Step-by-step: Myanmar vs Thai PIT
This walk-through compares Myanmar PIT and Thai PIT for a regional employer running both payrolls. Default: salaried employee in each jurisdiction, single, no dependants. Brackets are from the Union Tax Law 2025-2026 (Section 5) for Myanmar; rates and allowances for Thailand are referenced for comparison only — confirm against the Thai Revenue Code for actual Thai filings. Tax years differ: Myanmar 1 April – 31 March, Thailand 1 January – 31 December.
Step 1 — Apply each jurisdiction's basic relief / allowance
| Element | Myanmar | Thailand (for reference) |
|---|---|---|
| Tax year | 1 April – 31 March | 1 January – 31 December |
| Basic personal relief / allowance | 20% of gross, capped MMK 10,000,000/year | Fixed personal allowance (THB 60,000) + expense deduction (50% of salary, capped THB 100,000) |
| Spouse allowance (no working spouse) | MMK 1,000,000 | THB 60,000 |
| Child allowance | MMK 500,000 per child | THB 30,000 first child, THB 60,000 each additional under specific rules |
| Donation deduction | Approved organisations within IRD cap | Approved donations within prescribed limits |
| Resident SSB / SSO contribution deduction | Employee SSB (2% on cap, max MMK 6,000/month) generally allowable | Employee SSO contribution allowable (5% on cap, max THB 750/month) |
Step 2 — Apply the bracket tables
| Annual taxable income | Myanmar marginal rate | Thailand marginal rate (illustrative) |
|---|---|---|
| Lowest band | 0% on first MMK 2,000,000 | 0% on first THB 150,000 |
| Second band | 5% on next MMK 8,000,000 (20L–100L) | 5% on next THB 150,000 |
| Mid band | 10% on MMK 10M–30M (100L–300L) | 10–20% bands at THB 300K–1M |
| Upper-mid band | 15% on MMK 30M–50M (300L–500L) | 25–30% bands at THB 1M–2M |
| Top band | 25% on MMK 70M+ (700L+) | 35% on THB 5M+ |
Worked illustration — a regional manager paid roughly equivalent USD-denominated salary in both jurisdictions:
| Aspect | Myanmar (MMK 12,000,000) | Thailand (THB equivalent) |
|---|---|---|
| Tax year | 1 April – 31 March | Calendar year |
| Headline relief | 20% × gross = MMK 2,400,000 | 50% expense + THB 60,000 allowance (capped THB 160,000) |
| Top marginal rate at this salary | 5% | ~10–20% depending on exact figure |
| Approx annual PIT | ~MMK 380,000 (after 20% relief) | Higher in absolute terms due to richer bracket structure (illustrative) |
Step 3 — Convert to dual compliance routine
- Myanmar: monthly PAYE return + remit by 15th of following month; annual reconciliation by 30 June.
- Thailand: monthly P.N.D. 1 + remit by 7th of following month; annual P.N.D. 91 by 31 March.
- Run two payrolls in parallel — different tax years, different forms, different deadlines.
- Mobile employees may have residency in both; use treaty articles to allocate.
What about SSB and the true net salary?
SSB (Myanmar) and SSO (Thailand) are different schemes. Myanmar: 2% employee + 3% employer on MMK 300,000/month wage base (max MMK 6,000/MMK 9,000 per month). Thailand: 5% employee + 5% employer on a wage base capped at THB 15,000/month. Both contribute to medical, sickness, maternity, and pension benefits in their respective systems.
Employer takeaway
Don't run a regional payroll on Thai assumptions. Myanmar uses a 1 April – 31 March tax year, a 20% basic relief, lower top rate (25%), and different filing deadlines. Map each employee to the right jurisdiction, run separate PAYE and SSB / SSO pipelines, and reconcile cross-border employees via treaty articles. Remit Myanmar PIT to IRD by the 15th of the following month, file by 30 June, and retain documents for at least 7 years.
Common variations to watch for
- Mobile manager based in Bangkok with Yangon trips — count days for Myanmar 183-day rule. See short-term assignments.
- Treaty relief between Thailand and Myanmar — see tax-treaty benefits.
- Group bonus paid centrally — assess in each jurisdiction proportionally.
- Equity vests across regional roles — apportion by duty days. See stock options.
- Different SSB / SSO bases — separate calculations.
Common PIT mistakes to avoid
- Using Thai calendar year on Myanmar filings — IRD will reject.
- Applying Thai allowances to Myanmar gross — reliefs are jurisdiction-specific.
- Forgetting Myanmar's 20% relief cap — MMK 10,000,000 max.
- Ignoring treaty relief on cross-border roles — produces double tax. See tax-treaty benefits.
We publish practical, legally-grounded HR guidance for Myanmar employers. Each piece is reviewed by our compliance team against current MLIP and Labor Law requirements.