parafareno Posted October 17, 2022 Share Posted October 17, 2022 (edited) If you own and condo and get a tenant for lets say 1 year and you earn 120000 per year. Do you have to pay any tax? Or not necessary? The real estate agent told me no tax is needed to pay. I was thinking like 20 % of the profit or something.... Edited October 17, 2022 by parafareno Link to comment Share on other sites More sharing options...
mjakob007 Posted October 18, 2022 Share Posted October 18, 2022 Threshold for income tax is 150,000thb per annum for FY 2022 Link to comment Share on other sites More sharing options...
PPGuy Posted October 18, 2022 Share Posted October 18, 2022 2 hours ago, mjakob007 said: Threshold for income tax is 150,000thb per annum for FY 2022 Does that also apply to rental income? Link to comment Share on other sites More sharing options...
mjakob007 Posted October 18, 2022 Share Posted October 18, 2022 yes, per my understanding. rental income also qualifies for 'standard deduction or allowance' not exceeding 30% of such income. Link to comment Share on other sites More sharing options...
scubascuba3 Posted October 18, 2022 Share Posted October 18, 2022 1 minute ago, mjakob007 said: yes, per my understanding. rental income also qualifies for 'standard deduction or allowance' not exceeding 30% of such income. If renting, don't need a work permit? Link to comment Share on other sites More sharing options...
mjakob007 Posted October 18, 2022 Share Posted October 18, 2022 No, as long as one can establish not to be soliciting tenancy. in other words, if there is an agent who brings a tenant the landlord can establish RE commission has been paid, its a pass. 1 Link to comment Share on other sites More sharing options...
PPGuy Posted October 18, 2022 Share Posted October 18, 2022 1 hour ago, mjakob007 said: yes, per my understanding. rental income also qualifies for 'standard deduction or allowance' not exceeding 30% of such income. This article gives some more detail on the tax impact on rental income but the basics match with your comment. https://www.hlbthai.com/thai-rental-properties-and-personal-income-tax/ But, as with all things Thai, caveat emptor. Link to comment Share on other sites More sharing options...
parafareno Posted October 18, 2022 Author Share Posted October 18, 2022 so in simple term, if you are away in europe and you rent your property through agent you do not have to pay any tax...you can pocket the money 100 %... it is just simple yes or no.... Link to comment Share on other sites More sharing options...
parafareno Posted October 18, 2022 Author Share Posted October 18, 2022 2 hours ago, PPGuy said: This article gives some more detail on the tax impact on rental income but the basics match with your comment. https://www.hlbthai.com/thai-rental-properties-and-personal-income-tax/ But, as with all things Thai, caveat emptor. so this article says Taxes on rental income Foreign individuals are subject to Thai personal income tax on rental income generated from real estate situated in Thailand. In most cases, 15% withholding tax applies to rental income paid to foreign individuals that are not tax residents of Thailand. How to pay less than 15% tax it means I have to pay the government 15 %?? Link to comment Share on other sites More sharing options...
mjakob007 Posted October 18, 2022 Share Posted October 18, 2022 (edited) WHT has to be deducted and paid to govt by the lessee. When you file personal tax return in Thailand, the WHT will be refunded to you, if your income does not attract tax for the FY. if your only income for the year in Thailand is less than 150,000, you will receive a full refund. I once had a tenant who worked for an international airline co, and rent was paid by the airline. they would deduct WHT and i had to claim it at the end of year while filing tax returns. In your case, if your tenant is not a corporate entity, they would not deduct WHT. if your only income in Thailand is limited to 120,000baht, you don't have any tax exposure. just validate with a 'tax practitioner', if you are liable to file tax returns at the end of the year or otherwise. Edited October 18, 2022 by mjakob007 missed a word out Link to comment Share on other sites More sharing options...
parafareno Posted October 18, 2022 Author Share Posted October 18, 2022 so below 150000 per year is no tax..above 150000 is 5 % and then step up gradually? Link to comment Share on other sites More sharing options...
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