Thailand’s Cabinet Approves Draft Secondary Legislation on Global Minimum Tax

On 30 December 2025, the Thai Cabinet approved in principle four pieces of draft secondary legislation to support the implementation of Thailand’s Emergency Decree on Top-up Tax.

The Emergency Decree, in effect since 1 January 2025, supports the collection of a global minimum tax of 15% from large multinational enterprises and is based on the Pillar Two Global Anti-Base Erosion (GloBE) Model Rules.

The four pieces of draft secondary legislation consist of:

1. A Royal Decree setting out criteria for determining whether a multinational enterprise group that has undergone corporate restructuring falls within the scope of the top-up tax.

2. A Royal Decree prescribing entities that are not members of a corporate group.

3. A Ministerial Regulation prescribing the criteria for allocating top-up tax received by Thailand in cases where no group entity located in Thailand has GloBE income.

4. A Ministerial Regulation establishing rules for adjusting income, expenses, and covered taxes for top-up tax calculations, as well as the methodology for calculating the domestic top-up tax in Thailand.

Dr. Kulaya Tantitemit, Director-General of the Revenue Department, stated that the draft secondary legislation has been developed with due reference to the GloBE Model Rules, related Commentary, and the Administrative Guidance issued by the OECD.

This approach is intended to ensure that the implementation of Thailand’s top-up tax framework aligns with practices adopted by members of the OECD/G20 Inclusive Framework on BEPS and accepted internationally.

To learn more about Thailand's law to collect the global minimum tax, please click here for the article authored by HLB Thailand for the International Tax Review.