LTR Visa is Now available for Long Term Residency

[oldcpu]

29 minutes ago, Pib said:

Yea....ditto for me.   

 

But please think about that "...derived in the previous tax year..." wording in RD743 when the tax year we are all talking about now is tax year 2024 for tax return filing purposes.

 

 

 

as I posted, clarity would be nice.

 

... and I fear the tax advisors/companies have not asked this very specific question to the RD - but rather are offering their own interpretations which may be wrong.

 

I've already spotted where they claimed where there was a tax form for LTR visa holders (suggesting such was for all) when in fact it was only relevant to a very small category of the LTR visa holders.  At best that is a poorly researched misleading answer in the case noted, and at worst it is a deliberate spin to try to scaremonger and drum up business.  I suspect the former - however one does NOT want poor research and/or misleading answers from a tax advisor.

 

Further some tax advisors (such as Q and A noted) claim LTR visa holders need to file a tax return even if remitted income to Thailand is their only income.  We know now from a user who asked the Thai RD on a help line and was specifically told no tax return required.  Again the purported internet (registered no less) tax advisors claimed a tax return required. I suspect they never asked the Thai RD that specific question, but instead came up with their own interpretation.  again ... At best that is a poorly researched misleading answer in the case noted, and at worst it is a deliberate spin to try to scaremonger and drum up business.

[Ben Zioner]

1 hour ago, JimGant said:

Makes no sense, if BOI is trying to sell a new product that will give you a tax advantage over the guy without a LTR visa.... Definitely something lost in translation here. Furthermore, enough folks have queried BOI on this tax advantage -- and have been told ALL remitted assessable income is tax exempt.

But that [tax exemption] remains the case, even if the income must be remitted in a year posterior to the year of earning.

 

Honestly I have given thought to this quite a while ago, and speculated that the tax reform was on the books when the LTR was being implemented, remember it was launched in September 2022 just one year before the first "Remittance tax". Government departments can mull over reform for years, waiting for a political opportunity to implement it. It isn't always the clueless politician who is in the driving seat. So in this case RD 743 was only needed to "grandfather" the old taxation rules on remittance.

[oldcpu]

11 minutes ago, Ben Zioner said:

But that [tax exemption] remains the case, even if the income must be remitted in a year posterior to the year of earning.

 

Honestly I have given thought to this quite a while ago, and speculated that the tax reform was on the books when the LTR was being implemented, remember it was launched in September 2022 just one year before the first "Remittance tax". Government departments can mull over reform for years, waiting for a political opportunity to implement it. It isn't always the clueless politician who is in the driving seat. So in this case RD 743 was only needed to "grandfather" the old taxation rules on remittance.

 

Well - as noted, user Guavaman asked on the Thai RD Help Line did LTR visa holders (ie for LTR-WP, LTR-WGC, and LTR-WFTP), whose only income was remitted foreign income, did they need to file a Tax return?

 

Best that I understand was the RD told him NO. (ie for LTR-WP, LTR-WGC, and LTR-WFTP).  If there was some caveat that it only applied for income earned in the current tax year, or did not apply for income earned in the current tax year, they would have clearly warned of that caveat.

 

Best that I understand from user Guavaman's post, the Thai RD applied no such caveat.

 

Again, I suspect the tax advisor companies did not bother to ask the Thai RD this very question.

[Ben Zioner]

12 minutes ago, oldcpu said:

Best that I understand from user Guavaman's post, the Thai RD applied no such caveat.

Was it TRD, or one obscure officer within TRD? Unless BOI and/or TRD release a formal clarification we will have to wait another two or three years before RD's decisions shed light on this issue.

 

In the meantime remit Y-1 income, early in year Y, so it is easy to prove you've done things by their book.

 

 

[JimGant]

27 minutes ago, Ben Zioner said:

Honestly I have given thought to this quite a while ago, and speculated that the tax reform was on the books when the LTR was being implemented,

Yeah, maybe BOI was advertising: "New rule coming into effect in Sept 2023 -- Por 161 -- but getting a LTR visa will grandfather you under the old rules, of no tax on income remitted in later year." Perhaps, then, BOI should take a course in marketing -- and how subterfuge can be negative in the long run.

[oldcpu]

23 minutes ago, Ben Zioner said:

Was it TRD, or one obscure officer within TRD? Unless BOI and/or TRD release a formal clarification we will have to wait another two or three years before RD's decisions shed light on this issue.

 

In the meantime remit Y-1 income, early in year Y, so it is easy to prove you've done things by their book.

 

 

 

He stated he phoned the RD Tax department tax help line. 

 

He stated the chat lasted at least an hour, and that there were many occasions when the RD official on the phone, had to 'put the phone down' and consult with someone else in the RD to get an answer.

 

He also noted the chat was in Thai language (so presumably nothing lost in translation).

 

To me, that reads to be far more official than a local tax office, and more official than a youtube blog of a tax advisor looking for business who did not also adopt the same or superior approach.

 

It all boils down to - in part - who does one believe?

[JimGant]

32 minutes ago, Ben Zioner said:

In the meantime remit Y-1 income, early in year Y, so it is easy to prove you've done things by their book.

Yeah, be proactive to the extent possible -- even if their book is in complete disarray, and it's up to you to determine 'worst case.'