You are here: Home / Work & Money / Thailand’s New Expat Income Tax Policy [Fact Checked by Experts]

Thailand’s New Expat Income Tax Policy [Fact Checked by Experts]

You've probably seen the panic online regarding the changes to tax policy on foreign income remittance to Thailand. Many expats are scaring themselves and others with speculation over how the changes will impact life in Thailand.

To help separate the truth from the speculation and keep you all properly informed, I have enlisted the help of tax professionals to provide accurate information on this subject.

At the end of this article, should you need further advice, there is an exclusive link for TTL readers to speak with a Thailand tax expert on these matters. And if you just want to be kept updated by email, there is an option for that too.

tax-expat-thailand

Contents

    1. Tax Residency Rule
    2. Previous Tax Rule
    3. New Tax Rule
      1. Income Received Before 2024
      2. Income Earned Prior to Living in Thailand
    4. Why the Change in Law for Expats?
    5. Who Has to File?
    6. What Is Taxable (Assessable) Income?
      1. Pension Taxation
      2. Social Security
    7. What Is Not Taxable (Assessable) Income?
    8. Eligible Tax Deductions
    9. Tax Credits
    10. Double Taxation Agreements (DTA)
      1. Common Misconceptions
      2. General DTA Principles
    11. The Filing System
      1. Documents
      2. Filing Deadlines
    12. Enforcement
      1. Penalties
    13. Webinar with Expat Thailand (professional advice)

The Thai Tax Residency Rule

To understand whether or not this change affects you, let's first define a resident, or rather, a tax resident in Thailand. In Thai law, a tax resident is defined as an individual who stays in Thailand for a period or periods aggregating 180 days or more in any tax year.

If you fall outside of this rule, you need not worry about this subject matter, as the change won't affect you. If you do fall into this bracket, please read on.

The Previous Tax Rule

As it stands, the assessable income received by a Thai tax resident through employment, an overseas business, or property located abroad would be subject to Thai personal income tax only if the earnings were remitted to Thailand within the same tax year.

For example:

Sarah lives in Thailand for 180+ days per year, and works as a consultant for an international company based in the United States.

Under the previous tax regulations, if Sarah earned $50,000 from her overseas job in January 2022 but choose not to transfer the funds to Thailand until February 2023 , she was not required to pay Thai personal income tax on that income for the year 2022.

Under the new law, Sarah would now be required to pay personal income tax on that income.

The New Tax Rule as of 2024

Under the rule, which started January 1, 2024, foreign-sourced income over 120,000 THB (or 220,000 THB for married couples) repatriated to Thailand will be eligible for Thai income tax, regardless of the tax year in which the income was earned.

Here are some further examples provided by the revenue department:

  • Mr. A is in Thailand every day from January to December 2024 for a total of 366 days. Mr. A is deemed a resident of Thailand in tax year 2024.
  • Miss K is in Thailand during odd months in 2024 for a total of 184 days. Ms. K is deemed a resident of Thailand in tax year 2024.
  • Mr. C was in Thailand from January to December 2024 for a total of 179 days. Mr. C is not deemed a resident of Thailand in tax year 2024.
  • Mrs. D has been in Thailand continuously for a total of 250 days with the first 100 days being in 2024 and the last 150 days being in 2025. Therefore, Mrs. D is not deemed a resident of Thailand in both tax year 2024 and tax year 2025 because Mrs. D was in Thailand for less than 180 days in both tax years.

When the wallet is turned on, you can use the V buttons to navigate through the menu. Pressing simultaneously confirms the selection. It's a fairly clunky system, and would have been more convenient with at least three buttons or a touchscreen. But you also need to use Ledger Live.

Income Earned Before 2024

What about income earned before 2024 but brought into Thailand in 2024, will it be subjected to taxation?

The revenue department says:

Foreign-sourced income earned before January 1, 2024, won't need to be declared in Thai tax returns, irrespective of when it’s brought into the country.

Income Earned Prior to Living/Retiring in Thailand

There has been much speculation on how accumulated income prior to living in Thailand will be assessed. For example, a person lives and works in a foreign country and later retires to Thailand with his/her overseas earned income. Will such a person have to pay taxes on these earnings?

The revenue department says:

No. This is because the said accumulated earnings came from assessable income that occurred in the tax year in which the person stayed in Thailand for less than 180 days. Example: Mrs. D. is of Thai nationality and has been living in China since 2007. But in 2024, Mrs. D. wants to travel back to live in Thailand permanently, so she brings back her accumulated earnings from working in China. As such, Mrs. D. is not obliged to pay any personal income tax on money brought into Thailand in 2024 because the said accumulated money comes from assessable income that occurred in the tax year in which Mrs. D. was not a resident of Thailand.

Why Is Thailand Changing the Law for Expats?

It is all about raising money, not about targeting expats.

One assumes the legislative changes are aimed at wealthy Thai citizens with foreign income sources. Unfortunately, foreigners with residence permits or long-stay visas have been caught in the cross-fire, so to speak.

As Prime Minister Srettha Thavisin explained quite bluntly:

You should pay tax on income you earn, no matter how you earn it.

Who Has to File a Tax Return in Thailand?

  1. Anyone who remits (transfers) assets into Thailand that are ‘assessable income': pension income, investment gains, property rental income, property sale gains, dividends, etc.
  2. If the amount is greater than THB220,000 as a joint married couple or THB120,000 as an individual.
  3. Regardless if tax is paid in another jurisdiction, if you have assessable income over the above threshold you have to file a Thai tax return. It doesn't mean you will have tax to pay, though, as you may receive tax credits.
  4. If you are remitting non-taxable assets (like cash from previous tax years, or inheritance in cash) then you don't have to add this to your tax return and don't have to file if that is your only source.
  5. It isn't a requirement for Visa renewal to have a tax ID and file a tax return, as some people don't have to file or get a Tax ID.

What Is Taxable (Assessable) Income?

  1. Direct and indirect financial transfers, ATM withdrawals and credit card spending, if sourced from overseas, are considered remitted and therefore assessable income for tax purposes.
  2. Cash or assets physically carried across the border, or through the airport are also classed as remittance and should be declared on the tax return.

Pension Taxation

State pensions are assessable income. That doesn't mean you will have to pay tax, it means that you will need to declare payments if the amount goes over the tax allowance. It may be the case that, due to deductions, or tax already paid under a DTA, that you receive a credit and do not pay tax.

US Social Security

US social security is not considered assessable income.

What Is Not Taxable (Assessable) Income?

  1. Any asset or income that isn't transferred or spent in Thailand if left overseas. Tax is only on remittance, not global taxation on worldwide assets.
  2. Remittance of income from previous tax years when not a Thai-tax resident.
  3. Remittance of any cash in the bank as of 31st December 2023 (as per the November announcement).
  4. Remittance of original capital (from investments, property, etc).
  5. Inheritance.
  6. Gifts (potentially taxable under gift tax rules).
  7. Loans.

Eligible Tax Deductions

Thailand offers personal and family allowances which can significantly reduce taxable income. These allowances are available for the taxpayer, spouse (if not filing jointly), and children (subject to specific conditions).

  • Deductions can be claimed for medical expenses, including health insurance premiums. There are caps on the amount that can be claimed, and specific criteria must be met.
  • Interest paid on a mortgage in your name for a Thai property can be claimed as a deduction.
  • Expenses for your own or your dependents’ education in Thailand are deductible.
  • Donations to approved charities and religious institutions in Thailand are tax-deductible.
  • Contributions to approved retirement funds are eligible for tax deductions. There are annual limits on the amount that can be deducted.

Tax Credits

The tax credit system means you can potentially offset some of all of your Thailand personal income tax with tax already paid. You will need to consider the following:

  1. If a DTA allows you to be taxed in Thailand on remittance, then you need to calculate the tax already paid.
  2. You will need a tax certificate showing the taxed paid in the other jurisdiction.
  3. The credit is submitted with the tax return.
  4. In most cases, a tax credit calculation and assessment is needed due to differing tax years.

Double Taxation Agreements (DTA)

A double tax treaty, also known as a tax treaty or a bilateral tax treaty, is an international agreement between two countries designed to address and mitigate the issue of double taxation for individuals and businesses with economic activities or income sources in both countries. The main purposes of double tax treaties are:

  1. Avoidance of Double Taxation: Double taxation occurs when a taxpayer is liable to pay taxes on the same income or capital in both their home country (where they are a resident) and in a foreign country (where the income or capital is generated). Double tax treaties provide mechanisms to prevent or reduce this double taxation.
  2. Prevention of Tax Evasion: These treaties also aim to prevent tax evasion by requiring the exchange of information between the two countries, which helps tax authorities in each country verify income and enforce tax laws.

Thailand has double-tax treaties with 61 countries.

The revenue department has stated:

If you are deemed a a tax resident of Thailand (staying in Thailand for 180 days or more), the tax paid abroad can be credited against the tax paid in Thailand in the tax year that assessable income was brought into Thailand according to the provisions of the Double Tax Treaty to which Thailand is a contracting party.

The double tax position depends on each country's DTA agreement with Thailand and how specific assets are treated. Each DTA is a separate International Treaty, with different provisions, so it is advisable to check the precise terms that apply in your situation.

Note: Regardless of the tax treaty, you may still have to declare the income in Thailand as part of your tax return, and, as stated by the revenue department, you will be credited for the tax already paid.

Common Misconceptions of DTAs

  • A DTA in place means that individuals are protected from being taxed in Thailand (false).
  • Being taxed in another country on assets already exempts the from taxation in Thailand (false).
  • A DTA in place means that nothing needs to be filed or reported as tax was paid in the other country (false).

General DTA Principles

  1. Check each DTA for the jurisdiction in which your assets are based.
  2. Look for exclusions or exemptions or special rules pertaining to that country.
  3. In principle, the majority of articles show that if assets are remitted to Thailand, you can use tax paid as a credit. Not in all cases though, as some assets are only taxable in Thailand and you'd have to claim back the tax in the other country.
  4.  Use Thai personal allowances not overseas allowances when considering tax credit calculations.

How Will The Filing System Work?

If you do remit foreign sourced income to Thailand, you will need to obtain a Tax Identification Number (TIN) to file a tax return.

An online portal for tax filing exists, but it is currently available only in Thai. Efforts to include English support are being considered. However, it is best to file through a tax professional.

Essential Documents

A complete set of documents is needed for a hassle-free tax filing experience. This includes identification documents, income statements, and documentation of deductions and allowances claimed.

Specific Documents

Typically, you will need your passport, work permit (if applicable), annual income statements, receipts for allowable deductions, bank statements, and documents for any tax exemptions claimed.

Filing Deadlines

The deadlines for filing tax returns in Thailand are critical to meet to avoid penalties. The Thai tax year runs from 1 January to 31 December.

End of Year: PND90/91 personal tax returns need to be submitted within 3 months of the year-end date for paper filings and 3 months and 8 days of the year end for eFilings

Half year: PND94 personal tax return (within 3 months of the half year-end date): Individuals who have received income under section 40 (5) – (8) of the Revenue Code, with non-salary income like as income from rent, commissions, royalties, professional fees, dividends etc, have to report income earned from January to June and pay taxes with the a half-year personal income tax return (PND 94 form).

Ensure you know the exact filing deadline for the relevant tax year and mark it in your calendar.

Enforcement (Penalties for Not Filing)

One of the most common questions/comments I've seen is “How will they enforce this?” “They can't track every transaction!”

Well, they can, if they want to.

They can do this via the The OECD Common Reporting Standard (CRS).

The CRS is an internationally agreed standard for the automatic exchange of financial account information between tax authorities of different countries. Developed by the Organisation for Economic Co-operation and Development (OECD), the CRS aims to combat tax evasion and enhance tax transparency on a global scale.

Under the CRS, financial institutions, such as banks, investment funds, and insurance companies, are required to collect and report information on financial accounts held by foreign tax residents to their respective tax authorities. This information includes details such as the account holder's name, address, tax identification number, account balance, and income earned.

Tax authorities then exchange this information with the tax authorities of other participating countries on an annual basis, allowing for greater transparency and cooperation in tackling cross-border tax evasion. The CRS is based on the principle of automatic exchange of information (AEOI), which ensures that tax authorities have access to comprehensive and up-to-date information on the financial activities of their residents held abroad.

Since its introduction, the CRS has been adopted by over 120 jurisdictions worldwide, including major financial centers and tax havens.

Penalties:

  1. Penalties for failing to file tax returns up to 200% of the assessed amount of tax that is payable.
  2. Surcharge of 1.5% for each month since the tax was owed.
  3. Penalties intentionally avoiding / evading payment of tax by failing to file a tax return can be punished by imprisonment for a term of up to 1 year and / or fine up to 200,000 THB.

Get Further Information on Tax Policy Changes

If you're unsure how these tax changes will affect you, and want clarification on areas such as Double Taxation Agreements (DTAs), available deductions and credits, and how to file in Thailand, Expat Tax Thailand is offering TTL readers a free 15-minute consultation and tax calculation call, which you can book at a convenient time here.

Or, you can simply stay informed on expat tax policy by registering here for updates.

Disclaimer:

Please note that I am not a tax advisor, and none of the information in this article constitutes financial advice. The information detailed on this page is based on information provided by the Thai Revenue Department and Expat Tax Thailand.

If you have any questions or comments, please feel free to drop them below.



Last Updated on

Comments Sort by : newest | oldest

  1. bob says

    I am sorry to say this, and I do not mean to scaremonger, but these discussions about DTAs are very much misaligned with reality.
    How it works regarding double taxation, is that IF taxes have been paid in the other country under the DTA provisions already setup, then (and only then) can a credit be offset against the Thailand tax due. This is common practice for businesses, who the DTAs are for really, but it is not common practice for for persons. How the DTAs will work for persons is not clear at all.
    Also, personal taxation assesments are done by a Taxation Officer (TO) in the Province of the person who lodged the tax return. It is not centralised like in other countries. There is no way that any TO will understand how 61 different DTAs work, and it looks like there is no 'DTA Expert' in each Provincial Office.
    As per a recent post on a forum, an Expat who speaks Thai and his Thai lawyer visiterd the local TRD Office in Isaan to ask questions. The local TOs had no idea of the many complications, and had no idea how DTAs work, and had not received any training or advice from HQ.
    This is all still a 'wait and see' matter. Anyone committing to doing a tax return now (and paying for it) is being foolish - wait and see how things develop. TRD are Thai bureacrats and they take forever to do anything new.
    Reply

    • Preston says

      fm all the webinars/and experts it seems that DTA's will overide the local tax laws BUT, if the DTA for a particular country does not spell out EXACTLY what is and what is not taxable in the resident state, then the Thai RD will determine if anything is assessible or not or if a tax credit may be due. At least the US-Thai DTA specifically excludes US GOVT pension from resident taxation but other pensions are or may be determined by the Thai side to be assessible. Since in many cases, it remain unclear and that is probably why other countries are deciding not to tax pensions at all...Here in Thailand though we MUST wait until the final paper is put out on every category. Good luck to all
      Reply

  2. Preston says

    Strange! when I played the webinar and went back to check it, at the Ltr..it seems to stutter and then says the elite visa has no exemption...Not sure what happened. I faithfully read all of these every day and appreciate the time and effort you put into helping the ex-pats and possible ex-pats keep up to date as possible because we never know when the Thai Revenue Dept will give us the final..if there ever is one. Thanks again.
    Reply

  3. Michael White says

    First question
    If you get a 12 month retirement visa but spend less than 180 days in Thailand you're still exempt . Even if you marry a Thai person ?
    Second question
    Does it mean that if you spend more than 180 days in Thailand , regardless of visa situation and spend a mere 120,000 baht in that time by using your credit to pay for everything including rent you're liable ?? But if you bring cash in to pay your expenses, you're not liable .
    Thank you
    Reply

    • TheThailandLife says

      Hi Michael, as I understand the rules, your visa situation is irrelevant. Paying by credit card still counts as remittance of funds. Bringing in cash is also a remittance. If you spend less than 180 days you are not considered a tax resident.
      Reply

    • Mike Baker says

      Q1. correct. even if married to a thai.
      Q2. spend less than 120k and you are exempt from submitting a return. But cash brought in is still counted as a remittance.

      However, how will they track foreign credit card use AND link it to a tax resident? How will they track cash brought in, exchanged in various places in various amounts, using various IDs, possibly a wife or GF of the moment, and link it to a tax resident? IMHO they can't.
      Reply

      • Max says

        I had the same questions, it is impossible to spill every day each single transaction had between residents and tourists, for example; how they know that credit card belong exactly to me? and how they will be able to check each transaction had when everyday in Thailand there are millions of transactions, Thailand will have to employ billions of people only to do this job and it will take ages years and years….
        Reply

        • TheThailandLife says

          They aren't going to do that. No country does that. It's just a rule change, from certain income brought in from a prior year being excluded (as assessable for tax) to now certain income from the same year or a previous year being eligible for tax assessment.Thailand's methods of enforcing tax regulation will remain the same. It will be the same for foreign nationals as it is for Thais. Please see here: https://www.thethailandlife.com/expat-tax-thailand#Enforcement_Penalties_for_Not_FilingAs with all tax law in any other country, you have a choice as to whether you comply or not. To not comply is of course breaking the rules. Whether they ever bother to check on your affairs is anyone's guess. However, we all hear about "crackdowns" now and again, and "making an example of someone".
          Reply

    • Preston says

      If your qualify for a Board of Investment (boi) long term visa (LTR) - 4 categories that you can google and read about, as a wealthy pensioner you would be tax exempt on all foreign sourced remittances into Thailand and you could still work if desired in Thailand and would pay at a lower rate than normal with a BOI assisted work permit. Otherwise, as mentioned about, the new interpretation is fairly clear on monies remitted into Thailand. Where is your pension from (govt or private) as that is possibly the determining factor IAW your country's Double taxation agreement (DTA). Marriage to a Thai would not affect your tax residence - that is determined by 180 days in country per calendar year. Good luck
      Reply

    • Preston says

      depends on the source of the pension and country's DTA. so far from all that I have listened to or read, US govt pensions are exempt by the DTA with Thailand. Military pensions would seem to me to be US govt pensions. Private company pensions or individual state pensions though may or may not be exempt. Also from listening and reading I get the feeling that EVERYTHING is not 100% guaranteed yet and this is Thailand and just about anything could change including dropping the whole new interpretation though it may not happen immediately. WE have to wait until the final is out there.
      Reply

      • Bob says

        1. That is exactly correct. Under some DTAs a Country's Pensions are specifically excluded (USA), and under others it is 'unclear'. But there is no DTA I have read that specified that any country's taxpayers funded Pensions are taxable income in Thailand. It is all opinion of the media and biased tax experts (deliberate misreads to get Expats to lodge tax returns).

        2. The panalties for not lodging a tax return are totally linked to the amount of income tax payable. As has been common practice in Thailand for 30+ million people, TRD does not want people to lodge a tax return when they are not required to pay income taxes - due to deductions exemptions etc etc. They dont have the staff or time to assess that many tax returns. What they do is accept the money paid (it is self assessment) and then they randomly check some tax returns, and those of people that come to their attention. When it comes to businesss they very much take it on face value as it was done by accountants/lawyers.
        Reply

    • Preston says

      Nothing is absolutely definite YET as the Thai Revenue Department has not come out with a final paper on the new interpretation of The Thai Taxes. Until that does happen, experts of all types, agents of all types, forum members of all types can theorize exactly what might occur based on experiences, what other local countries are doing with this interpretation too and what the current Thai administration feels fits Thai needs for money. We ALL must wait until that final bell rings or we are just guessing. Best of luck to all.
      Reply

        • Mike Baker says

          Peter, I would be interested to have an answer from Carl to a previous question I raised:

          UK/THAI DTA - Article 16 "dependant personal services". Despite several requests via different forums, including this one, and YouTube comments sections, no one has explained the relevance of this section:

          ARTICLE 16
          Dependent personal services
          (1) Subject to'the provisions of Articles 19 and 21,
          salaries, wages and other similar remuneration derived by a resident
          of a Contracting State in respect of an employment shall be taxable
          only in that State unless the employment is exercised in the other
          Contracting State."

          It clearly says income derived from employment is ONLY taxable in the state in which it was earned.

          Thailand defines income derived from employment as, amongst other things, PENSIONS. (Thai tax code section 40).

          This DTA article seems pretty clear cut to me but I have seen nothing from any experts telling me I am wrong. The US DTA is very specific, but that doesn't mean the same effect is not the case for other DTAs with less direct references to pensions.

          As UK pensions, both government and private, are only accumulated from work related contributions, the interpretation and application of this section is pretty crucial to UK ex pats.

          I would suggest it is this section of the UK/THAI DTA that has made it rather pointless even considering involving "retirees" in tax matters up to now and will continue so to do.
          Reply

      • Jerry says

        Seems odd to me that 29 June 2024 will be the 180th day that makes expats a Thailand Tax Resident and still no one seems to know anything for certain about who will pay what tax to Thailand Is USA social security a government pension or military retirement a government pension or a retired American government workers pension a government pension
        Reply

        • Preston says

          You need to google the double Taxation agreement between the US and Thailand articles 20 and 21 deal with US taxation only. I too am a US govt retiree and from all that I have heard, can only be taxed by the US govt - same with SS. However, while so far that seems fairly clear to me, we still do not know what the final say will be from the Thai side. I also now have an LTR visa exempting me from all foreign remittances into Thailand by royal decree so I feel pretty sure won't be affected by the Thai side. If your pension is over 80K a year you might look at the LTR - good for 10 years...if desired, you could still work here too. Just saying
          Reply

          • Jerry says

            Preston
            If a USA retiree gets Social Security retirement only of $2000 a month and that is their only income they will pay ZERO income tax the USA. That would be $24,000 a year or about 880,000 Thai Baht yearly.

            Thailand starts taxing income after 150,000 Thai Baht. Would there be Thailand income taxes on the 730,000 Thai Baht difference

            Thailand taxr rate in Thai Baht and brackets


            0-150,000. is 0 percent
            150,001 - 300,000 is 5 percent
            300,001 - 500,000 is 10 percent
            500,001 - 750,000 is 15 percent
            750,001 - 1,000,000 is 20 percent

            880,000 -150,000 = 730,000 Thai baht that was not taxed by USA government. Does Thai government say don’t worry about it
            Reply

  5. TheThailandLife says

    Hi all, the webinar replay is now available to view in the article above. For those who missed, it I highly recommend watching. It clears up a lot of the questions we've been debating over the last few months.
    Reply

  6. Mike Baker says

    Sorry Max, using a credit card is still considered a remittance.

    The logic is that you have to have funds to spend. The credit card company remits funds to Thailand to pay the merchant for your expenditure. They are effectively acting as your agent for the transfer (remittance) of funds into Thailand.

    How they will know what you spend is a completely different matter.
    Reply

  7. Mike Baker says

    A lot of this is scaring people unnecessarily.

    * retirees have been the subject of tax law for decades but nothing was ever asked of us and for obvious reasons.

    * CRS is a red herring. You say it applies to foreign tax residents of a country. Well I am not a foreign tax resident of my country, nor will most others be, because we hold passports of our country and likely pay tax on our various incomes.

    * Thailand operates on a remittance basis. So cross border reporting of income is irrelevant as it doesn't have any use under a remittance system.

    * CRS won't provide transactional information. The detail required would be so complex to extract and analyse to establish the correct connection. If this system was as good as we are being led to believe, why is there so much international fraud that is never stopped?

    * UK/THAI DTA - Article 16 "dependant personal services". Despite several requests via different forums, including this one, and YouTube comments sections, no one has explained the relevance of this section:

    ARTICLE 16
    Dependent personal services
    (1) Subject to'the provisions of Articles 19 and 21,
    salaries, wages and other similar remuneration derived by a resident
    of a Contracting State in respect of an employment shall be taxable
    only in that State unless the employment is exercised in the other
    Contracting State."

    It clearly says income derived from employment is ONLY taxable in the state in which it was earned.

    Thailand defines income derived from employment as, amongst other things, PENSIONS. (Thai tax code section 40).

    This DTA article seems pretty clear cut to me but I have seen nothing from any experts telling me I am wrong. The US DTA is very specific, but that doesn't mean the same effect is not the case for other DTAs with less direct references to pensions.
    Reply

  8. Max says

    How can the Thai gov trace the amount of money spent through the credit card? And how to do it for all the expats residents? And somebody should keep all the receipts about the money spent with the credit card during the year…sound like fiction…
    Reply

    • TheThailandLife says

      Well, how could the UK government track what I have paid into my Thai bank account from third parties, and what I spend in Thailand? Tax is one of those things. Everyone is expected to abide by the rules. Many don't. The problem arises when the authorities have had enough of people flouting the rules and decide to make an example of a few people, in which case they will use the systems they have at their disposal to prove what you've earned and spent on. Of course, this probably will never happen to most people, but I pay the tax I owe because I don't want to risk becoming one of those examples one day.
      Reply

  9. Preston says

    since I have a BOI LTR, and my only income is my US GOVT pension, I feel that I do not have to obtain a TIN nor do I have to file the tax forms with the Thai Revenue Dept. I do not have any other income whatsoever.
    Reply

  10. Max says

    If you are with the retirement visa and you do not remits any money into Thailand do you still have to fill a tax return? I believe it is not as it says here “ If you do remit foreign sourced income to Thailand, you will need to obtain a Tax Identification Number (TIN) to file a tax return” so if you do and if you don’t you do not have to do it….so it is only if you remit money into Thailand….
    Reply

        • Mike Baker says

          Max, do you mean using a credit card AND transferring <120k pa (direct) or do you mean using a credit card <120k pa?

          Technically a foreign credit card is a remittance, so 1st version doesn't get over the need for a tax return.

          But how they would link your credit card expenditure to you as a tax resident is, despite the CRS, doubtful imho.
          Reply

          • Max says

            No I mean using a normal credit card you don’t need to transfer money into your credit card you have already the credit so you use the credit card in Thailand and you pay the bill of your credit card into the country abroad where the credit card is registered simple!!
            Reply

              • Max says

                My point was another one, in order to show the amount you have spent using your credit card during 12 months, somebody should keep any single receipt, and provide it at the tax office, so the Thai office could check if you have provided all of them, in order to do it, the Thai tax office should spill all the transactions around all the merchants you performed in a year, and it has to be done for each person, but even if it is done randomly it is a lot of job to do it even for a single person unless the tax office will ask you to provide the statement of your credit card, but you can use several credit cards even pre-paid ones, and when you pay in the transaction I am not sure if appears your name in the transaction registered on the merchant side, I do not think will appear your date of birth, in short words to trace it would be almost impossible you have to implement a large amount of officers, Thailand has 120 millions in population and the number of foreigners has a very high percentage with people coming and going….
                Reply

      • Preston says

        For The Thailand Life - I listened to the webinar and realize that the tax expert made an error concerning the LTR - the LTR is not the Elite visa which we know does not exempt fm taxation when money is remitted into Thailand from overseas. However, one needs to contact the Board of Investment concerning their LTR which by royal decree does exempt overseas remitted funds from taxes. One can also obtain from the BOI a workpermit if one wants to work in Thailand, but then will have to pay a lower than normal tax on the salary earned in Thailand. I still do not know if one does not have assessible pension and has in addition a BOI LTR, would this person need to obtain a tax id number since the thai law says one must obtain said number within 60 days after remitting assessible income. If one does not have to file taxes then does on still have to obtain a tax id number?
        Reply

    • Preston says

      I remit funds into Thailand and have done so for many years. I during that entire time, have only had a US govt pension which according to the DTA with Thailand, It is taxed only by the US and that is taken out each month before they deposit it in my stateside band and then I remit monthly into Thailand. I have a BOI LTR so any monies I receive outside of Thailand is not assessable in Thailand. Therefore until the Thai govt actually tells us/me that I must obtain a Thai tax id number, I will not get one and will not file any tax form in Thailand as I have ZERO assessable funds so zero penalty.
      Reply

Leave a Reply

Your email address will not be published. Required fields are marked *

 

FOLLOW ME

Search TTL

Copyright © TheThailandLife.com 2024
No content on this site may be copied without written consent.

Send this to a friend