Personal income tax deduction for the purchase of domestic goods or services

On 22 October 2020, Ministerial Regulation No. 368 issued by the Revenue Department was published in the Government Gazette. This regulation allows a personal income tax deduction of up to THB 30,000 for purchases of goods or services from a VAT registrant.

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16 November 2020

It also includes purchases of the following goods or services from an entity that is not a VAT registrant:

• Books

• E-books

• OTOP products registered with the Department of Community Development

However, the personal income tax deduction cannot be claimed for the following goods or services:

• Liquor, beer, and wine

• Tobacco

• Oil and gas for vehicles

• Cars, motorcycles, and boats

• Newspapers and magazines

• E-newspapers and e-magazines

• Tour arrangement fees paid to tourism business operators under the law on tourism business and guides

• Service fees paid for accommodation to a hotel operator under the hotel law

The personal income tax deduction under this Ministerial Regulation does not apply to:

• an ordinary partnership or a body of persons which is not a legal entity

• a person who exercises the right under the program that the government shall pay half of the amount spent on consumer products according to the Cabinet resolution on 29 September 2020

• a person eligible under the program to increase purchasing power of a state welfare card holder according to the Cabinet resolution on 29 September 2020

To qualify for the deduction, the goods or services must be purchased in Thailand from 23 October 2020 to 31 December 2020. In addition, a full tax invoice in the format set out in Section 86/4 of the Revenue Code must be retained as evidence when claiming this deduction.