K2938

Remittance taxation is feasible. Remittance taxation where taxation is based on the time remitted maybe not or highly complicated

This leads to interesting questions. Let's say you have 100 abroad which is 70 savings and 30 income. You missed the 2 year deadline. So you now put it into the stock market and sell it at 110. If you now transfer the 110 to Thailand immediately, i.e. within 2 years of earning it, what happens? It is all tax free because within 2 years, only the 10 are tax free because only these were gained in the last two years, it is 10+70 (old savings) because old savings are never taxed, but seen as capital, or what is it? And of course excluding gifts and inheritance all savings are really former income of some previous time anyway.

That is just a basic principle of how DTAs work: "Treaty overrides domestic laws Thus, DTAs supersede 'any written law' – ie not just tax laws. This principle has been repeatedly followed and reinforced by the courts; it says that if there is a conflict between domestic law (tax laws, labour laws, etc) and the treaties, the treaties will prevail"

True, but if you do not pay taxes anyway under domestic rules, the question of DTA becomes mute...

Remit as much as you reasonably can based on your monetary situation and your trust in the safety of your Thai bank as the recent flip flops seem to indicate that it is highly likely that in the not too distant future there will be the next change...

Even for the majority of those it will be difficult because they love Thailand too much. How many Thai billionaires do you know who live in Monaco or the UAE?

Agree with most of what you say. However, foreigners are not really the greatest concern of the Thai government anyway and for the Thais the number of those who are actually willing and able to stay out of the country for half a year is minimal. Most people just do not have a nomadic life.

Pretty much same thing in Thai: https://www.thairath.co.th/money/economics/thai_economics/2859066 But they probably just translated the above article

Nobody knows what the precise rules will be, but your interpretation that pensions are no transfer of funds is hardly correct. They might however in any event be covered by a double taxation agreement depending on your home country and the entity from which you receive the pension.

Well, but they are not talking about taxing global income right now. That was an idea raised last year or the year before and apparently did not go anywhere... And do not try to predict any legislative measures on the basis of logic🤣

I do not think they intended to differentiate, but just used these words for simplicity

Also saw the article, but what does it mean? Back to the old rules where foreign income is NOT AT ALL taxed if you do this?

Yes, I think this was discussed before, maybe like a year ago, and they declined saying it is no passive income

Any views on the likelihood of Thailand actually going ahead with the announced plan to not only tax remitted, but global income regardless of remittance? Strangely all the big accounting firms do not mention anything about this. Thanks.

Any views on the likelihood of Thailand actually going ahead with the announced plan to not only tax remitted, but global income regardless of remittance? Thanks.

So what are the latest thoughts on which, if any, tax benefits will remain for the LTR visa once the taxation of global income is introduced as evidently planned by the Thai government (see article two days ago in the newspaper which cannot be mentioned)?

1) Is my understanding correct that obtaining a Thai TIN by itself does not change a person's obligation to file a tax return or pay taxes, i.e. if the person before did not have an obligation to file a tax return or pay taxes, then this remains unchanged when the person obtains a Thai TIN? 2) Is my understanding also correct that a person who stays in Thailand less than 179 days per year and has no Thai income apart from some small interest income from which withholding tax is automatically deducted does not have an obligation to file a tax return in Thailand? Thank you.

Thank you! And do I assume correctly that for this it does not matter how long you have stayed in Thailand, i.e. with this argument you should be able to get a Thai TIN even if you have not stayed in Thailand more than 180 days?

Does it matter how much tax has been deducted from the interest on the savings account or can it also be minimal amounts? Thanks.

In the "Introduction to Personal Income Tax in Thailand" guide you write that one of the conditions of getting a Thai Tax Identification Number (TIN) is "Employment contract (สัญญาจ้างงาน) or proof that you have tax liability in Thailand (e.g., proof of financial transactions)". What would be financial transactions that would qualify for getting a TIN? Is it enough to have a Thai savings account on which some interest is paid and therefore some Thai withholding tax is deducted to get a Thai TIN? Thank you.

Did you find out what is needed? And did you succeed? Thanks!

Do you know why they wanted the pages with entry stamps since the last 180 days?

Very very very difficult to find older women without kids.

For anybody not quite making the conditions of the LTR visa or not willing to disclose so much sensitive financial information, the new 5-year DTV visa looks like a great alternative as long as one does not need the LTR tax benefits: And anyobdy still thinking about buying a Thai Elite/Thai Privilege visa as an alternative is really wasting their money.

Where is that, please? The announcement in the gazette only has three pages: https://ratchakitcha.soc.go.th/documents/37565.pdf