THAILAND: Income Tax Slashed for High Potential Foreign Residents

Thailand has approved tax incentives for foreign professionals. According to a National News Bureau of Thailand report on 23 February 2022, foreigners with specialised skills in targeted industries will pay 17% on personal income instead of the current 35%. The new measures also exempt wealthy foreigners with long-term residency (LTR) visas from tax on income or assets earned before moving to Thailand. 

An LTR visa requires investment over US$500,000 in Thai government bonds or real estate, personal annual income over US$80,000 for the previous two years, and US$1 million in assets. Retirees must be over 50, with US$250,000 in government bonds or real estate, and over US$40,000 income or US$80,000 pension annually. 

Foreigners staying to work need over US$80,000 earnings in the preceding two years; or US$40,000 if they have a Master’s degree, own an intellectual property right, or received Series A funding with over five years’ work experience. Those with specialised skills must have over US$80,000 earnings annually in the previous two years, or over US$40,000 with a post-graduate qualification and five years’ work experience in targeted sectors.