Thailand Import Tax, What is Coming for 2026

Résumé : Importing goods into Thailand involves multiple tax obligations, including Thailand Import Tax, customs duties in Thailand, 7% VAT, and sometimes Import excise tax Thailand. Understanding your importer registration, valuation methods, and documentation requirements is essential for accurate accounting and import tax compliance in Thailand. Penalties for non-compliance can be severe.

Introduction

Thailand continues to be a top choice for international trade in Southeast Asia, offering foreign businesses access to a well-connected logistics network and growing consumer base. But while the market potential is attractive, importing into Thailand is far from straightforward, particularly when it comes to tax and accounting compliance.

Importers must deal with a multi-layered regulatory framework involving Thailand Import Tax, customs duties, value-added tax (VAT), and in some cases excise and interior taxes. Beyond tax obligations, businesses must also consider importer registration, product classification, valuation methods, and extensive documentation requirements.

This post explores the key tax and accounting considerations for importing into Thailand in 2026, helping companies plan more effectively, avoid penalties, and explore cost-saving opportunities such as Free Trade Agreements et BOI incentives.

Understanding the Tax Framework for Importing into Thailand

Thailand imposes a layered tax structure on imports, including customs duties, value-added tax (VAT), and in some cases, excise and interior taxes. These obligations apply to all commercial importers in Thailand and must be accurately calculated and reported for tax and accounting compliance.

Thailand Import Duties

Calculated using either a fixed rate or ad valorem method (percentage of value). Rates vary from 0% to 80%, depending on the HS code classification.

VAT on Imports

A flat 7% VAT is imposed on all imported goods, regardless of value, under a 2024 rule change. VAT is calculated on the CIF (Cost + Insurance + Freight) value plus applicable duties and charges.

Import Thailand Excise Tax Thailand and Local Levies

Excise taxes apply to specific goods such as alcohol, tobacco, and luxury items. An additional 10% interior tax is levied on top of excise in many cases.

An Example of how to Calculate Thailand Import Tax in Thailand

Thailand applies a standard Value Added Tax (VAT) rate of 7% on all imported goods. This tax is calculated based on the total landed cost of the goods, which includes the Cost, Insurance, and Freight (CIF) value, as well as any customs duties in Thailand and additional fees. The CIF method is the official valuation system used by Thai Customs to determine the taxable base for both duties and import VAT Thailand.

For an example of how Thailand Import Tax are calculated please see the following examples:

Scenario 1: General Goods (e.g., Electronics, Clothing) 

Assume goods with a CIF value of 10,000 Baht and an import duty rate of 10%:  

• Import Duty: 10,000 Baht * 10% = 1,000 Baht.  
• VAT Base: (CIF Value + Import Duty) = 10,000 Baht + 1,000 Baht = 11,000 Baht.  
• VAT Payable: 11,000 Baht * 7% = 770 Baht.  
• Total Tax Payable: 1,000 Baht (Duty) + 770 Baht (VAT) = 1,770 Baht.  

Scenario 2: Goods Subject to Additional Taxes (e.g., Luxury Items, Alcohol) 

Some products, particularly luxury goods, alcohol, tobacco, and petroleum products, are also subject to excise taxes, which can significantly increase the total tax owed.  

Consider a product with a CIF value of US$ 200 (approx. 7,300 THB), an import duty of 60%, an Import excise tax Thailand of 30%, and a 10% interior tax on excise tax.  

• Import Duty: (200 US$ * 0.60) = 120 US$.  
• Excise Tax Base: (CIF Value + Import Duty + Fee). (Assuming a fixed fee of 50 US$ for this example, as per snippet ).
  • (200 US$ + 120 US$ + 50 US$) = 370 US$.
  • Excise Tax = 370 US$ * {0.3 / 1 – (1.1 * 0.3)} = 370 * 0.4477612 = 165.67 US$.  
• Interior Tax: 165.67 US$ * 0.10 = 16.57 US$.  
• Base VAT: (CIF Value + Import Duty + Fee + Import Excise Tax Thailand + Interior Tax) = (200 + 120 + 50 + 165.67 + 16.57) = 552.24 US$.  
• VAT Payable: 552.24 US$ * 7% = 38.66 US$.  
• Total Payable (Taxes & Duties): 120 + 50 + 165.67 + 16.57 + 38.66 = 390.9 US$ (approx. 14,260 THB).

These examples highlight how the total cost of importing goods into Thailand can significantly exceed the initial purchase price. This is due to the cumulative effect of Thailand import duties, import VAT Thailand, and other applicable taxes. For importers, factoring these charges into pricing strategies and financial forecasts is essential to maintain profitability and avoid unexpected expenses.

VAT Requirements for Imports

Businesses that import goods must be registered for VAT and hold a valid Phor Phor 20 certificate. VAT paid at customs is typically creditable, provided:

• The importer holds a valid tax invoice from Customs.
• The VAT is recorded in the correct tax period.
• The goods are used for taxable business activities.

Under Thai VAT rules, import VAT is considered input tax and must be recorded in the tax period in which the goods clear customs. It is important for accountants to match VAT payment records with the official Import Declaration and receipt.

Understanding How to Calculate Customs Valuation

Correct customs valuation is required not just for duty calculation, but for accounting accuracy. Thai Customs uses the CIF method, which includes:

• Invoice Value (Cost of Goods): The price paid or payable for the imported goods.
• Freight: The cost of transporting goods to the port of entry in Thailand.Insurance: Insurance costs incurred to cover the goods during transit to Thailand.
• Applicable Royalties and License Fees: If these are a condition of the sale, they must be added to the customs value.
• Packing Costs: Charges for packing the imported goods, whether for materials or labor.
• Certain Commissions and Brokerage Fees: Sales commissions (but not buying commissions) related to the import.

What’s Not Included?

Some costs should be excluded from the customs value calculation:

• Post-importation Transportation: Costs incurred for transporting goods within Thailand after import.
• Construction, Assembly, or Installation within Thailand: Expenses related to further work done after the import.
• Interest on Deferred Payments: Typically excluded unless it reflects the true value of the goods.
• Buying Commissions: Fees paid by the importer to their agent for the purchase of goods.

Your accountant should ensure these components are recorded correctly and consistently across financial records, customs declarations, and audit trails. This includes maintaining comprehensive supporting documentation, such as commercial invoices, freight and insurance certificates, royalty agreements, and relevant contracts, to explain how each part of the customs value was calculated.

Penalties and Tax Risks for Importers in Thailand

Misclassification, valuation errors, missing documents, can lead to clearance delays, extra storage costs, and missed delivery deadlines. Furthermore, serious non-compliance, such as false declarations or smuggling, can trigger significant penalties including:

• Duty Shortfall and Surcharges: A surcharge of 1.5% per month on any unpaid tax amount, accruing until the tax is fully paid. This can be compounded by fines of 50% to 200% based on the duty shortfall.
• VAT Penalties: Proportional VAT penalties are applied based on the duty fine, along with VAT surcharges. Late filing of VAT returns can incur penalties of up to 200% of the VAT payable, plus a surcharge of 1.5% per month.
• Criminal Liabilities: For false declarations and customs evasion, penalties can include a fine from 0.5 to 4 times the duty shortfall, or maximum prison terms of 10 years, or both. Importing prohibited or restricted goods can lead to a maximum fine of 500,000 Baht or imprisonment for up to 10 years, or both.  

For accounting teams, proper record keeping and internal checks are essential to reduce the risk of retrospective assessments.

Duty Planning Through Free Trade Agreements

Thailand has signed numerous Free Trade Agreements (FTAs), including with ASEAN, Japan (JTEPA), and under the Regional Comprehensive Economic Partnership (RCEP). 

These agreements offer significant cost-saving opportunities for importers by reducing or eliminating Thailand import duties on qualifying goods. However, to access these preferential rates, importers must strictly comply with Rules of Origin (ROO) and submit a valid Certificate of Origin at the time of customs clearance.

From an accounting and financial management perspective, leveraging FTAs can lead to substantial improvements in pricing accuracy, margin control, and long-term profitability. Here’s how:

Track Cost Savings from Preferential Duty Rates

Accountants should monitor the difference between standard and FTA-reduced duty rates to quantify cost savings. These savings can then be reflected in procurement reports, used to evaluate supplier performance, or reinvested into pricing strategy or operational improvements.

Update Landed Cost Models

La méthode du landed cost of imported goods includes not only the purchase price, but also freight, insurance, import duty, and VAT. Applying FTA benefits allows businesses to update these models more accurately, improving inventory valuation, profitability analysis, and pricing decisions.

Verify FTA Eligibility During Procurement

Before purchasing goods, businesses should assess whether the supplier’s products meet FTA requirements and can be supported by a valid Certificate of Origin. This allows procurement teams to prioritize cost-effective sourcing options and avoid surprises during customs clearance.

Import Tax Considerations by Product Category

Import tax obligations in Thailand can vary significantly depending on the type of goods being brought into the country. While all products are subject to the standard 7% VAT, Thailand import duties and excise taxes differ based on the product category and its classification under Thai customs law. 

Understanding these different tax rates is essential for accurate landed cost calculations, budgeting, and tax planning. The table below provides an overview of common product categories and the tax treatment importers can expect.

Product Type	Import Duty	TVA	Excise Tax	Notes
Electronics	5–15%	7%	Non	Check for NBTC/TISI licensing
Alcohol	60%+	7%	Oui	High cumulative tax burden
Raw Materials	0–5%	7%	Non	Often BOI-exempt
Vehicles	80%	7%	Oui	Among the highest taxed items

How can the BOI Help?

For businesses who import equipment, raw materials, or machinery for investment or manufacturing purposes, the Thailand Board of Investment (BOI) offers valuable tax incentives that can significantly reduce overall import costs, including the possible exemption of Thai import taxes.

One of the key benefits available to BOI-promoted companies is the exemption from import duties on machinery and raw materials used in approved projects. This can be especially advantageous for manufacturers setting up new production lines or expanding existing facilities in Thailand. In many cases, even used machinery may qualify for duty exemptions if it meets the BOI’s technical and environmental standards.

From a tax and accounting perspective, BOI promotion can help businesses:

• Reduce capital expenditure by eliminating import duties on essential production assets
• Lower the cost of goods sold (COGS) through raw material duty exemptions
• Improve cash flow forecasts and budget planning, especially for new projects or expansions
• Avoid double taxation e.g. Thai import taxes through coordinated incentives and documentation support

To benefit from these privileges, businesses must apply for and receive BOI approval before importing goods, and must comply with reporting and usage conditions set out in the BOI certificate. Accounting teams should closely coordinate with BOI officers to ensure that imported goods are correctly documented and declared under the approved project code to preserve exemption status.

Nos réflexions

Importing in Thailand presents great business opportunities, but it also comes with complex tax, duty, and accounting obligations. From VAT registration and customs valuation to leveraging Free Trade Agreements, each step requires careful planning and import tax compliance in Thailand. 

Companies should also explore whether their activities may qualify for a promotion du BOI, which can offer valuable import duty exemptions on machinery and raw materials. Assessing potential BOI eligibility early can lead to substantial cost savings and improved financial efficiency.

Clause de non-responsabilité

Veuillez noter que cet article est fourni à titre d'information uniquement et ne constitue pas un conseil juridique ou fiscal.