Why Do the Wealthy Love Tax Planning? Lessons from iTAX for Salaried Workers

1 January 2026 may seem like the day people start paying money to the government through the official opening of the tax filing system for Thais. But for businesspeople and those managing their finances well, it marks the day they begin "looking for profit" by reclaiming taxes, leading us to wonder why the wealthy and higher earners seem less troubled by taxes.

The answer isn't that they evade taxes but that they "plan" carefully. Thairath Money invites you to read an exclusive interview with Assistant Professor Dr. Yuttana Srisawat (Ajarn Mik), a tax law expert and founder of iTAX, who encourages Thais to see how salaried workers can use "taxes" as a tool to build wealth in the new year.

Changing the mindset: Tax is a “money management game,” not just an obligation.

Most people file taxes because they "have to," but the wealthy file because they "know their rights." Ajarn Mik points out the secret to having leftover money is making taxes "clean and most worthwhile."

"The terms 'filing taxes' and 'paying taxes' are not the same," he said.

Ajarn Mik starts by clarifying that filing taxes means reporting income so the government is informed, but it doesn't always mean paying money. Some people earn enough to file but not enough to owe tax. Filing is a matter of "citizen dignity" and the start of sustainable wealth management.

However, fear often stems from ignorance. Many salaried and freelance workers "avoid" filing because they fear retrospective audits. Ajarn Mik sees this as the most dangerous mindset, causing many missed opportunities.

1. Lost refunds (The Hidden Profit): Especially freelancers who often have 3% withholding tax deducted. Ajarn Mik explains this is not the final tax but an "advance deposit."

For example, if your actual tax is only 2,000 baht but 10,000 baht was withheld in advance, you have a right to claim back 8,000 baht. This is a large sum, and the Revenue Department won't send a letter reminding you; it's your responsibility to claim it back.

2. Penalties that erode wealth: If you evade taxes, you not only owe the tax but also "fines" and "surcharges."

• Fines: If you never filed and get caught, you face double the tax amount as a fine. If you filed at least once, even if incomplete, the fine is only equal to the tax owed. Filing acts as your best protection.
• Surcharges: These act like parking interest fees, calculated at 1.5% per month or 18% per year, which is higher than any bank interest worldwide.

3. Statute of limitations: 2 years or 10 years? If you never file, the statute lasts 10 years; if you file, it shortens to 2 years (or 5 years if intentional evasion). Keeping documents for a few years is better than living in fear for a decade.

Strategy to reclaim profits: Maximize 2026 tax deductions.

Ajarn Mik advises focusing on three key government economic stimulus points each year, which are golden opportunities to turn expenses into tax advantages.

Examples:

1. Smart Travel (เที่ยวดีมีคืน): Secondary provinces. This becomes an opportunity to plan smart vacations (tax year 2025).

• Double Bonus: Traveling to secondary provinces grants a 1.5 times deduction (spend 1,000 baht, deduct 1,500 baht).
• Digital Advantage: Claim e-Tax Invoices to get up to 20,000 baht deduction. Paper invoices halve the deduction to 10,000 baht immediately.

2. Investment in Art (Visual Arts): When aesthetics reduce tax by up to 100,000 baht until tax year 2027.

This measure continues from Soft Power policy, allowing purchase of paintings, sculptures, or visual arts from national artists or those registered with the Ministry of Culture, with deductions up to 100,000 baht.

"Many worry about money laundering through art, which is real in the market, but from a taxpayer's view who buys legally, it converts savings into appreciating assets while reducing taxes," he said.

3. e-Donation: "Modern charity must be paperless."

From 2026, donations to temples must be made via e-Donation (QR Code) only, closing loopholes of inflated donation amounts on certificates.

• General charity: 1 times deduction.
• State hospitals or educational institutions: 2 times deduction (pay 1,000 baht, deduct 2,000 baht). Information is instantly recorded in My Tax Account without needing to keep paper receipts.

3 steps to professional tax planning you can start today.

If you want 2026 to be financially strong, Ajarn Mik summarizes the formula as follows.

• Step 1: Calculate accurately (Know Your Net). Know your income and "net taxable income." Tools like Excel or the iTAX app help you see your current tax bracket (from 5% to 35%). The higher your tax base, the more valuable deductions become.
• Step 2: Claim hidden rights. Don't overlook basics like mortgage interest, social security, or parental support expenses, including "dividend tax credits" from stocks that many wastefully forgo.
• Step 3: Close deals before the deadline. Ajarn Mik recalls cases where people tried to buy tax-saving funds on 31 December but banks were closed or apps had cut off transactions. He warns that the last working day is often 30 December afternoon. Good planning without timely action means nothing.

Conclusion: Tax is a "data reservoir" that transforms national welfare.

In the interview, Ajarn Mik shares an interesting lesson from abroad: While Thais often "avoid taxes," almost all Americans file. Consequently, when crises like COVID-19 hit, the U.S. government (via IRS) sent relief checks directly to citizens without new registrations.

"Our country is registration-focused because the government lacks linked data. Proper tax compliance isn't just about paying money; it's about confirming identity and wealth, so in the future, the government can deliver benefits—like elder allowances or relief payments—directly to you via PromptPay linked to tax data," he said.

Starting the new year on 1 January 2026, ask yourself: Will you just let money flow out or start planning to "reclaim profits" and build life security today?

Read personal finance and financial planning news with Thairath Money to help you "have good finances and a good life."https://www.thairath.co.th/money/personal_finance

Follow the Facebook page: Thairath Money at this linkhttps:// www.facebook.com/ThairathMoney