Tax incentives reducing personal income tax to 17% for skilled Thais abroad aim to attract them back to boost essential industries and the economy until December 2025.
Tax Incentives for Skilled Thais Abroad
The Cabinet recently approved tax incentives aimed at reducing personal income tax to 17% for skilled Thais working abroad. The goal is to attract these individuals back to Thailand to help boost essential industries and the overall economy until December 2025. The government is focused on harnessing the potential of talented citizens who have made their mark overseas and encouraging their return to contribute to local growth and development.
Key Takeaways
The approved tax incentives include a maximum 17% personal income tax rate for eligible skilled Thais in key industries. To qualify for the tax break, individuals must have worked abroad for at least two years, hold a Bachelor’s Degree, and provide proof of overseas employment. They are required to return to Thailand by the end of December 2025 and should not have resided in the country for at least two years prior to the enforcement of the revised tax law.
Promoting Innovation and Entrepreneurship
In addition to tax breaks for returning talent, the government is also extending incentives to businesses that hire skilled expatriates. Companies stand to benefit from corporate tax reductions and grants when employing professionals who bring their expertise back to Thailand. The government is creating innovation hubs and technology parks to cultivate an environment conducive for skilled individuals, providing access to resources and networking opportunities to drive entrepreneurship and attract foreign investments. This initiative not only enhances the competitiveness of Thai companies but also contributes to the country’s goal of becoming a regional innovation and technology leader.
Source : Tax Incentives to Attract Thai Expats Back to Work in Thailand