Presnock

yes one really important OECD concerns the country's tax situation i.e. consumption, income, and any other source of income - to comply with the mandate, Thailand needs to broaden their income tax base which right now is about 13% of workers actually pay taxes when the OECD members is around 34%. Yes, Thailand wants Thais with foreign income to bring pay taxes and not keep their monies overseas and also, expats who are also Thai tax residents as the finance people say that ALL tax residents will be treated equally under the law. What that means and what will eventually fall out of trees in the form of a Royal Decree IMHO not one person on this forum KNOWS what that will be but there are a bunch of us experts providing our opinion since as you know we all have our own opinion. IMHO I will not be affected as I am from the US and taxed by the US forever using the DTA or LTR but I am concerned as who knows what changes might affect everyone!

global taxation is only a portion of the OECD taxation possibilities, and besides the tax situation, Thailand and any other country wishing to join the OECD as a full member has to meet many requirements and many of those will be difficult to find fruition in this country IMHO but the current leaders do seem to be highly interested in just that!

That may be true but I also think that a lot of expats held off on buying cars or condos recently to so the amount IMO isn't too small.

On this forum, we can express our opinions, my opinions on the Thai finance and Revenue Dept goals, are to fill up the coffers with some kind of tax monies. In this country only limited number of workers actually file and the OECD developed countries average is around 34% while here is is in the low teen's. Tax residents include the expats here for more than 180 days and IMHO very few of them are in the group that is paying any income tax on foreign income. I don't as I have exemption through the DTA and also a Royal Decree. But from comments here I wonder if some folks feel guilty since they don't pay taxes. I do however have paid taxes for the past 65 years, every year I worked. If I didn't have the exemptions, I would probably return to the US or pay local taxes and get tax credits for the US taxes. But, I have been following this OECD move by Thailand for a couple of years and wonder if they will ever be able to make all the necessary changes here to be eligible.

this has nothing to do with global taxation, only taxing someone in at least one country.

and all that trouble for the OECD and 136 countries looking for ways to get all to pay their fair share or at least a share to country.

Yes that has been a problem yet some of the DTA's are decades old but it seems not a lot of contact among the branches and hqs. In any case, as you will have already noticed about that change for last year - make sure you have valid documentation to cover whatever you claim. but so far all indications that I have noticed say that DTA's as treaties between Thailand and 61 countries will remain valid so possibly no problem. I have an LTR so no taxes on foreign income which is also covered by the DTA and Royal Decree but I wonder if 9 years from now that exemption will remain.

yeah, just keep your head buried in the sand on this issue. I have repeately said that WE here on this forum will not have any real idea of what and when anything will be published in a Royal Decree. They are reportedly looking at a 20 billion baht shortfall in 4 months and are searching for some quick way to make up that amount. But the speed at which they seem to move on any issue since there are always the detractors in the cabinet that will vote against anything that another party may bring up, hampers quick responses like to this issue. But in order for any real change to be made it has to be done before the end of the year or it will need to be moved until the end of the following year.

He is the finance minister and that was also mentioned by the PM at that time who probably passed that on to the finance minister but a change in the tax situation is considered necessary to conform to OECD standards as Thailand wants to become a full member.

I do believe that was clearly shown by the comments on this forum. Then a poll was taken of the expats and 58% indicated that they would not do anything about tax and would be remitting a lot less than normal, plus some ceased to be tax residents by spending less time here and more in other countries. Now they admit the shortcoming of remittances so are "drafting" an lowering of the requirement to pay hoping for immediate remittances that folks have been keeping outside the country. Only thing is they need to speed up the process to any change for folks to prepare IMHO

read some of the interviews with finance minister from last year. When Setta was pm they began the transition to worldwide income for the OECD membership. One of those from last year specifically says the "goal is to transitions to a worldwide income tax". If they ever will actually get there is anybody's guess as by changing the system last year to remitted income was taxed, they are ending up 20 BILLION short on revenue collected by September 2025. As for what we might have for the rest of this year who knows, just have to wait for decree.

well starting last year, any earned money from outside Thailand could be remitted to Thailand and there is a chart on taxes based on what was remitted. Now they are saying that it seems this new possible one (who knows for sure yet - NO Person) last year and this year no taxes on the remitted income> They also say that maybe it might be possible to get a refund if one did pay on 2024 income but most on this forum don't believe that there will be any refund. The reason for this possible change is that because of that 2024 change, fewer Thais and expats remitted as much money as they normally would it seems (and was reported as such) so that by Sept the end of the revenue collection period, they figure that they will end up short some 20 Billion - that is BILLION- baht so thus this possible relax on 2025 remittances but they had better hurry as the year is 5 months old already. Well 2024 had to pay in early 2025 and 2025 have to pay in early 2026 but 2026 would return to normal supposedly which would need to be paid in 2027. But until this new decree comes out, people are only guessing. There are numerous interviews on the taxing schemes in Thailand that the Fnance Minister would like to change to, if you are interested you can google "Thai tax changes proposed "- there are many from since the OECD agreement signed by Thailand in 2023 summer time and since then, Thailand has participated in many OECD functions as they aspire to full membership which would mean a different tax system especially for the expat tax residents. Many on this forum come from Bangkok Post or Thai-Examiner.

Yes read about the OECD agreement and the reason for that among 136 countries as too many people have been hiding somewhere where they could avoid paying any tax to any country. I do believe that banking rules and other country tax rules will eventually seek out everyone earning any money but not paying any tax on that income. This is my opinion anyway and since I am an American I have never been able to escape the tax man and don't understand why so many do so. But then seeing how in the US the richest folks want more and more tax breaks too and I believe greed comes into the equation. But just because we have had to pay our income taxes, most American complain about that too.

Duh, this has been theproblem all along. People though now realize that as long as they are not long enough in a particular country, then they don't become tax residents (have to be from the US as we are taxed no matter where at - but can obtain tax credits and other possible benefits through the DTA between Thailand and US)

just email the BOI or call them and ask and you will get an honest answer. I had proof of my pension from the US government but they still said that they needed my tax forms - same with health insurance - mine said for hospitalization - unlimited - the BOI needed a letter stating that hospitalizatiion of 50K was covered - a soon as I uploaded (all is done online anyway so no need of an agent) those two documents, within another week I was approved and picked up my LTR while the immigration at BOI cancelled my retirement visa. for the 1 year provide address, I spent less than 10 minutes at BOI (immigration) for that stamp.

that was the rule last year and might be the rule this year but then depending on how the decree is written, it may go back to global income if it is assessable and one is a tax resident

As a American some of us can't avoid the IRS of the US no matter where we live, we might be affected by the DTA with Thailand and maybe we can get a tax credit...maybe.

Yes, that is what they claim it is for, the ease of moving money into Thailand because after the change last year, the collection dropped drastically and reportedly by Sept 2025 will be 20 BILLION baht short of the goal needed!

they said that it will depend on the final decree whether one who paid tax in 2024 will be able to get a refund or not.

they have mentioned that they will treat Foreigners and Thais that are tax residents exactly the same so wait until the final bill/decree is out and hope it clears it up for all.

The royal decree works for the LTR so that remitted funds from foreign earnings are not taxed. What the new decree will change is anyone's guess but it does appear that the finance folks are looking for any possible funds to make up for a possible big shortage on collection this year which ends in September 2025.

The primary driving force began with Settha and the OECD, Thailand already has met many of the OECD requirements for membership and the worldwide taxation is just another of those objectives for that membership. But, right now because of changes last year, the amount of taxes paid to the revenue department was even lower and now they are scrambling for any extra money they can find, thus this possible easing for no taxes possibly on last year and this year too but right now it is just a guessing game for all until the decree is published.

this is true, we await the final decree as published before we will know who has to pay or not

and, on top of that, he seems to come out with something else just to get that crime yesterday off the news i.e. yesterday's va dinner with the coin buyers with a bunch of foreigners that the true security folks would like to have the names of. Today no deals with the EU and up their tariff to 45%. Hopefully since he classified that dinner as one of his private citizen and not an official duty of the presidency so maybe they can hang something criminal in that - definitely making so much money off his position right now, I find it hard to believe that the maggots still worship him and believe everything he stands for!

well, according to all the forum comments I see, hardly anyone believes that this is a goal of the Thai Finance people. I also realize, that some powerful people must also not be in favor of this so the debate continues. If/when a new royal decree is published, I doubt it will be any clearer until it actually happens.