Soon, the Thai government will announce a law that allows personal income taxpayers (including taxpayers who are foreigners) to claim a tax deduction of up to 30,000 Thai baht for domestic purchases of goods and acquisitions of services that were made during 1 January 2023 through 15 February 2023. An additional tax deduction of up to 10,000 Thai baht shall apply if the electronic tax invoices were issued from those purchases or acquisitions (please check with the suppliers of goods or service providers whether the tax invoice that they issues is an ordinary tax invoice or electronic tax invoice). Therefore, for example, if you are subject to the highest Thai income tax rate of 30%, for every 100 baht of the purchases that you can claim that tax deduction will reduce your tax payment (or increase your tax refund) by 30 baht. Please note that this tax deduction programme is for the tax year 2023, NOT 2022.
Listed below are the goods and services that you CAN or CANNOT claim the tax deduction from the purchase or acquisition of:
You CAN claim the tax deduction from the purchase of following goods or acquisition of following services:
- goods and services that are subject to Thai value-added tax (VAT). Generally, the goods that you purchase from minimarts and department stores are subject to VAT;
- dining in at restaurants (where such a restaurant is a VAT registrant);
- registered OTOP products;
- books (including E-books); and
- fuel and petrol for vehicles
You CANNOT claim the tax deduction from the purchase of the following goods or acquisitions of the following services:
- newspapers and magazines (including electronic ones);
- alcoholic beverages and tobacco products;
- automobiles, motorcycles, and boats (but the service costs for the repairing and maintenance of those vehicles CAN be claimed for tax deduction);
- hotel accommodation expenses (but dining in at hotel restaurants CAN be claimed for tax deduction) and tour service costs;
- utility bills, such as tap water, electricity, telephone, and internet; and
- service fees under the agreement where term commenced before 1 January 2023 and ended after 15 February 2023.
If you wish to claim this tax deduction, please request a FULL tax invoice (not an abbreviated tax invoice), if the goods or services that you have bought or acquired are subject to VAT, from the sellers of the goods or providers of the services. If those goods or services are not subject to VAT, instead please request a receipt. In either case, your name and Thai tax ID number should appear on the document. Your Thai tax ID number is a 13-digit number that is printed in the top left corner of the first page of your Thai income tax return. If you are a foreigner, your Thai tax ID number shall begin with 09910. The tax invoice in Thai language is "Bai Kum Kab Par See".
We, N-Able Group, are a real proficient expert in Thai personal income tax matters, especially for the issues that concerns FOREIGNERS. If you have any further questions or need any assistance in Thai taxation matters, please do not hesitate to contact us through the following channels:
Email address: firstname.lastname@example.org
Telephone, WhatsApp, and Line: + 66 95 557 1410