Thailand to Give Tax Breaks for Children
June 22, 2015 Taxation in Thailand
BANGKOK – Taxpayers in Thailand may soon see a reduction in personal taxes, and a extra tax benefits for each child they have.
In an effort to address the issue of a rapidly ageing population the government of Thailand will implement new tax breaks to encourage taxpayers to have children, according to director-general of the Revenue Department Prasong Poonthanes.
Currently taxpayers are entitled to an allowance of THB 15 000 per child under the age of 18, or per child under the age of 25 while they are enrolled in an education institution.
The allowance is currently granted for up to three children, however, according to the director-general said that the limit could be raised to an unlimited number of children.
Further, the Revenue Department is looking raise the personal tax allowances for individuals, currently set at a level of 40 percent of total annual income.
It is expected that the increase in the tax allowance could reduce tax revenues by a level of THB 10 billion per year.
It is currently estimated that 13 percent of the population is over the age of 60, however this level is expected to rise to 25 percent by 2030.
Photo By: Prachanart Viriyaraks