ranked high for a range of services valued by investors.