Thailand Tax Calculator (2026) — Add or Reverse Tax
Thailand charges a 7% VAT, a 20% corporate tax rate, and a 35% top personal income tax rate.
How to use this calculator:
- Purchase mode — add VAT to a pre-tax price, or reverse a tax-included total to find the pre-tax price and exact tax paid.
- Profit / salary modes — enter an amount to see the corporate tax owed or a ceiling estimate of personal tax at the top marginal rate.
Understanding Thailand's Tax System
Thailand levies VAT at a standard rate of 7%. Its statutory corporate income tax rate is 20%, below the 23.37% global average. The top personal income tax rate is 35%.
Statutory VAT is 10%, reduced to 7% by rolling decree.
Region
Asia
VAT rate
7%
vs. world average corporate rate
3.4 points below the 23.37% global average
Why Reverse Tax Calculation Matters
Receipts and invoices usually show only the tax-included total — not the pre-tax price. Reversing the calculation matters for bookkeeping, expense claims, and cross-border price comparisons. Because dividing by (1 + rate) isn't the same as simply subtracting the rate, doing this by hand is a common source of errors — select "Reverse" in the purchase-mode calculator above to handle it exactly.
History & Context
Thailand's VAT law sets a 10% standard rate, but the government has used a temporary royal decree to hold the effective rate at 7% since the 1997 Asian Financial Crisis — nearly three decades of a 'temporary' reduced rate that gets extended roughly annually, most recently through September 2026.
Thailand's rolling VAT-reduction decree illustrates how a temporary crisis measure can become a de facto permanent policy — businesses and consumers have operated under the 'temporary' 7% rate for so long that reverting to the statutory 10% would itself be a major economic shock.
Business Use Case
A Thai business technically operates under a 10% VAT law but has only ever charged 7% in practice for its entire operating history if founded after 1997 — the gap between statutory and effective rate is a a Thailand-specific quirk that a business new to the market needs to understand isn't a permanent tax cut, just a rolling one.
Real-World Examples
VAT on a purchase
A ฿1,000.00 purchase in Thailand at 7%:
- Tax: ฿1,000.00 × 7% = ฿70.00
- Total: ฿1,070.00
Corporate tax on profit
฿1,000.00 in company profit in Thailand at 20%:
- Tax: ฿1,000.00 × 20% = ฿200.00
- After-tax profit: ฿800.00
Frequently Asked Questions — Thailand Taxes
What is the VAT rate in Thailand?▾
What is the corporate tax rate in Thailand?▾
What is the top personal income tax rate in Thailand?▾
How is tax calculated on a purchase in Thailand?▾
How do I reverse Thailand's VAT to find the price before tax?▾
References & Sources
Rates last verified for 2026. Tax rates change through national budgets — always confirm current figures with a qualified local tax advisor before making business or relocation decisions. This tool is for estimation and educational purposes only and is not tax, legal, or accounting advice.
Jordan Hayes
Verified AuthorLead Content Editor & Personal Finance Specialist
Jordan Hayes is a personal finance content strategist with 9+ years building educational finance and health resources. He has written and fact-checked over 200 personal finance guides covering mortgage amortization, retirement planning, tax strategy, and budgeting. His work applies IRS publications, Federal Reserve data, and peer-reviewed research to make complex calculations accessible.