Tax Liability On UK Inheritance

[Virtualrecluse]

If I am in Thailand on a "retirement visa", and resident here for over 183 days per year, what would be my tax liability if I received an inheritance in the UK  (using a non-UK resident offshore bank account)? 

[ThaIrish Sean]

Isn't inheritance tax calculated on the dead person's estate as opposed to the inheritor?

[Excel]

I assume you are meaning liability to tax by Thai authorities ?  1)  There is no inheritance tax in Thailand and 2) How would they even know if as you say it is an offshore bank ?

[Oxx]

1 hour ago, Excel said:

1)  There is no inheritance tax in Thailand

 

This is wrong.  There's a 5% rate for parents and descendants of the deceased and 10% for others, albeit with a high starting threshold.  However, since the OP doesn't have PR, inheritance tax would only apply to assets inherited in Thailand.  In other words:  nothing to worry about.

 

For more info. see https://sherrings.com/inheritance-tax-law-in-thailand.html https://thailand.acclime.com/guides/inheritance-tax/

[Excel]

48 minutes ago, Oxx said:

 

This is wrong.  There's a 5% rate for parents and descendants of the deceased and 10% for others, albeit with a high starting threshold.  However, since the OP doesn't have PR, inheritance tax would only apply to assets inherited in Thailand.  In other words:  nothing to worry about.

 

For more info. see https://sherrings.com/inheritance-tax-law-in-thailand.html https://thailand.acclime.com/guides/inheritance-tax/

 

 

As I said there is no inheritance tax for which the OP will  be liable for. Perhaps my choice of words was two simple for some.  There are  2 reasons a) It is below the limit of 100 million baht I suspect and 2) The money has not been brought into Thailand nor was it gifted or earned in Thailand.

 

I assumed further that as the OP was from the UK inheritance tax was already paid in the UK if it was above the current  applicable threshold. Further, whilst not specific to Thai tax liability,  is the OP registered with HMRC as a non-resident for tax purposes ? He may well be resident in Thailand also, a seperate issue.  If the OP is receiving state pension and perhaps other pensions for which the pension provider is automatically deducted tax then I suspect not.  In these circumstances if the money from an inheritance, not gifted in the UK , was deposited to an offshore account, then potentially there is a tax liability and should be declared, as for tax purposes he is still UK resident.  Even if it is below the limit for inheritance tax there may well be a tax liability from any interest that the inheritance is earning.

 

These links may provide  a better understanding specific to Thailand

https://www.thethailandlife.com/inheritance-law-in-thailand-tax-heirs-wills

https://www.thethailandlife.com/inheritance-law-in-thailand-tax-heirs-wills

https://msnagroup.com/thailand-inheritance-tax-and-gift-tax/

[Oxx]

1 hour ago, Excel said:

As I said there is no inheritance tax for which the OP will  be liable for

 

No you didn't.  You said there was no inheritance tax in Thailand.  You were wrong and are now trying to weasel your way out of your mistake.

[Excel]

1 hour ago, Oxx said:

 

No you didn't.  You said there was no inheritance tax in Thailand.  You were wrong and are now trying to weasel your way out of your mistake.

There is no inheritance tax for the OP in Thailand., as I correctly said. If in your apparent ignorance of the facts you choose to attempt to criticise people rather than contribute to the thread in a positive manner that that is a sign of immaturity and/or simply lack of appropriate education in the field the OP was asking about.  But no worries you have just joined my list of ignored ******

[Oxx]

9 minutes ago, Excel said:

There is no inheritance tax for the OP in Thailand., as I correctly said. If in your apparent ignorance of the facts you choose to attempt to criticise people rather than contribute to the thread in a positive manner that that is a sign of immaturity and/or simply lack of appropriate education in the field the OP was asking about.  But no worries you have just joined my list of ignored ******

 

Still trying to cover up your ignorant mistake.  Grow a pair and accept that your statement "There is no inheritance tax in Thailand" is factually wrong.

[Virtualrecluse]

Thank you to all those who have made useful contributions so far. 

[UKresonant]

If you are concerned about the Thailand end, do not transfer the money until the next calendar year after receiving it.

 

If you are thinking about the UK end any tax will still be due probably, if over the allowance, or sale of property, assuming you are a British person and are UK Domicile.  No exemption because you are in Thailand.  Presumably you may be receiving a share from the executor? (who will have dealt with the tax form to have the estate released).

If directly dealing, and you are executor, all the tax paperwork to do! ????

 

[BlackJack]

Arm chair lawyers are amazing -there are ways to deal with HMCTS and IHT as there is no jurisdiction in Thailand - they have a very vague reference to assets "anywhere" and the USA has its FATCA laws - and Thailand has a very high level on assets that normally don't apply to most people. 

 

Fail to plan plan to fail

[Virtualrecluse]

On 4/19/2021 at 10:27 AM, BlackJack said:

Arm chair lawyers are amazing -there are ways to deal with HMCTS and IHT as there is no jurisdiction in Thailand - they have a very vague reference to assets "anywhere" and the USA has its FATCA laws - and Thailand has a very high level on assets that normally don't apply to most people. 

 

Fail to plan plan to fail

BlackJack, can you be more specific about what you mean by "Thailand has a very high level on assets that normally don't apply to most people." Do you mean the Thai income tax rate on assets?

[topt]

13 hours ago, Virtualrecluse said:

"Thailand has a very high level on assets that normally don't apply to most people."

I am guessing he is referring to the 100m baht mentioned by an earlier poster and described in one of the links above -

Quote

are to be levied on inherited assets worth more than Baht 100 M.