Corporate Income Tax Thailand 2018

Corporate income tax Thailand 2018 under Thai tax law needs to be applied  for all companies or juristic partnerships. Corporate income tax (“CIT”) is calculated on net profits derived from their worldwide activities. Those established under a foreign law carrying on business in Thailand are subject to CIT only on the net profits arising from their business activities in Thailand.

The term “company or juristic partnership” is defined to include entities such as limited partnerships, registered partnerships as well as unincorporated joint ventures.  

Corporate Income Tax Thailand 2018

 

How to calculate Corporate Income Tax Thailand 2018

Net profit for corporate income tax Thailand 2018  is calculated by taking into account all revenue arising from or in consequence of the business carried on in a tax year, and deducting from all allowable expenses. Revenue and expenses are computed on an accruals basis. Tax losses may be carried forward for a maximum of five years.

Period for Payment and Filing of Corporate Income Tax Thailand 2018

An annual CIT return must be filed within 150 days of the end of the accounting year. A half-year corporate tax return must also be filed and paid within 2 months.

Like tax paid on mod year return, Withholding tax deducted from income during the year is allowed as a tax credit against the tax payable on the annual tax return.

A refund of tax overpaid may be requested within 3 years and a request will generally be subject to tax audit before the refund is made.

The Revenue Department has the power to issue a summons to conduct a tax audit within two to five years from the date the return is filed. The period can be extended depending on sufficiency of  documentary evidence or reason to suspect the taxpayer on an intention to evade tax. Thai Revenue Department hold the rights to extent the assessment period to 10 years from the date the tax was required to be paid.

Rates of Corporate Income Tax Thailand 2018

  1. Exempt tax for SME on the net profit not exceeding Baht 300,000.
  2. 15% tax rate for SME on the net profit not between Baht 300,001 to 3,000,000
  3. 20% tax rate for SME on the net profit not exceeding Baht 3,000,000

Form for Filing of Corporate Income Tax Thailand 2018

For more detail , please visit webiste Thai Revenue Department

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