oKey so January AEOI / CRS start to log your banking to share to your TAX jurisdiction.

[oMega69]

AEOI starts January and all bank activities 2022 will be reported to your home country if you have Tax residence back home.

 

If some one know does you not need to have a Thai TAX id to get process with  AEOI / CRS reporting system.

 

 

[clearance]

I think they will report it anyway, all data will be reported to your home country, and then the tax office in your country will decide what to do with you.

[oMega69]

TH has to end of Dec to Ratify the MAAC agreement if not do so.. There will be no AEOI / CRS

And for now they only exchange to USA not Europe or the Pacific.

 

https://home.kpmg/us/en/home/insights/2021/11/tnf-thailand-aeoi-actions-by-financial-institutions-expected-beginning-2022.html

[Jenkins9039]

On 12/18/2021 at 12:05 PM, oMega69 said:

TH has to end of Dec to Ratify the MAAC agreement if not do so.. There will be no AEOI / CRS

And for now they only exchange to USA not Europe or the Pacific.

 

https://home.kpmg/us/en/home/insights/2021/11/tnf-thailand-aeoi-actions-by-financial-institutions-expected-beginning-2022.html

Ah shucks.

Edited December 20, 2021 by Jenkins9039

[Myran]

On 12/18/2021 at 12:05 PM, oMega69 said:

TH has to end of Dec to Ratify the MAAC agreement if not do so.. There will be no AEOI / CRS

And for now they only exchange to USA not Europe or the Pacific.

 

https://home.kpmg/us/en/home/insights/2021/11/tnf-thailand-aeoi-actions-by-financial-institutions-expected-beginning-2022.html

Will they start to share with USA starting next year, or are they already sharing with USA now and will start to share with Europe and the Pacific next year?

[topt]

On 12/18/2021 at 5:05 AM, oMega69 said:

TH has to end of Dec to Ratify the MAAC agreement if not do so.. There will be no AEOI / CRS

So that should have been your first post.........not the follow up to a potentially misleading headline.........

[Oxx]

7 hours ago, Myran said:

Will they start to share with USA starting next year, or are they already sharing with USA now

They are already sharing with the USA for American citizens under FATCA.

[Oxx]

Should this go ahead, Thailand will receive information from home countries for people tax resident here.  (The agreements are reciprocal.)  This would make it much easier for them to identify pension income and tax it.

Edited December 20, 2021 by Oxx

[oMega69]

16 hours ago, Myran said:

Will they start to share with USA starting next year, or are they already sharing with USA now and will start to share with Europe and the Pacific next year?

Hi . . FATCA with USA/Canada already. . .
This is for the rest of the world . . hope they failed the dec31 deadline .

Edited December 21, 2021 by oMega69

[Myran]

Any updates regarding this, @oMega69?

[Jenkins9039]

On 12/16/2021 at 9:36 PM, oMega69 said:

Tax residence back home.

And all activities reported to the Thai revenue department if you reside in Thailand over 180 days lol

[Jenkins9039]

On 1/1/2022 at 12:08 PM, Myran said:

Any updates regarding this, @oMega69?

There was a delay with the ratification, (something like first 3 months not reported), but can't find it nor any updates since.

 

Mind, UK Gov is one thing, Thai Revenue department will be interesting.

 

---- Something in here. https://www.platform.pwc.com/citt/news?search=thailand

 

Information Exchange

On 9 November 2021, the Thai Revenue Department (TRD) has published on its website an Act Amending the Revenue Code (No. 54), B.E. 2564, dated 7 Nov 2021 (“the Act”). In doing so, Section 10 ter has been added to the Thai Revenue Code giving power to Thailand’s competent authorities to exchange information with other Competent Authorities in jurisdictions with respect to which Thailand has an agreement in effect.

10.December

 

 

10. December 2021 | PwC

Thailand publishes certain AEoI regulations

Edited January 5, 2022 by Jenkins9039

[Jenkins9039]

Open to listen to opinions under Section 178 of the Constitution of the Kingdom of Thailand to
Participation in a multilateral agreement between the authorities for the automatic exchange of financial information (Multilateral Competent Authority Agreement on Automatic Exchange of Information: MCAA CRS)

                The Global Forum on Transparency and Exchange of Information for Tax Purposes (Global Forum) is the Organization for Economic Cooperation and Development's collaborative framework on the exchange of tax information. (Organisation for Economic Cooperation and Development: OECD) 
that Thailand has been a member since 2017 and must continue to enhance the exchange of information to meet international standards. by expanding the network of contracting countries to exchange information And must begin exchanging financial data automatically in a standard set by the OECD, known as the Common Reporting Standard (CRS), in September 2023.
                 To implement the automatic exchange of financial information in accordance with the OECD standards, Thailand must enter into a multilateral agreement between the authorities for the automatic exchange of financial information. (Multilateral Competent Authority Agreement on Automatic Exchange of Information (MCAA CRS), which is a sub-agreement under the MAC agreement in which the competent authorities of a Contracting Party agree to automatically exchange financial information in accordance with CRS standards. As of 2014, there are currently 110 countries in which the Minister of Finance or an authorized person will sign as Thailand's competent authority under the MAC Agreement 
. It will enhance the operation of information exchange. To enhance tax transparency in Thailand 
              The MCAA CRS Agreement is a contract with the characteristics of Section 178 paragraph two of the Constitution of the Kingdom of Thailand B.E. 2560 (2017) that must be submitted to the National Assembly for approval. Ministry of Finance by the Revenue Department Therefore, the proposal to become a party to the Cabinet has been made. to be presented to the National Assembly in the next order Along with the Draft Exchange of Information for Compliance with International Taxation Act B.E. .... which is a draft law supporting the implementation of the agreement.
              Listening to the opinions of the people this time It is part of the process of presenting the draft MCAA CRS Agreement to the Cabinet and Parliament for approval. After listening to the opinions The Ministry of Finance by the Revenue Department will conduct a summary of the hearing and analyze the impact of joining the said party. and will continue in the relevant part
Between 5 April 2021 and 9 April 2021

essential principles of the agreement

               The Multilateral Agreement between the Authorities for the
Automated Exchange of Financial Information (Agreement) is an agreement under Article 6 Automatic Exchange of Information of the Multilateral Agreement on Tax Administration Assistance ( MAC Agreement) is intended to prevent evasion and tax evasion. including the development of tax duties It defines the framework for the implementation and details of the automatic exchange of financial information in accordance with the Common Reporting Standard (CRS) set by the OECD. The agreement consists of 8 articles, summarized as follows:
             (1) It is an annual automatic exchange of information. between competent officials 
You can choose from two formats:
                (1.1) Send information to contracting countries only. and does not receive information from contracting countries (Non-reciprocal), which if you choose this format The request must be stated in Annex A to the Agreement (Annex A).
                (1.2) Send and receive information reciprocally with a Contracting Party (Reciprocal), which is the format chosen by most Contracting Parties
            (2). Information to be exchanged for financial accounts subject to reporting are as follows:
                (2.1) Information to be reported for all types of accounts: 
                      - Account holder information, including name, address, taxpayer identification number. date and place of birth (In the case of natural persons)
                      - Account number
                      - Information of the person who is responsible for reporting, including name and identification number
                      - Account balance or value as at the end of the calendar year or closing date
               (2.2) Reportable information for depository accounts, i.e. total interest earned during the year
               (2.3) Reportable information for depository accounts Financial is the total amount of interest and dividends received during the year. Including income from sales or redemption of assets
               (2.4) Information to be reported for other types of financial accounts other than (2.2) and (2.3) are the total income throughout the year. and proceeds from account redemption;
           (3) the exchange period is the commencement of the exchange of data in the year to be determined in Annex F of the Agreement (Annex F) within nine months after the end of the calendar year in which the data is collected by the Global Forum. for Thailand to begin exchanging information within September 2023
Consequently, the calendar year that reporters are required to collect data is 2022. Appendix F is the only annex that must be submitted at the time of signing as a party to the Agreement. (For other annexes, documents can be submitted in the process of expressing their intention for the Agreement to be binding.) 
          (4) The format for exchanging information is a standard file format established using XML (Extensible Markup Language). There has to be an agreement on the method of receiving and transmitting data and the method of data encryption as required by the standards. And identify ways in Annex B of the Agreement (Annex This, B)
          (5) If an error occurs in the transmission of information to the national parties. or the person responsible for reporting
Failure to comply with customer reporting or auditing requirements The competent authority must notify the competent authority of the contracting country affected by such error.
          (6) Confidentiality and Security of Information Must meet the requirements of the Multilateral Agreement on Tax Administration Assistance. by the information received from the exchange Must be used for tax administration purposes only. and when there is a breach or error in confidentiality of information including correcting any errors or penalties involved. The competent official shall notify the coordinating secretary. (Coordinating Body Secretariat) immediately, which here is the OECD
          (7) In the event that the contracting country does not comply with the Agreement Significantly, for example, non-compliance with standards of confidentiality and data security Failure to deliver complete information and within the time limit. or assigning non-reporting and non-reporting financial accounts 
Inconsistent with CRS principles, the competent authority may notify the cessation of the exchange of information with the contracting country
          (8). The Agreement will enter into force after the competent authority notifies the OECD of its intention to be binding. The competent authorities can cancel being a party to the Agreement. or terminate the exchange of information with any Contracting Party by giving notice to the OECD, and the termination of the Agreement shall be effective at the end of a period of 12 months after such notification
         (9). Yearly in Thailand, it will cost about 40,000 baht per year.

[oMega69]

i still unsure if you not have a TAX id in Thailand then maybe they dont go under this CRS standards.

[userabcd]

25 minutes ago, oMega69 said:

i still unsure if you not have a TAX id in Thailand then maybe they dont go under this CRS standards.

They will be reporting foreigner owned bank accounts, the banks know who all the foreigner accounts are.

Unless one is a Thai citizen financial accounts will be reported by

Tax residences and tax numbers (if you are a foreign national and cannot provide a tax number for your foreign nationality then the reason needs to be given. I assume the bank will still report this info to the tax office which will be shared by place and country of birth)

Income earned/deposited during the year.

Total amount balance at the end of the year.

Place and country of birth (residence, ordinary residence and domicile)

Date of birth

 

There is no escape from this worldwide financial sharing surveillance by tax people and the oecd.

 

 

Edited January 9, 2022 by userabcd

[Whale]

I read this with interest. 

On 1/5/2022 at 10:38 PM, Jenkins9039 said:

(9). Yearly in Thailand, it will cost about 40,000 baht per year.

????????

[Whale]

On 12/21/2021 at 5:32 AM, Oxx said:

This would make it much easier for them to identify pension income and tax it.

As a pensioner myself I was pondering this, there's still some safety as:

 

a) Banks don't require a tax ID number to open an account

b) If its a bank account one was worried about, simply move money out of them before the reporting date and then repopulate later (I have done this is another country already).

c) Retirees don't legally require a TID in Thailand (I have been turned down for one by the tax office twice)

d) State pensions would fall under double taxation treaties

e) Private pensions, the 12 month rule for Thailand still exists so money can be kept offshore for 12 months (note: 12 month rule is for the real benefit of rich Thais so can't see it going away)

f) If (when?) Thailand starts to consider new taxation of overseas retirees we will get quite a bit of notice I think. Time enough to figure something out (escape) anyway.

 

 

[userabcd]

43 minutes ago, Whale said:

As a pensioner myself I was pondering this, there's still some safety as:

 

a) Banks don't require a tax ID number to open an account

b) If its a bank account one was worried about, simply move money out of them before the reporting date and then repopulate later (I have done this is another country already).

c) Retirees don't legally require a TID in Thailand (I have been turned down for one by the tax office twice)

d) State pensions would fall under double taxation treaties

e) Private pensions, the 12 month rule for Thailand still exists so money can be kept offshore for 12 months (note: 12 month rule is for the real benefit of rich Thais so can't see it going away)

f) If (when?) Thailand starts to consider new taxation of overseas retirees we will get quite a bit of notice I think. Time enough to figure something out (escape) anyway.

 

 

a) They soon will need TIN's (CRS and all that)

b) There will be the income/deposits into the account to report? If the balance gets taken out it gets put somewhere else and if it gets put back after the reporting date it will show up as income into the account at the next report date.

c&d) If a DTA states this and the tax is paid elsewhere or there is a tax threshold in the income originating country or an obligation to file a tax return and report income then theoretically no tax to pay in Thailand.

e) Any income received into an offshore account is reported from there.

 

Basically a DTA serves only to clarify which country has taxing rights on a residents income according to the tax laws of the country of residence to avoid double taxation and is generally used to claim a deduction on taxes already paid on income in a foreign jurisdiction.

Edited January 9, 2022 by userabcd

[Jenkins9039]

Since March 2021 twelve countries now automatically share information on companies with no economic substance and where beneficial owners are non-resident. I think non-resident folk with companies in the below countries may be in for a letter from their tax man.

Anguilla
Bahamas
Bahrain
Barbados
Bermuda
British Virgin Islands
 Cayman Islands
Guernsey
Isle of Man
Jersey
Turks and Caicos Islands
United Arab Emirates

------- quote start
 

Tax transparency moves forward as no or only nominal tax jurisdictions first exchange information on the substance of entities

31/03/2021 – Twelve no or only nominal tax jurisdictions began their first tax information exchanges today under the Forum on Harmful Tax Practice’s (FHTP) global standard on substantial activities. The standard ensures that mobile business income can no longer be parked in a low tax jurisdiction without the core business functions being carried out from that jurisdiction and that the countries where the parent entities and beneficial owners are tax resident get access through regular exchanges of information.

These new annual exchanges cover information on the identity, activities and ownership chain of entities established in no or only nominal tax jurisdictions that are either non-compliant with substance requirements or engage in intellectual property or other high-risk activities.

"Today’s first exchanges of information on the previously unknown operations of entities in low tax jurisdictions, are good news for tax administrations around the world, as they will now have regular access to information on the activities and income of entities in low tax jurisdictions that are held or controlled by their taxpayers," said Pascal Saint-Amans, Director of the  OECD Centre for Tax Policy and Administration.

The exchanges will enable receiving tax administrations to carry out risk assessments and to apply their controlled-foreign company, transfer pricing and other anti-base erosion and profit shifting provisions.

The FHTP is monitoring both the legal and practical implementation of the standard by no or only nominal tax jurisdiction through a rigorous, annual peer review process under Action 5 of the OECD/G20 Inclusive Framework on BEPS. The next annual results will be released in December 2021.
 

[Oxx]

21 hours ago, Whale said:

d) State pensions would fall under double taxation treaties

Very much depends upon the country.  UK state pensions are not covered by the Thai-UK DTA.  (Government pensions - those paid to former civil servants - however, are.)

[24Catty]

On 12/18/2021 at 12:05 PM, oMega69 said:

TH has to end of Dec to Ratify the MAAC agreement if not do so.. There will be no AEOI / CRS

So, did they ratify it and will they start automatic exchange in 2023 as planned (exchanging the data of 2022)?

[topt]

On 7/3/2022 at 3:18 PM, 24Catty said:

So, did they ratify it and will they start automatic exchange in 2023 as planned (exchanging the data of 2022)?

There was another thread recently on here which mentioned this subject and no one has yet shown any reference to confirm the ratification.

[Everyman]

Unless you are moving huge amounts of money, they’re not going to care. They’ll just be drowning themselves in data. 

[stat]

On 7/5/2022 at 7:23 AM, Everyman said:

Unless you are moving huge amounts of money, they’re not going to care. They’ll just be drowning themselves in data. 

No offense, but on which information is your post based? Some posts are just amazing...

 

[OJAS]

On 1/10/2022 at 8:20 AM, Oxx said:

UK state pensions are not covered by the Thai-UK DTA. 

Good luck to the Thai RD, then, if they were seriously to think that taxation on our perpetually frozen State Pensions would provide a significantly meaningful benefit to the Thai Exchequer!

[partington]

On 7/5/2022 at 1:23 AM, Everyman said:

Unless you are moving huge amounts of money, they’re not going to care. They’ll just be drowning themselves in data. 

This statement is completely baseless!

 

The CRS allows countries in which you have tax residence to find income that you may be trying to hide by stashing it abroad.

 

For retired expats the major point of the CRS is so the country you are FROM can tax you, if you still have tax residence there as well. The US is the only developed country that taxes on the basis of citizenship rather than residence - all others do not tax non-residents on money they earn outside the country.

 

Thus someone with a tax residence in the UK who, say, lives in Thailand  six months of the year and earns money there could hide it from the UK tax authorities by stashing it in a Thai bank and not declare it on their tax return. The CRS will take this evasion option away.  

 

As Thailand do not, for example, currently tax money earned abroad but not brought into the country in the year it was earned (let's call these savings), the mere information from the UK via CRS that you earn a UK pension will not suddenly render you eligible for taxation of that pension unless they can prove the money you bring in is the current year's money.

 

This is so difficult to do and easy to avoid it would be unlikely to be implemented in my opinion.

[david555]

For those who need reference to this crs checking  scroll down to second page see the pdf  yellow marked  parts about Thailand ...... already made 2 years ago posts with similar  ..... most people did not believe .... now it is near ....????

 

OECD AEOI-Commitments 2023 Thailand start.pdf

Edited July 10, 2022 by david555

[david555]

On 7/4/2022 at 10:18 PM, topt said:

There was another thread recently on here which mentioned this subject and no one has yet shown any reference to confirm the ratification.

Check my post Pdf , all is in it https://aseannow.com/topic/1243356-okey-so-january-aeoi-crs-start-to-log-your-banking-to-share-to-your-tax-jurisdiction/?do=findComment&comment=17472818

OECD AEOI-Commitments 2023 Thailand start.pdf

Edited July 10, 2022 by david555

[david555]

On 7/3/2022 at 3:18 PM, 24Catty said:

So, did they ratify it and will they start automatic exchange in 2023 as planned (exchanging the data of 2022)?

yes they did .....check my Pdf from that OECD institution

[topt]

8 hours ago, david555 said:

Check my post Pdf , all is in it https://aseannow.com/topic/1243356-okey-so-january-aeoi-crs-start-to-log-your-banking-to-share-to-your-tax-jurisdiction/?do=findComment&comment=17472818

OECD AEOI-Commitments 2023 Thailand start.pdf 742.6 kB · 2 downloads

 

8 hours ago, david555 said:

yes they did .....check my Pdf from that OECD institution

Sorry but I think you have misunderstood. The OECD note is from 2020 and was what Thailand said they would do then.

What we have been saying is that there is nothing that says that the details have been finally ratified in Thailand such that it will happen from 2023.

It may still happen then but........