An Invoice of 107,000 Baht Pays 104,000 Into the Bank — Thai Withholding Tax Is Computed on the Pre-VAT Base
Thai withholding tax is always computed on the amount before VAT. A service invoice of 100,000 baht plus 7% VAT totals 107,000, but the 3% withholding applies to the 100,000 base — 3,000 baht — so 104,000 is what actually arrives. Why computing it on the gross total skews every invoice in the same direction, why services are withheld on but pure goods sales generally are not, and why the withheld money is not lost, only slow.












































































































































