Yumthai

I understand very well what countries are doing taxing people. My point is that this LTR visa in unfair tax-wise but good for those who can afford it. In order to produce US$ 80K a year steady passive income you need at least US$ 7 figures invested, I consider it being well-off not rich.

No, I meant the more money you have the less an issue tax should be, as you can afford to pay it without impacting much your lifestyle or the place you wanna live. Whereas, if your income/wealth is limited tax impact cannot be neglected.

Not sure about that. Even without the tax exemption, the other perks alone exceed the other visas requirements. Furthermore, tax issue should not be something to consider (and remittances are manageable anyway) for big spenders willing to settle in Thailand, or is it?

I mean discriminatory in term of tax. You have to show enough money to qualify and pay no tax. To me, it's a huge benefit and significantly unfair. But good for anyone who qualifies and wants to live legally tax-free in Thailand. The LTR visa route is the go-to as all perks exceed all the other kind of visa at less average cost.

The icing on the cake has, since last September new order announcement, become a real discriminative benefit for those who qualify. Unfair rules do not incline people to follow it, unenforced laws neither (fortunately).

Thanks for the link. It shows that collecting a TIN, as a Financial Institution, is not a requirement (Section I paragraph 5.)... in case such Reportable Person is or may be eligible to obtain a TIN (or the functional equivalent) in its jurisdiction of residence, but is not required to obtain a TIN and has not obtained a TIN.

So basically, Thailand tries to copy the worst of the so-called developed world: wealthy people do legally not pay tax, the poor ones neither. Just milk the law abiding working-their-ass middle class to their death. No need to wonder why all this will not end well, globally.

I think that Thai RD, unlike IRS, has no means nor power to enforce anything out of Thailand borders. Could you bring any case of Thai law being enforced abroad?

If she has declared and pays VAT then that means she generates an annual turnover exceeding THB 1.8 million.

Found this recent Thailand PIT memo that could be somehow useful: https://www.luther-lawfirm.com/fileadmin/user_upload/PDF/Broschueren/Geschaeftsaktivitaeten_im_Ausland/Thailand/Memo_Personal_Income_Tax_in_Thailand_V8_01.pdf

It's not much about the tax return form. Rather, the way foreign-sourced income and tax residence rules are currently formulated prevents foreign-sourced income remitted in a year one is not tax resident to be taxed. It would be nonsensical to think they could enforce tax without first amending their own law.

Is having a US address mandatory in order to get the ATM card?

Regarding individual tax enforcement, Thailand is no different than most if not all countries: - For each single tax year, tax office will evaluate individual tax residence first and foremost. Then, a different set of tax rules will be applied subsequently whether the individual is considered resident or non-resident for tax purposes. - Non-residents for tax purposes are only taxed on their local(Thai)-sourced income. - DTAs can be applied, if any, in case of multiple tax residences. - Tax return is filed for 1 (calendar) year at a time (income from year Y23 is filed in year Y24 and so on). I get your point on Thai PM "intention" to close all tax loopholes however Thai tax residence rules, as it is for now, do not strictly allow it. https://taxsummaries.pwc.com/thailand/individual/significant-developments PWC: On 15 September 2023 and 20 November 2023, The Revenue Department issued No. Paw. 161/2566 and Paw. 162/2566 regarding personal income tax (PIT) for a Thai resident who brings assessable income into Thailand from abroad. This order shall come into force for assessable income brought into Thailand from 1 January 2024 onwards. According to this order: A Thai resident means a person residing in Thailand at one or more times for a period equal to 180 days in any tax (calendar) year. If a Thai resident earns foreign-sourced income in 2024 and brings it into Thailand in any subsequent year in which they are resident in Thailand, they will be subject to PIT on the income. It is clearly stated that the new order targets only Thai residents (implied Thai tax residents). https://www.mazars.co.th/Home/Insights/Doing-Business-in-Thailand/Tax/Thai-sourced-income-and-residence-rules Mazars: If such income is considered foreign sourced income (income derived from work performed outside of Thailand, business conducted outside of Thailand, or property situated outside of Thailand) it will be taxed in Thailand only if: i. an individual is a Thai tax resident; and ii. such individual brings such income into Thailand in the same calendar year that he receives it. Second condition is now obsolete but the individual still has to be Thai tax resident. Just my 2 cents quoting legal current information.

You declare only the year you are/were tax resident. If you ask RD they will tell you can't file a tax return for a year you are not tax resident unless you have local income. This is what all Thai people living/working abroad do. As non-residents they remit money into their Thai bank account or gift their relatives tax-free legally. If Thailand wants this to change, they will need to change tax residence rules. https://www.rd.go.th/english/6045.html "A non-resident is, however, subject to tax only on income from sources in Thailand."

Will be closed ... or not. Again, do not underestimate Thai RD lawyers and officials vision. My view is gift tax rules have been elaborated on purpose, allowing wealthy locals to avoid tax burden and keep money from overseas flowing into Thailand. Foreigner residents are just a tiny community collaterally and positively impacted by this. If ever they close this kind of tax loopholes, legal new ones will be implemented if they want to avoid an economical suicide.

https://sherrings.com/cryptocurrency-income-personal-tax-thailand.html "Personal tax on the amount of the proceeds that exceeds the costs of the investment (...), and tax credit against the amount of tax payable for the WHT deducted ..." "... crypto income from licensed exchanges in Thailand" "... crypto income outside Thailand and bringing it into Thailand"

15% WHT is a not a final tax. Crypto capital gains and interests should be declared and taxed under PIT rates (minus WHT deduction). In my opinion, it is implied Crypto held within Thailand. Crypto capital gains/interests held offshore should be taxed when remitted in Thailand.

If one is that wealthy I think it's better to buy a cheap Thai insurance for 1 year before LTR application (and 5 years term check) rather than park US$ 100K in a savings account at no or very low interest rate. For instance, Pacific Cross asks for less than THB 30K/year for a 60 yo male with no outpatient cover and a yearly deductible of THB 300K (Maxima Plan THB 5M annual limit). https://onlineapplication.pacificcrosshealth.com/

However, BOI mentions: Personal income under LTR : Wealthy Pensioners’ definition is “unearned income such as a pension, rental, capital gain, dividend, etc”. Earned income (salary) will not be considered eligible income for LTR: Wealthy Pensioners application. AFAIK capital gain is not income. BOI then mentions on their application form: Personal pension income and/or fixed income no less than 80,000 USD/year Income in current year (1)Total pension income (as of the submission date) (MM-YYYY to MM-YYYY) (2) Other Sources of fixed income Annuity life insurance Rents of property Salary/wage/allowance Interest on a bond, deposit Dividend, share of profits Other (Please specify) On this list, only Total pension income, Annuity life insurance and Interest on a bond, deposit offer, depending on term, a future income guarantee. Rents of property, salary/wage/allowance, dividend, share of profits offer no income guarantee and can be lowered and cut at any time in the future. Besides, BOI prior mentioned that Earned income (salary) will not be considered eligible income ??? Information is somewhat confusing.

OK, so what does BOI mean when they mention capital gain as unearned income? Could you make few examples of an asset capital gain that will be accepted by BOI?

If someone can show one or several stock sales totaling an amount of at least $80K in a calendar year during the past 2 years, will this individual meet the BOI LTR Wealthy Pensioners Visa income requirements?

To me, the risk is significantly lower than in the West and can be avoided. Why? Because of corruption. If you have the right connections or enough money you don't have to worry in Thailand. Sure it needs "some" money, but if your are poor the good news is you don't have to pay tax.

The way I see it: many foreigners live in Thailand for years getting yearly extensions of stay without actually meeting the financial requirements. Likewise, there will be many foreigners stating (if ever asked) that all the money they remit in Thailand are savings prior 1 Jan 2024, gift/inheritance or already taxed income without actually getting proper documentation. Thailand is unable to discern a genuine foreign document from an edited one. Thailand has 0 power to enforce its tax law offshore and certainly can't require any docs from third-parties abroad.

The issue @stat is highlighting is that you present your tax rates comparison table without precising what kind of income it is referring to. Any unaware reader can understand that all income falls under these rates, however it's not the case. As you may know, unlike most countries (including UK, US, ...), Thailand has no specific capital gains tax and CG are taxed as ordinary income falling under PIT rates.

Is this thread related to only UK residents in Thailand? Sometimes I'm wondering.