Everything you need to know about VAT in Thailand — rates, registration, tax invoices and filing deadlines.
The Value-Added Tax (VAT) is a tax levied on the sale of goods or the provision of services in Thailand. The current standard rate is 7%. Certain goods and services are taxed at 0% or are exempt from VAT altogether.
| Type of Goods or Services | VAT Rate |
|---|---|
| Sale and/or import of goods · Provision of services (including payments for services rendered abroad but used in Thailand) | 7% |
| Export of goods · Services performed in Thailand but used abroad · International transportation by aircraft or ship · Sales to UN agencies, embassies or bonded warehouses | 0% |
| Taxpayers with annual turnover < ฿1.8 million · Rental of immovable property · Unprocessed agricultural products · Newspapers, magazines and textbooks · Educational, healthcare, medical, legal and auditing services · Domestic transportation · Cultural, religious and charitable services | Exempt |
Any individual or company that reaches ฿1.8 million in revenues during its fiscal year must register for VAT. Additionally, any entity wishing to apply for a Work Permit for a foreign employee must register for VAT prior to submitting the Work Permit application, regardless of its turnover.
A VAT-registered person must issue a Tax Invoice to its customers containing the following information:
Total Before VAT: ฿10,000
VAT (7%): ฿700
Grand Total: ฿10,700
For the sale of goods, VAT is due when goods are delivered or when payment is received, whichever comes first. For the provision of services, VAT is due when payment is received.
VAT returns (PP.30 for domestic transactions, PP.36 for payments to foreign entities) must be filed and paid to the Revenue Department by the 15th of the following month (or the 23rd when filed online).
Failure to file or pay VAT on time results in three separate charges:
| Charge | Details | Amount |
|---|---|---|
| Fine | Filed late but within 7 days of the deadline | ฿300 |
| Fine | Filed more than 7 days after the deadline | ฿500 |
| Surcharge | Monthly surcharge on VAT payable, from due date until payment | 1.5% / month |
| Civil Penalty | For underpayment or non-declaration — assessed by Revenue Department officer | Up to 2× VAT due |
All three charges — fine, surcharge and civil penalty — can apply simultaneously. The civil penalty is at the discretion of the Revenue Department officer and may be reduced through voluntary disclosure before an audit.
BizStep prepares and submits your VAT returns (PP.30 / PP.36) every month as part of our all-inclusive accounting plans.
Talk to us about your accounting needs in Thailand.