Articles | Updated 2 November 2026
Thai Tax Deductions for 2026: What Shop Owners Can Claim Before 31 December
2026 tax deductions apply to income from 1 January to 31 December 2026, and you file early in 2027. Deductions that need a payment first, such as life insurance, Thai ESG funds and donations, must be paid by 31 December 2026. Family allowances, such as supporting your parents, apply as long as you meet the conditions.
Pa only thinks about deductions when it is time to file
Year-end tax planning
Digs back ↓
- Hunts for a whole year of shop receipts
- Too late to buy a fund
- Adds up a year of sales by hand
Deductions that needed paying by 31 Dec are gone
Ann checks the year's figures in November
Year-end tax planning
The system sums it up ↓
- Opens the sales and expense reports
- Picks the deductions worth claiming
- Pays within the year
Ready to file early next year
Common deductions for 2026
Yearly deductions according to the Revenue Department summary
Personal
Maximum deduction: 60,000 baht
Must be paid within the year?: No
Spouse with no income
Maximum deduction: 60,000 baht
Must be paid within the year?: No
Children
Maximum deduction: 30,000 baht each; 60,000 baht for the second child onward born from 2018
Must be paid within the year?: No
Parents aged 60 or over with income of no more than 30,000 baht a year
Maximum deduction: 30,000 baht each
Must be paid within the year?: No
Social security contributions
Maximum deduction: Amount actually paid
Must be paid within the year?: Already deducted from salary
Life insurance of 10 years or more
Maximum deduction: 100,000 baht
Must be paid within the year?: Premium must be paid within the year
Your own health insurance
Maximum deduction: 25,000 baht, and no more than 100,000 baht combined with life insurance
Must be paid within the year?: Premium must be paid within the year
Parents' health insurance
Maximum deduction: 15,000 baht
Must be paid within the year?: Premium must be paid within the year
RMF, provident fund, pension insurance
Maximum deduction: No more than 500,000 baht combined
Must be paid within the year?: Must be bought or paid within the year
Thai ESG
Maximum deduction: 30% of income, up to 300,000 baht
Must be paid within the year?: Must be bought within the year
Home loan interest
Maximum deduction: 100,000 baht
Must be paid within the year?: Counts what you paid in the year
Donations
Maximum deduction: Up to 10% of income after expenses and deductions
Must be paid within the year?: Must be donated through e-Donation
| items | Maximum deduction | Must be paid within the year? |
|---|---|---|
| Personal | 60,000 baht | No |
| Spouse with no income | 60,000 baht | No |
| Children | 30,000 baht each; 60,000 baht for the second child onward born from 2018 | No |
| Parents aged 60 or over with income of no more than 30,000 baht a year | 30,000 baht each | No |
| Social security contributions | Amount actually paid | Already deducted from salary |
| Life insurance of 10 years or more | 100,000 baht | Premium must be paid within the year |
| Your own health insurance | 25,000 baht, and no more than 100,000 baht combined with life insurance | Premium must be paid within the year |
| Parents' health insurance | 15,000 baht | Premium must be paid within the year |
| RMF, provident fund, pension insurance | No more than 500,000 baht combined | Must be bought or paid within the year |
| Thai ESG | 30% of income, up to 300,000 baht | Must be bought within the year |
| Home loan interest | 100,000 baht | Counts what you paid in the year |
| Donations | Up to 10% of income after expenses and deductions | Must be donated through e-Donation |
3 changes in 2026
What is different from last year, according to the Revenue Department guide for tax year 2026
- Thai ESG bought by 31 Dec 2026 still deducts up to 30% of income, capped at 300,000 baht, held for 5 years. From 2027 the cap drops to 100,000 baht and you must hold for 8 years.
- From 1 Jan 2026, donations to temples, foundations and charities count as a deduction only if made through the e-Donation system.
- The social security wage ceiling rose to 17,500 baht, so employees pay at most 875 baht a month. The deduction is the amount actually paid.
Deductions shop owners should look at closely
A shop owner trading as an individual has 40(8) income and can deduct expenses in 2 ways: a flat rate or actual expenses. Shops selling goods they do not make and restaurants can take a 60% flat rate. Choosing actual expenses means keeping proof of every expense for the whole year.
- Machines or equipment with a 5-star energy label, bought from a VAT-registered seller with an electronic tax invoice, give an extra 50% deduction of what you paid, from 3 Mar 2026 to 31 Dec 2028.
- Rooftop solar panels on your home deduct the amount paid up to 200,000 baht for 1 system, also with an electronic tax invoice.
- Minimum tax: if your 40(5) to 40(8) income totals 120,000 baht or more, also work out 0.5% of that income. If the result is over 5,000 baht, pay whichever is higher.
Example: a shop with 1.5 million baht in yearly sales
A shop selling goods it does not make, using the 60% flat expense rate. The right-hand case adds allowances for 2 parents, 50,000 baht of life insurance and 100,000 baht of Thai ESG.
The extra deductions cut the tax by 23,000 baht. All figures use the same tax rates as our tax calculator.
Yearly sales
Personal allowance only: 1,500,000
With extra deductions: 1,500,000
60% flat expense
Personal allowance only: 900,000
With extra deductions: 900,000
Total deductions
Personal allowance only: 60,000
With extra deductions: 270,000
Net income
Personal allowance only: 540,000
With extra deductions: 330,000
Tax on net income brackets
Personal allowance only: 33,500
With extra deductions: 10,500
Minimum tax, 0.5% of sales
Personal allowance only: 7,500
With extra deductions: 7,500
Tax to pay
Personal allowance only: 33,500
With extra deductions: 10,500
| items | Personal allowance only | With extra deductions |
|---|---|---|
| Yearly sales | 1,500,000 | 1,500,000 |
| 60% flat expense | 900,000 | 900,000 |
| Total deductions | 60,000 | 270,000 |
| Net income | 540,000 | 330,000 |
| Tax on net income brackets | 33,500 | 10,500 |
| Minimum tax, 0.5% of sales | 7,500 | 7,500 |
| Tax to pay | 33,500 | 10,500 |
How to keep your documents complete
- For life insurance, health insurance and funds, tell the company you will claim the deduction and it sends the data to the Revenue Department.
- For home loan interest, ask the bank for an interest certificate.
- If you deduct actual expenses, keep every receipt and tax invoice for shop costs. A shop that records sales and purchase bills in its software every day sees the whole year's sales and expenses in a report at year end.
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Frequently asked questions
- By what date must 2026 deductions be paid?
- Items that need a payment, such as life insurance, Thai ESG, RMF and donations, must be paid by 31 December 2026, then claimed when you file early in 2027.
- Can I still deduct SSF in 2026?
- The Revenue Department guide for tax year 2026 no longer lists SSF. For a fund deduction, look at Thai ESG or RMF.
- Is there Easy E-Receipt in 2026?
- It is not in the Revenue Department guide for tax year 2026 as of the date we checked. If a new announcement comes out, we will update this article.
- Does the GORINY tax calculator work for shop income?
- It works for salaries and wages. For trading income, follow the method in the example above.
Sources
Checked against official announcements on 2 November 2026
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