Has Thailand already joined the CRS system ?

[dante123]

i remember reading before they were getting ready but unable to find new information about it.

[topt]

Not yet.

Recent article here - https://globalcompliancenews.com/thailand-common-reporting-standard-potential-impacts-financial-institutions-thailand-residents-20190110/

 

Quote

To display its commitment to both AEOI and EOIR, Thailand joined the Global Forum in early 2017, and the Cabinet approved in principle the bill to legislate and implement both the AEOI Standard and EOIR Standard late last year. The bill is generally expected to be enacted later this year. Before Thailand’s first AEOI, the government will need to pass subordinate legislation — incorporating the CRS 

It will be interesting to see if that legislation actually gets "enacted" in the time scale quoted above.

[dante123]

14 minutes ago, topt said:

Not yet.

Recent article here - https://globalcompliancenews.com/thailand-common-reporting-standard-potential-impacts-financial-institutions-thailand-residents-20190110/

 

It will be interesting to see if that legislation actually gets "enacted" in the time scale quoted above.

very interesting, i wonder how will they handle the funds residents never brought in the same year it was earned, so essentially one can simply keep all his funds in a singapore bank , dont bring them in thailand until next year and it wouldnt be taxable, therefore crs wont interrupt with this setup, right ?

[topt]

9 hours ago, dante123 said:

therefore crs wont interrupt with this setup, right ?

In theory yes - but CRS is exchange of info only it then depends what they decide to do with that information as mentioned in the article.

This could impact high net worth Thai's a lot more than foreigners.............. 

[dante123]

On 3/13/2019 at 8:02 AM, topt said:

In theory yes - but CRS is exchange of info only it then depends what they decide to do with that information as mentioned in the article.

This could impact high net worth Thai's a lot more than foreigners.............. 

you mean they might make some new laws or revise the old one when they see the information ?

[daxbr]

Non-resident here currently on tourist visa (EU citizen, gulf state perm residence) and have a couple of local bank accounts.

What is the best way to keep them and comply with upcoming CRS mess?

[topt]

19 hours ago, daxbr said:

Non-resident here currently on tourist visa (EU citizen, gulf state perm residence) and have a couple of local bank accounts.

What is the best way to keep them and comply with upcoming CRS mess?

Why do you have to do anything?

Nothing has really changed and if/when it does we will all find out what if anything is required. 

 

Main issue to date seems to have been the request from CRS countries bank's to ask you for a TIN so they know which country's revenue office to send data on your account to.

[daxbr]

12 hours ago, topt said:

Why do you have to do anything?

Nothing has really changed and if/when it does we will all find out what if anything is required. 

 

Main issue to date seems to have been the request from CRS countries bank's to ask you for a TIN so they know which country's revenue office to send data on your account to.

Very perceptive as it is exactly my concern.   Thai bank only has my Bankok PO Box as address and I would like to declare gulf state as permanent residence.  I am afraid they will close my account if I make it difficult for them.   Should I get Thai TIN or attempt to declare gulf state as tax residence for CRS purposes?

[topt]

As already said until Thailand enacts the legislation you don't have to do anything in Thailand with your bank.

 

Acquiring a Thai TIN is only needed if you want to reclaim tax held on interest or use that with another country bank to show where you are resident and to possibly pay any tax due.

Or of course if you are supposed to submit a Thai tax return due to earning income in Thailand.

 

I have never received a written communication from my Thai bank in over 10 years..........

[muratremix]

Any updates on this subject?

[topt]

9 hours ago, muratremix said:

Any updates on this subject?

I had not heard anything however a quick web search pulled this up -

https://www.bakermckenzie.com/en/insight/publications/2019/11/draft-act-to-reduce-tax-evasion

 

They are still suggesting 2020 but another site I saw was saying 2021/2022............

https://citizenshipbyinvestment.ch/index.php/2018/10/31/thailand-rbi-scheme-not-listed-in-oecd-crs-list/

[zenplay]

From the latest document of OECD (January 2020) for Thailand :

Automatic Exchange Of Information by 2023.

https://www.oecd.org/tax/automatic-exchange/commitment-and-monitoring-process/AEOI-commitments.pdf

[stat]

Outlook on CRS development in the Thai financial market

 

24 March 2020

Developed by OECD under the Automatic Exchange of Information (AEOI) standard, Common Reporting Standard (CRS) requires financial institutions to enhance data collection and report of a client's tax status, assets and income streams to local authorities. Since 2017, it has taken effect in over 18 APAC jurisdictions, including Australia, China, Hong Kong, Japan and Singapore.

Thailand joined the Global Forum on Transparency and Exchange of Information for Tax Purposes in 2017 as a commitment to align its reporting standard with the globally recognized CRS. It is expected the nation will fully commence CRS by 1 January 2022 to carry out its first AEOI scheduled for 2023.

Thai financial institutions are in the process of understanding the implications of CRS on their IT infrastructure and operating procedures as well as developing best practices to gather, verify and monitor client information for ongoing analysis and reporting purposes. Thailand is navigating through similar challenges and misconceptions like the early adopters but stands to benefit from valuable lessons learned in the past few years.

 

 

My guess is however that they will not be able to process the date in 2023. German IRS up to now is still struggling to put the data in a usable context and started years ago. Nevertheless I hate the idea that my financial information could be "lost" to some 3rd party apart from the THAI IRS.

Edited April 26, 2020 by stat