If you are holding the property in a company structure, you need to pay the Airbnb rental income into the company’s account, not just into your own. If this is you… Get in touch, we can help.
Misunderstanding the rules or failing to act on time can result in penalties, audits, or missed opportunities to reduce your tax bill. This guide explains how Airbnb rental income is taxed in Thailand, outlines the allowable deductions, provides instructions on filing your return correctly, and offers guidance on avoiding common mistakes—based on the rules in effect as of May 2025.
Understanding Thailand’s Personal Income Tax Rates (2025)
Thailand’s PIT system is progressive, meaning that higher income is taxed at higher rates. As of 2025, rates range from 0% to 35% depending on your taxable income:
These rates apply to your total taxable income, including earnings from Airbnb and any other income you receive in Thailand.
How Deductions Work: Standard vs. Actual Expenses
To reduce your taxable income, you can deduct expenses related to running your villa.
You have two options:
- Standard Deduction – You may deduct a flat 30% of your gross rental income. This requires no documentation and is the simplest option.
- Actual Expense Deduction – If you keep receipts and records, you may deduct the real costs of running your villa, such as:
- Cleaning and maintenance
- Management or agent fees
- Utilities, internet, and insurance
- Depreciation on furnishings or renovations
Example:
If you earn THB 1,000,000 in Airbnb income:
- With the standard deduction, THB 700,000 is taxable
- If your actual expenses are THB 400,000, only THB 600,000 is taxable
Choosing the proper method depends on how organised your records are and whether your expenses exceed 30% of your income.
Let Us File Your Thai Tax Return for You
Filing your personal income tax return in Thailand can be time-consuming and confusing—especially if you earn income from an Airbnb villa or other short-term rental. That’s where we come in.
Rental Tax Thailand, a division of Expat Tax Thailand, offers dedicated personal income tax (PIT) filing services for expats and foreign property owners. Whether your tax situation is straightforward or complex, we offer a service tier tailored to meet your needs.
Which Service Is Right for You?
If you operate a short-term rental such as an Airbnb villa, your situation typically involves rental income, deductible expenses, and possibly foreign income remitted to Thailand. For this reason, we recommend one of the following service tiers:
Assisted Expat Tax Filing – Most Popular for STR Operators
Our team prepares and files your return, ensuring accuracy and compliance. We:
- Review your Airbnb income and calculate allowable deductions
- Prepare and file your return (Form PND.94 & PND90)
- Advise on PIT, VAT, and remittance issues if applicable
- Answer your questions and guide you through every step
This is ideal for Airbnb hosts and villa operators who require professional assistance but don’t need comprehensive tax planning.
Learn more about our Assisted Tax Filing Service.
Expert Expat Tax Filing – Best for Complex or High-Value Rentals
This tier includes everything in the Assisted package, plus:
- A senior tax advisor will assess your overall tax position
- Tailored advice on tax residency, remittances, and international structuring
- Ongoing support to ensure full compliance year-round
Recommended for villa owners with large or multiple properties, cross-border income, or who want strategic tax insight.
Learn more about our Expert Tax Filing Service.
Why File with Expat Tax Thailand?
- We specialise in expat taxes—especially property and STR income
- We handle the paperwork, submission, and calculations
- We help you avoid penalties, missed deductions, or late filings
- Thousands of expats trust us across Thailand
Don’t File Alone—File with Confidence
Avoid the stress of navigating Thai tax forms and rules. Let our expert team take care of your filing, so you can focus on running your villa, not worrying about the Revenue Department.
Can You Split Income with a Spouse?
Some villa operators hope to reduce taxes by sharing income with a spouse. This is only possible if the spouse is a legal co-owner of the property, as documented in official land records or lease agreements. Artificial income splitting—without legal ownership—could raise red flags and trigger an audit.
Practical Steps for Compliance
- Apply for a Tax ID before you start operating
- Track income and expenses monthly using software or a spreadsheet
- Keep receipts for every deductible expense if you use the actual method
- Review your finances quarterly so there are no surprises at year-end
- Seek help from a qualified accountant or tax advisor, especially if you’re new to the system
Common Mistakes to Avoid
Here are some common errors made by villa operators that can lead to penalties:
- Failing to register for VAT if your annual gross rental income exceeds THB 1.8 million
- Using Form PND.91 instead of PND.90 when you have rental income
- Claiming deductions without receipts
- Not declaring foreign income remitted to Thailand in the same year
- Assuming Airbnb income is informal and doesn’t need to be reported
Final Thoughts
If you’re earning income from an Airbnb villa in Thailand, personal income tax is not something you can afford to ignore. With the right guidance, it’s entirely manageable—and there are often ways to reduce your tax liability if you understand the rules.
Let Us Take Care of It
Rental Tax Thailand is a dedicated division of Expat Tax Thailand, the country’s leading tax service for expats and foreign property owners. We specialise in personal income tax for Airbnb villa operators, offering expert guidance, accurate filing, and full compliance with Thai law.
Whether you need help registering, claiming deductions, or filing your annual return, we’re here to make the process simple and stress-free.
Avoid the hassle, ensure accuracy and compliance, and let our team take care of the filing so you can focus on building your Airbnb business.
