Withholding Tax in Thailand: Rates, PND Forms and Deadlines for Businesses

In Thailand the payer collects much of the tax. When your company pays a salary, a freelancer, a landlord, an advertising agency or a foreign software vendor, you usually must deduct withholding tax (WHT), file a monthly PND return, pay the RD, and give the payee a certificate. Get this wrong and the RD will collect the missing tax from you, plus surcharges, even though it was the supplier's income.

1. The forms#

Deadlines:

• paper filing: by the 7th of the month after payment;
• e-filing: by the 15th, under the RD's 8-day e-filing extension;
• PND.54 for payments abroad: within 7 days after the end of the month of payment.

Most companies e-file, so the 15th is the working deadline.

2. Domestic rates when a company pays a Thai company or individual#

The 1,000 THB rule. Under Tor Por 4/2528, WHT on services does not apply where a single payment is below 1,000 THB. The exception is a contract with regular instalments, where the total matters.

Salaries use progressive rates. The employer estimates the annual tax and withholds one-twelfth each month on PND.1.

3. Payments abroad (PND.54)#

When a Thai company pays a foreign company that is not carrying on business in Thailand, Section 70 applies:

Thailand has double tax agreements with about 60 countries, including the UK, USA, Germany, Singapore, Japan, China, Australia, the Netherlands and Poland.

To apply a treaty rate:

• obtain a certificate of tax residence from the supplier's tax authority for the relevant year;
• keep the treaty analysis on file.

Without these, the RD can assess the full 15% on the payer.

Who bears the tax? If the contract says the price is "net of taxes", your company must gross up:

• WHT = price × 15/85;
• the grossed-up tax is itself a deductible expense, if properly documented.

Do not forget VAT on the same payment. A service performed abroad and used in Thailand needs 7% self-assessed VAT on PP.36 as well.

4. The 50 Tawi certificate#

For each payment with WHT, give the payee a withholding tax certificate (หนังสือรับรองการหักภาษี ณ ที่จ่าย, called "50 Tawi"). Issue it when you pay, or at the latest when you file. Employees receive an annual 50 Tawi for the PND.91 filing.

The payee uses it to credit the tax against their own CIT or PIT. Thai suppliers will chase you for it, so make sure your accountant sends certificates promptly.

e-Withholding Tax. Since 2020 payments made through participating banks can use the e-WHT system. The bank deducts the tax and transmits it to the RD at a reduced rate. Ministerial Regulation No. 402 (B.E. 2569), gazetted on 9 October 2026, sets the rate at 1% instead of 5%, 3% or 2% for qualifying payments made through e-WHT from 1 January 2026 to 31 December 2027. It was approved by the Cabinet on 16 June 2026 (RD press release 14/2569). On the worked example below, rent of 60,000 THB paid through e-WHT would carry 600 THB of WHT instead of 3,000 THB. That is cash-flow neutral overall, because the landlord credits the tax anyway, but suppliers tend to prefer it. You then do not issue paper certificates or file PND.3/53 for those payments.

5. Worked example: a typical month for a 15-person Bangkok company#

Monthly filings:

• PND.53;
• PND.3;
• PND.1;
• PND.54 (if any WHT is due);
• PP.36 for VAT on the SaaS: 7% × 35,000 = 2,450 THB.

6. Failing to withhold: who pays?#

Under Section 54 of the Revenue Code, a payer that fails to withhold, or withholds and does not remit, is jointly liable for the tax, plus:

• a surcharge of 1.5% per month on the unpaid tax;
• a fine for late filing;
• the risk that the expense is disallowed for CIT, because the RD links WHT compliance to deductibility in audits.

Recovering the tax from a supplier after the fact is usually unrealistic.

7. Special cases#

• Director fees (see also personal income tax for expats) paid to a non-employee director are assessable under Section 40(2), with progressive withholding on PND.1 or PND.3 depending on how they are paid.
• Payments to foreign individuals (e.g. a foreign speaker paid abroad for a seminar held in Bangkok): WHT at progressive rates or 15%, depending on residence. Treaties may override this.
• Reimbursed expenses are not exempt by default. Have the supplier invoice reimbursements separately and at cost, with evidence.
• Bundled contracts (equipment plus installation): split the price in the contract so WHT is only on the service part.
• Thai branches of foreign banks or companies: the domestic rates apply.

8. Monthly WHT routine#

1. Gather all payments made in the month and classify each by payee type and payment type.
2. Deduct the correct rate at the time of payment.
3. Issue 50 Tawi certificates.
4. E-file PND.1/3/53 by the 15th; PND.54 and PP.36 by the 7th (or with the e-filing extension).
5. Pay through e-payment.
6. Reconcile WHT payable in the ledger with the filed returns.
7. Each February: file PND.1 Kor and issue annual 50 Tawi to staff.

Quick self-check before you file each month#

• Did every payment to a Thai company for services, rent, advertising or transport get the right rate (3%, 5%, 2% or 1%)?
• Were payments abroad (fees, royalties, interest) checked for PND.54 and treaty rates, with PP.36 self-assessed VAT where needed?
• Was a 50 Tawi certificate issued for every deduction, with the payee's 13-digit tax ID?
• Do the totals on PND.3 and PND.53 match the general ledger WHT payable account?
• Were e-WHT payments made through a participating bank, with the bank's confirmation saved?

Frequently asked questions#

Do I withhold when paying an individual freelancer? Yes, 3% on PND.3 for services of 1,000 THB or more, and give them a 50 Tawi certificate.

Does a company with no VAT registration still withhold? Yes. Withholding obligations apply to every juristic person, whatever its VAT status.

What if the foreign supplier refuses to accept less than the invoice amount? Then your company bears the tax by grossing up (15/85 of the payment) and records it as an expense.

Is WHT a final tax? For employees and Thai companies, no: it is a prepayment credited at year-end. For foreign companies without a Thai business, and for individuals who elect final treatment on dividends or interest, it is final.

What is the deadline in practice? The 15th of the following month for e-filing. Paper filing is due by the 7th.

Do Thai individuals withhold when paying my company? Generally no. Order Tor Por 4/2528 places the service, rent and advertising withholding duties on juristic persons (companies, partnerships, foundations, government bodies). Individual customers pay your invoice in full.

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Related guides#

• Corporate Income Tax in Thailand: Rates, SME Rates, Filing Deadlines
• VAT Registration in Thailand: The 1.8M THB Threshold, PP.30 Filing and Tax Invoices
• Payroll and Social Security in Thailand: Employer Guide
• Personal Income Tax for Expats in Thailand: Residency, Rates and Foreign Income