Capital gains tax in Thailand

Thailand has no standalone capital-gains tax legislation. Instead, gains from the disposal of assets are folded into assessable income under Section 40 of the Revenue Code, administered by the Revenue Department (rd.go.th). This means the same progressive personal income tax (PIT) rates that apply to salary and business profits also apply to most capital gains, subject to several important exemptions. The core rates run from 0% on net income up to 150,000 baht, through five intermediate brackets, to 35% on net income exceeding 5,000,000 baht.

Are gains from selling shares taxed in Thailand?

Gains from selling shares listed on the Stock Exchange of Thailand (SET), where the sale is executed through the exchange itself, are exempt from personal income tax for individual investors. The exemption is established by Ministerial Regulation No. 187 (B.E. 2534) issued under Section 42(17) of the Revenue Code, and confirmed by the Revenue Department's published guidance (rd.go.th Section 38-64). The exemption applies regardless of how long the shares were held: a same-day trade and a decade-long holding both receive the same 0% treatment. Mutual fund units invested in SET-listed securities similarly benefit from a separate exemption under Ministerial Regulation No. 192 and Royal Decree No. 689.

The exemption is conditional on the transaction being carried out on the exchange. Shares in unlisted private companies, shares in listed companies sold over-the-counter rather than through SET trading systems, and shares in foreign-listed companies are all outside the exemption and are treated as ordinary assessable income taxed at progressive rates up to 35%. PricewaterhouseCoopers' Thailand tax summary (taxsummaries.pwc.com) confirmed this distinction as current through February 2026.

How are gains from selling immovable property calculated?

Gains from selling land, condominiums, or other immovable property do not use a simple net-gain calculation. Instead, the Land Department collects withholding tax at the point of transfer using a prescribed formula that incorporates a holding-period deduction and a year-by-year annualisation of the resulting figure.

The holding-period deduction table, sourced from the Revenue Department framework and confirmed by Acclime Thailand (thailand.acclime.com), is as follows:

Once the deductible percentage is applied, the remaining taxable figure is divided by the number of years of ownership to produce an average annual income amount. Progressive PIT rates are then applied to that annual figure (for example, the first 150,000 baht of annual income is exempt; the next 150,000 baht is taxed at 5%; and so on up to 35% above 5,000,000 baht). The resulting annual tax is multiplied by the number of years owned to arrive at the total withholding tax due. Many sellers elect to treat this withholding as a final liability rather than folding it into their annual PND.90 return.

A separate levy also applies: Specific Business Tax (SBT) at 3.3% (3% SBT plus 10% municipal surcharge on the SBT) is charged on the gross sale price or assessed value, whichever is higher, where the property is sold within five years of acquisition or where the seller operates as a property business. Properties held longer than five years that are not sold in a business context are instead subject to stamp duty at 0.5% of declared value, which is substantially lighter. A primary-residence exemption from SBT is available where the seller has maintained registered household-registration (tabien baan) at the property for at least one year before disposal, subject to Revenue Department approval.

What is the foreign-remittance rule introduced in 2024?

Prior to 2024, Thai-resident individuals could defer Thai taxation on foreign-source capital gains indefinitely: so long as the proceeds were not remitted to Thailand in the same calendar year the gain was realised, no Thai tax applied. Director-General's Departmental Instruction Por 161/2566, issued 15 September 2023 and effective from 1 January 2024, closed this deferral mechanism.

Under Por 161/2566, foreign-source assessable income (including capital gains from the disposal of overseas assets) earned by a Thai tax resident on or after 1 January 2024 becomes taxable in Thailand in the year it is remitted to Thailand, regardless of when it was earned. A Thai tax resident for this purpose is any individual who resides in Thailand for 180 days or more in a calendar year. Companion ruling Por 162/2566 (issued November 2023) preserves the prior same-year-remittance rule for income earned before 1 January 2024, preventing retroactive application. A comprehensive overview of both instructions is available from Mahanakorn Partners Group (mahanakornpartners.com).

The practical consequence: a Thai resident who sells a foreign-listed share portfolio in 2025 and holds the proceeds in an offshore account faces no Thai tax that year. When those proceeds are transferred to a Thai bank account in 2028, the full gain becomes taxable at progressive PIT rates of up to 35% for that tax year. Double-tax treaty relief (Thailand has treaties with over 60 countries) may provide a foreign-tax credit or reduce Thai liability where source-country withholding tax was already paid.

How are bonds and debentures treated?

Interest income from bonds and debentures held by individual investors is subject to 15% withholding tax under Section 50(2) of the Revenue Code, which taxpayers may elect as a final tax rather than aggregating into the annual PIT return. Capital gains from bond disposals receive different treatment: gains on the sale of non-interest-bearing bonds, debentures, bills, or other debt instruments issued by a Thai company or juristic entity are generally exempt under the Revenue Code, except where the instrument was first issued at a price below its redemption value to an individual investor -- in that case the discount element is treated as assessable income.

Gains on bonds traded through SEC-regulated platforms follow the general PIT framework for non-exempt instruments. Real Estate Investment Trusts (REITs) and infrastructure fund distributions use a withholding framework specific to those vehicle types, separate from the general bond rules. Practitioners typically refer to Revenue Department interpretation notes alongside the SEC Thailand framework when advising on structured-product disposals.

What progressive PIT rates apply to taxable capital gains?

When a capital gain is assessable (not covered by an exemption), it is aggregated with other income sources in the individual's annual PND.90 tax return and taxed at the following progressive rates, confirmed by PwC Thailand (taxsummaries.pwc.com):

Capital losses cannot be offset against capital gains under Thai law; loss-harvesting strategies available in some other jurisdictions have no equivalent mechanism here. Standard personal allowances (60,000 baht per filer, plus dependent and insurance-premium deductions) reduce the total net taxable income figure.

For individuals and businesses assessing exposure across these categories, the Thailand country overview provides a broader framework. The remittance and treaty-credit rules in particular involve cross-border fact patterns that vary significantly by individual circumstance -- consulting a qualified tax professional familiar with Thai Revenue Department practice is the appropriate next step before any material transaction or filing position.