Payroll outsourcingThailand updates from the Revenue Department, Social Security Office, Labour Law and other HR related matters.
Personal income tax deduction for charitable donations for flood victims in many parts of Thailand
On 1 August 2017, the Cabinet approved tax measures for donations for flood victims and tax deductions for repairs or renovation expenses for all flood victims. Details are listed below:
- The conditions for donations for flood victims to be tax deductible are as follows:
1.1 Donations must be made to government agencies, approved charitable organizations listed in the Royal Gazette, or donating agents who are companies or legal partnerships or other legal entities registered with the Revenue Department as donating agents.
1.2 In addition to the normal tax deduction for donations, donors are entitled to claim an additional deduction of 50% of the amount of money or the value of donated items made between 5 July 2017 and 31 October 2017 when calculating their income tax. However, the total amount of donations to be deducted must not exceed 10 per cent of net assessable income.
1.3 Donors are required to show receipts, payment slips, or certificates for donations when submitting their personal income tax returns.
- Tax deductions for home renovations or vehicle repairs due to flooding may be taken as follows: 2.1 Taxpayers who live in the areas declared affected by flooding, and who spent money to repair immovable property that was damaged by flooding between 5 July 2017 and 31 December 2017, or to purchase materials for such repairs, can deduct the actual amount spent, but not more than 100,000 baht.
2.2 Taxpayers who live in the areas declared affected by flooding, and who spent money to repair vehicles that were damaged by flooding between 5 July 2017 and 31 December 2017, or to purchase materials for such repairs, can deduct the actual amount spent, but not more than 30,000 baht.