Tax Accounting in Thailand: A Guide for Foreign Businesses

Doing business in Thailand can be rewarding—but it comes with responsibilities, especially when it comes to accounting and taxes. If you’re a foreign entrepreneur, it’s important to understand the basic requirements.

Key Accounting and Tax Requirements

All companies in Thailand must maintain proper accounting records, prepare financial statements annually, and submit them to the Department of Business Development (DBD). These records must follow Thai Financial Reporting Standards (TFRS). On the tax side, companies are generally subject to Corporate Income Tax at the rate of 20%. Value-Added Tax (VAT) at 7% applies to most goods and services. There are also requirements for withholding tax on payments such as rent, services, and dividends.

Why Professional Help is Essential

Foreigners often ask: “Can I do this myself?” In most cases, hiring a local accountant or firm is the easiest and safest way. They will help you avoid costly mistakes, meet deadlines, and stay compliant with Thai laws.

Potential Tax Incentives

In addition, some businesses may benefit from tax incentives through the Board of Investment (BOI) or specific exemptions depending on industry and location.

In short, don’t let accounting and tax issues become a burden. With the right support, you can focus on growing your business—while staying fully compliant in Thailand.