Mike Lister

Well, if you insist it is all those things, both an offshore account and subject to exchange by Kasi in Thailand, before it can be exported once again, that means the funds will have been imported to Thailand, in order for the exchange to be made, ergo they will be remitted funds and taxable, by virtue of the currency exchange. I felt sorry for you, you opened an account that both offshore but onshore but you don't know which, and you don't understand how it functions, plus you put a bunch of money into in, in Thailand no less. :))

A few points: The article from Tillecke and Gibbons is dated 2011, it says that non-resident accounts are managed in a SIMILAR fashion to offshore accounts, it does not say they are offshore accounts. I cannot think of any instance where an onshore bank in any country has ever offered true offshore accounts, all have branches in offshore locations for that purpose. Why? Because FOREX rules and RD rules do not map neatly on to each other. The BOT sets currency exchange and banking rules whilst the RD sets taxation rules and an offshore account is primarily a tax avoidance vehicle. I suggest that when you opened your Kasikorn foreign currency deposit account, it was probably established as a resident account, which would account for why they now insist on converting your foreign currency into Baht and then converting it back again, before it can be exported. The marketing blurb now says it is for non-residents, as it always has done, but I did not see anywhere on the Kasi. site where it says they will make the conversions you describe, only that they charge a fee in lieu of exchange and a percentage of the amount withdrawn. But in all the history of all the banks in all the world, has anyone ever heard of any offshore account at any bank in any country ever requiring such a conversion, for a genuine offshore account! Eight years ago, the issue of taxation of foreigners was not on the banks radar or even being discussed, so this was never an issue. Indeed, when I opened my Foreign Currency Deposit account with HSBC in Bangkok twenty years ago, I was asked if I wanted a resident or non-resident account, even though I had a long stay visa! The T&G article confirms that was still the case in 2011. Now, the issue of taxation of foreigners has arisen and the banks are having to make new rules, which is why your call to the bank call center got the response of, “we haven’t decided yet”. In summary, the Kasi account is a hybrid rather than a genuine offshore account and since Kasi is governed by BOT rules and your account is with Kasi Thailand, your account is almost certainly an onshore account, ergo, the RD will accept that the funds in that account are in Thailand. As others have pointed out, the account contains capital and not income hence it falls under the old RD rules, until new interest is added, thereafter you will have to see how the banks want to play things.

Ah, don't know, it's a Land Office sales receipt showing tax paid.......she could try, I've moved 6 mill at one time using that.

The Thai banks will make that transfer in one shot, as long as there's a receipt that tax has been paid on the sale of the property (blue slip).

Indeed, except the Thai government hasn't been spending beyond their means and rarely ever has. The government has public debt less than 58% of GDP and it has only been at the urging of the IMF that they have agreed to operate a budget deficit for several years, mostly to build out infrastructure. The strength of THB relies on a trade surplus because 60% of GDP is derived from exports, inbound investment or FDI is needed but since THB is not freely convertible, the strength of the currency does not depend on it whereas export bills settled in USD, does.

Thank you for this Sheryl. I'm pretty sure that a majority of my pain is beginning to subside, I was told that a combination of meds and physio was the best approach and that it would take time. It will take even more time before I understand what the effects are of my spinal degeneration and whether that results in pain or not, in the meantime I'm doing back strengthening exercises and taking things very very carefully. I consulted with a spinal surgeon when I was in Sriphat having my thyroid seen to, when I quizzed him on his experience he claimed to do 300 spinal micro surgeries per year at different hospitals, mainly Bangkok in CM. He was referred to me by Prof Donyerat so a reliable source of referral, his name is Dr. Suthipas Pongmanee

Sorry I missed this! The 100k is something that others pointed me towards, it's a deduction in my case equal to 50% of the pension received (yes, even overseas pensions) or a max of 100k. There is a corresponding deduction for people who work that equals a similar amount.

None of my usernames have ever suffered fools or rude people gladly! Bye

I get +190k, +100K, +60, +150k, 500 k in total for being over 65 on a pension.

Before I add you to my ignore list, you don't appear able to distinguish between YOU being non resident and YOUR BANK ACOOUNT BEING A NON-RESIDENT ACCOUNT, a question you still haven't answered.

Given your attitude Ben, you're on your own from hereon, you get no more assistance from me. Bye.

Here's a link to a prominent Bangkok law firm that explains resident and non resident bank accounts; https://www.tilleke.com/insights/banking-thailand-resident-or-non-resident-account/#:~:text=Resident and non-resident bank,similar to an offshore account.

The RD rules don't distinguish between people of different nationality and assign each different allowances and deductions. All tax payers are eligible for the same deductions and allowances. So if a Thai person is over aged 65 and is working, they will be entitled to the over 65 allowance of 190k and also a 50% deduction on income earned, and, a 50% deduction on pension received. Personal Care Allowance is a personal deduction, everyone is entitled t it, it is the same concept as the UK personal Allowance.

Ben, two things but first of all, may I suggest, respectfully, that you read the rules governing your foreign currency deposit account, in order to better understand them. Firstly, do you really imagine that the bank goes through a physical process of exchanging your Euro's into Baht and then when they've finished, exchanging them back again....please tell me you don't believe they actually do that. Secondly, may I also suggest that calling the bank call center on this is not the best thing. The people you need to ask, if you really feel the need to do so, is the RD and ask them whether they have a definition of a bank account and currency, for remitted funds purposes. It seems pretty basic really, funds are funds and bank accounts are bank accounts!

Whilst we're waiting: If you send foreign currency, from your foreign currency account in Thailand, back over seas, the bank charges you a fee in lieu of exchange, they don't actually exchange those funds, they simply charge you. But the issue is none of the things we've discussed thus far, the issue is whether funds arriving in your account in Thailand are deemed to have arrived for tax purposes or whether they must first be exchanged into Baht before that happens. NOWHERE in the RD rules does it say that incoming funds must be in THB, remitted funds can be in any currency you wish, the fact that the receiving bank may or may not exchange that currency, into THB, is irrelevant. Also, NOWHERE in RD rules does it say that a bank account must be of a certain type, the account type is also irrelevant. All that matters is that funds are remitted and received, end of, unless of course the account type is genuinely a Non Resident Account, which based on what you've written, it is almost certainly not..

There are two types of bank account in Thailand, a Resident Bank Account, which is the current default, and a Non-Resident Account which was the default for most foreigners until a few years ago. A non-resident bank account must be specifically requested. A non-resident bank account allows foreign currency to be transferred in and out, without limit, without supporting paperwork, without prior approval and without conversion to another currency first. I held such an account with HSBC Thailand for many years, when HSBC offered retail bank accounts here. You say that you are not resident in Thailand, what ever that means, presumably you mean you are are not tax resident here. Presumably also, your foreign currency deposit account is a resident account, is that the case? I believe the answer must be yes, otherwise you would not have to go through the process of exchange that you describe. Perhaps you can confirm those things before going any further?

I'm sure! The Thai Baht is a restricted currency which cannot be exported in any quantity, all banks convert baht to foreign currency first. The terms of a resident Fixed Currency Account often specify that the bank is paid a fee equal to the currency conversion rate, if the foreign currency is exported and not changed into Baht in Thailand. There are very different rules for a non resident foreign currency account where funds can be transferred straight away, without being exchanged first.

60,000 per year before you must file a tax return. How old are you, which country does your income come from. what type of income is it?

Your Kbank account is with Kasikorn in Thailand, the funds have been remitted to Thailand, regardless of the currency or account type.

I used to run 3kms each morning but when I reached 73 that changed to fast walking, my time on my fixed route is my measure of how well my body is holding up. Now that I can't do that it's depressing and my single most important goal at present is to get back on my circuit. Last week for the first time in four months I made it half way around the circuit but at a slow pace, fortunately the views en-route are very relaxing, it's a case of a little bit more every day. The getting out of bed part is a real bummer, the transition from straight and prone to vertical is like sticking your fingers in a 1,000 KV plug socket, it's a sure way to wake up quickly though! :))

I'm thinking TAT may want to begin advertising boating trips and holidays in Thailand as part of their Chinese tourism campaign, should go down well.....no play on words intended.

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Sure, but pain is relative and different for each of us, we all have different thresholds and tolerances. I'm a bit of wimp when it comes to pain but I'd describe my sciatic pain as an 8 or 9 but at the level it's less than 1% of my day.

I just downloaded it, thanks!

Those things are correct, but, what funds will the person live off throughout the year because they will need to be imported and decalred?