United States vs Thailand taxes (2026): LTR, remittance and citizenship tax

United States vs Thailand tax rates at a glance

Tax	🇺🇸 United States	🇹🇭 Thailand
Income tax	Personal income tax: 10% - 37% Social Security: 6.2% Medicare: 1.45% Additional Medicare: 0.9% State income tax: Varies	Personal income tax: 0% to 35% Top bracket: 35% Foreign income: Taxable if remitted Social security: 5% (THB 750 max)
Corporate tax	C corporation tax: 21% CAMT: 15% Pass-through entities: Different State tax: Varies	Corporate income tax: 20% SME corporate tax: 0% / 15% / 20% Foreign-company WHT: 15% Petroleum income tax: 50% Top-up tax: 15%
Capital gains tax	Long-term capital gains: 0% - 20% Short-term capital gains: 10% - 37% Qualified dividends: 0% - 20% NIIT: 3.8%	Capital gains tax: 0% to 35% Listed share gains: 0% Crypto gains: 0% Ordinary income treatment: 35%
Dividend tax	Qualified dividends: 0% - 20% Ordinary dividends: 10% - 37% NIIT: 3.8% State tax: Varies	Dividend withholding tax: 10% Resident individuals: 10% Resident corporations: 0% / 10% Non-residents: 10%
Wealth tax	Net wealth tax: 0% Property tax: Varies Estate tax: Up to 40% Gift tax: Up to 40%	Net wealth tax: 0% Net worth tax: 0% Annual asset tax: 0%
Inheritance / estate tax	Federal inheritance tax: 0% Federal estate tax: Up to 40% Federal gift tax: Up to 40% Basic exclusion: $15,000,000	Inheritance tax: 10% Ascendants and descendants: 5% Spouse: 0% Threshold: THB 100 million
VAT / GST / sales tax	Sales tax: Varies by state	VAT: 7% (temporary)
Days test	Citizenship tax applies regardless of days abroad	Generally 180 days in a calendar year for Thai tax residence
Foreign income	Worldwide inclusion for citizens and resident aliens	Post-2023 foreign income taxable for residents when remitted

Who wins on each tax

Personal income taxThailand

Thailand's top PIT rate is 35%; the U.S. federal ordinary top rate is 37% before state tax.

Corporate taxThailand

Thailand's standard CIT is 20%; U.S. C corporations pay 21% federally plus possible state tax.

Capital gains taxUnited States

The U.S. uses 0% to 20% federal long-term rates; Thailand has no separate CGT and usually taxes gains as ordinary income up to 35%.

Inheritance taxThailand

Thailand taxes inheritances above THB 100 million at 10%, or 5% for certain heirs; the U.S. federal estate tax can reach 40%.

VAT / sales taxUnited States

The U.S. has no federal VAT; Thailand's VAT is 7% on a temporary reduced rate through 30 September 2026.

The verdict

Thailand is a moderate headline system, not a zero-tax visa. Personal income tax is 0% to 35%, corporate income tax is 20%, and VAT is 7% through 30 September 2026 unless extended. The United States uses 10% to 37% federally before state tax, 21% federal C-corporation tax and no federal VAT.

LTR/LIV and other long-stay routes can change the residual Thai bill for qualifying people, but they do not delete tax residence. Spending 180 days or more in a calendar year generally makes you a Thai tax resident. Residents can be taxed on foreign income earned from 1 January 2024 onward when it is remitted to Thailand. A U.S. citizen is still on the IRS worldwide system whether or not the income is remitted.

Choose Thailand for living costs, a possible LTR/LIV package and a 20% company rate with local substance. Choose the United States for long-term federal gain brackets and capital markets. Do not treat a visa sticker as a U.S. tax exit.

How to read this comparison

Thailand sells lifestyle. The tax system sells residence, remittance and a 35% top rate. Long-Term Resident (LTR), LIV and related long-stay visas sit in the middle: they can cut residual Thai personal tax for people who qualify, and they do nothing to the Internal Revenue Code.

Thai personal income tax is progressive from 0% to 35%, with the top band above THB 5 million. There is no special foreigner discount in the ordinary table. Residence is generally 180 days or more in a calendar year. That is a short fuse compared with people who treat a tourist-exempt stay as planning. Once resident, Thai-source salary, bonuses and business income are in the progressive scale, and foreign-source income earned from 2024 onward is taxable when remitted to Thailand in the same or a later year. Pre-2024 and post-2024 sourcing records therefore matter.

LTR/LIV, and other long-stay products grouped with them, can change the residual Thai PIT for qualifying wealthy, professional or work-from-Thailand categories. That is a visa-conditioned relief, not a territorial rewrite for everyone on the flight. Days still count. Thai-source work still withholds. Remitting a U.S. brokerage withdrawal can still create Thai tax. Employee social security is 5% with a THB 750 monthly cap, which is modest next to U.S. payroll tax but is not zero.

The United States does not care that the income stayed in a Singapore account. Citizens and resident aliens are generally taxed on worldwide income. Federal ordinary rates run from 10% to 37%. Long-term gains use 0% to 20% federally. Thailand has no separate capital-gains tax and usually folds gains into ordinary income, which can be worse than the U.S. long-term brackets. Corporate tax is close: 20% Thai CIT versus 21% U.S. federal. VAT is 7% on a temporary reduction scheduled to expire on 30 September 2026 unless extended. Inheritance tax is 10%, or 5% for certain heirs, only above THB 100 million.

A U.S. citizen on an LTR/LIV package should build one spreadsheet with Thai days, remittances, any visa tax concession, 20% CIT if there is a Thai company, and the U.S. return that never stopped. The visa gets you in. The 180-day test and the IRS keep you honest.

Which one fits you

🇺🇸 Choose United States if you're a…

Investors who need federal long-term CGT brackets
People whose income will be remitted into Thailand and taxed there
Founders who need U.S. capital markets

🇹🇭 Choose Thailand if you're a…

Qualifying LTR/LIV or other long-stay residents who model residual Thai PIT
Companies with Thai-source profits at 20% CIT
Families below Thai inheritance-tax thresholds

Frequently asked questions

Does a Thailand LTR visa mean no tax?

No. LTR/LIV and related long-stay visas can reduce residual Thai tax for qualifying categories, but days tests, remittance of foreign income and ordinary Thai-source salary still apply. U.S. citizenship tax continues.

When is foreign income taxed in Thailand?

Thai residents can be taxed on foreign income earned from 1 January 2024 onward when that income is remitted to Thailand in the same or a later year.

Is Thailand lower tax than the United States?

The 35% PIT top and 20% CIT can look lighter than 37% federal plus state tax and 21% plus state corporate tax. Gains taxed as ordinary income, remittance rules and U.S. worldwide filing can erase that edge.