Thailand mulls tax cut for skilled foreigners
Thailand is considering lowering the personal income tax for foreigners to 17%, aiming to attract highly skilled professionals to work in the country, according to Director-General of the Revenue Department, Ekniti Nitithanprapas.
Foreigners who would qualify for this lower tax rate must work in fields in which Thailand faces a skills shortage, and could work anywhere in the country, he added, noting that the department is currently considering a valid period for the tax privilege.
Workers whose annual income ranges from 150,001 baht (US$4,479) to 300,000 baht (US$8,958) are subject to a 5% tax, while those with annual income above 5 million baht (US$149,301) are subject to the top tax rate of 35%.
He noted that a tax cut would not be the main factor to attract foreign talent to work in Thailand, as other factors hold more weight, such as the safety of a country, quality of education in schools and medical care.
The Cabinet has since approved measures to attract highly skilled foreigners to reside in the country for the long-term. It has assigned the National Economic and Social Development Council to consult with related state agencies, including also the Finance Ministry on the matter, reports Bangkok Post.