Certain types of income paid to companies are subject to withholding tax at source. The WHT rates depend on the types of income and the tax status of the recipient. The WHT is required to submitted to the District Revenue Offices within seven days of the following month in which the payment is made. The tax withheld will be credited against final tax liability of the taxpayer. The following are the WHT rates on some important types of income.

Types of income	Withholding tax rate
1. Dividend and share of profit	10 %
2. Interest1	1 %
3. Royalties2	3%
4. Advertising Fees	2%
5. Service and professional fees	3 %
6. Prizes and Rental expense	5%
7. Transportation	1%

Notes:

1. Tax will be withheld on interest paid to associations or foundations at the rate of 10%.
2. Royalties paid to associations or foundations are subject to 10% withholding tax rate.
3. Government agencies are required to withhold tax at the rate of 1% on all types of income paid to companies.

Withholding tax on foreign companies aboard

A foreign company that does not carry on business in Thailand will be subject to withholding

tax on certain categories of income derived from Thailand. The withholding tax rates may be

further reduced or exempted depending on types of income under the provision of Double Taxation Agreement.

 

Types of income	Withholding tax rate
1. Remittance of profit	10 %
2. Dividend	10 %
3. Other income such as interest, royalties, capital gains, rent and professional fees.	15%