Corporate Income Tax declarations
Navigate Thai tax laws with our efficient tax return filing services. We help you optimise tax planning strategies, so you can benefit from tax deductions that can further boost your business.
Companies that are registered in Thailand are required to pay corporate income tax on the profits they have earned from doing business within and outside Thailand. Thai-registered businesses include juristic companies and partnerships that may be in the form of registered partnerships, limited partnerships, or unincorporated joint ventures. A branch of a foreign company operating in Thailand is also subjected to corporate income tax on revenues they have generated within Thailand. The required corporate income tax to be paid by these entities is at 10 to 20% of their net profit.
Businesses must settle their annual tax returns within five months (150 days) following the end of their respective accounting year. With the exception of newly incorporated companies, existing companies must follow the 12-month accounting period, at the end of which they should file their annual tax returns along with their audited financial statements.
However, corporate taxpayers must pay 50% of their estimated annual income tax, which should be settled by the end of the accounting year’s eighth month. A fine in the amount of 20% of the deficit will be imposed on corporate taxpayers who failed to pay the half-year tax return or underpayment by more than 25%.
For businesses’ reference, the government of Thailand has recently released a newly enacted tax law that covers corporate income tax. This law aims to improve Thailand’s competitiveness in providing companies with reasonable corporate income tax rates.
The laws that govern corporate income tax in Thailand may be difficult to navigate, especially with the existence of new regulations. At Oceanic Accounting, we help companies remove the “complicated” out of the equation of tax matters by providing expertise on tax laws, walking them through all the rules and regulations that should be complied with, whilst allowing them to explore all avenues where they can get tax deductions. Partnering with us for all your corporate income tax requirements will save you precious time and effort that you can use better to efficiently run your business.
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