The director-general of the department, Sathit Rangkasiri, said the personal income tax rate will be lowered from the present 10-37 per cent to 5-32 per cent, or a five-point cut in each tax band.
Sathit added that the law will be amended for married couples to submit tax forms separately so husbands no longer have to include their wives’ non-salary income in the calculation, which will lower the amount payable and expand the tax base.
The director-general said his agency is considering increasing the standard minimum taxable income to B60,000 a year for, in order to help offset the rising cost of living.
The department will also propose lowering the total amount for tax-deductible spending such as the purchase of life insurance, mortgage payments, and donations to charity to no more than B700,000 a year.
He said the proposal aims to make the tax payment structure fairer for low-income earners.