Thai Stock Trading Account - Tax/Immigration ?

[aldriglikvid]

Hi, 

 

I opened a local Stock Trading Account here in Thailand, and I'm about to make a deposit and start trading. I'm familiar with the tax rates and I'm totally confident with all those details. I also now how to declare the taxes to my home country. However, there are two things that are not very clear to me: 

- I will be taxed for dividends received (which is fine, and expected) but is that tax to my "name" or have they set up a TAX ID for me? Do I need to file something every year, with the local tax agency? 

- Would invest in the stock market, via a Thai Bank, be perceived by Immigration as "working" and interfere with my Visa? I'm currently on a SETV and on the late stages of receiving a Elite. 


Please observe: I'm not looking for investment options, I'm not looking for "why don't you invest back home/with interactive brokers" etc. On topic only :) 

[DrJack54]

Finance banking forum might have better advice.

 

Just a wild guess sounds like USA citizen trying to avoid tax.

Most likely not even close, but I like mystery posts. 

[aldriglikvid]

1 minute ago, DrJack54 said:

Finance banking forum might have better advice.

 

Just a wild guess sounds like USA citizen trying to avoid tax.

Most likely not even close, but I like mystery posts. 

Not close. Taxes for dividends are 15% lower in my home country, than in Thailand, but no broker in my home country accepts the SET and the 1100 stocks on it. ????

[DrJack54]

Just now, aldriglikvid said:

Not close. Taxes for dividends are 15% lower in my home country, than in Thailand, but no broker in my home country accepts the SET and the 1100 stocks on it. ????

I did qualify with saying I'm probably not even close. 

 

Hopefully some guys that have similar plan can advise. 

More likely in finance forum in my thinking. 

 

[Pink Mist]

OP Topic has been moved to the https://aseannow.com/forum/13-jobs-economy-banking-business-investments/

[msbkk]

-there will be a 10% automatic withholding tax on dividends, tax ID is not required neither tax filing

-it is not perceived as working and is not visa related and my guess is you  will you also not  be trading all day long by investing in stocks

[aldriglikvid]

5 minutes ago, msbkk said:

-there will be a 10% automatic withholding tax on dividends, tax ID is not required neither tax filing

-it is not perceived as working and is not visa related and my guess is you  will you also not  be trading all day long by investing in stocks

Very clear. Thanks! 

[Sigma6]

51 minutes ago, msbkk said:

-there will be a 10% automatic withholding tax on dividends, tax ID is not required neither tax filing

-it is not perceived as working and is not visa related and my guess is you  will you also not  be trading all day long by investing in stocks

 

How about tax on capital gain if selling at profit?

[NoDisplayName]

Your broker will deduct the 10% tax before depositing dividends into your account.

Account will be referenced to your name and passport number.

Thailand does not tax capital gains on sales of Thai stocks.

[JustThisOnePostOnly]

1 hour ago, NoDisplayName said:

Thailand does not tax capital gains on sales of Thai stocks

Which just makes it all the more insane that the U.S. does.

[sidgy]

10 hours ago, aldriglikvid said:

Not close. Taxes for dividends are 15% lower in my home country, than in Thailand, but no broker in my home country accepts the SET and the 1100 stocks on it. ????

You can buy an ETF such as THD for exposure to the SET 

[tontraveller]

When you buy shares in NVDR you dont have anything to do with tax office

Dividends will be paid out  with witholding tax

[NoDisplayName]

3 hours ago, tontraveller said:

When you buy shares in NVDR you dont have anything to do with tax office

Dividends will be paid out  with witholding tax

Don't bother with the tax office unless you want to.

You can file a Thai tax return, and if you fall under the income limits, you can request a refund of taxes withheld on bank interest and stock dividends.

 

Edited May 19, 2023 by NoDisplayName

[JackGats]

Tax on dividends: unfortunately, they will levy the 10% tax using a  tax number consisting of zeros (000000000).

 

I asked my broker if my thai TIN might be used instead. I got the usual thai answer: "you need not bother about that". I'm sure they could set it to my TIN if they wanted, but it would require some work on their part. 

 

Having a broker's account is most certainly not equated with "working". I know people who've been here for decades on pensioners' visas and they invest in shares in Thailand.

Edited May 19, 2023 by JackGats

[khunPer]

17 hours ago, aldriglikvid said:

- I will be taxed for dividends received (which is fine, and expected) but is that tax to my "name" or have they set up a TAX ID for me? Do I need to file something every year, with the local tax agency? 

- Would invest in the stock market, via a Thai Bank, be perceived by Immigration as "working" and interfere with my Visa? I'm currently on a SETV and on the late stages of receiving a Elite. 

If you accept the 10 percent dividend withholding tax, you shall do nothing further. You are registered with your passport as foreigner, remember to use the NVDR-option to get dividends, when that options id available, otherwise buy shares with the "-F" option as foreigner within a 49% limit to be eligible for dividend.

 

No, you are not working when investing in the stock market as an individual person.

 

In general, if you stay 180 days or longer in Thailand within a calendar year, you are in principle full income taxable to Thailand. However, you cal still accept to pay 10% withheld dividend tax as final taxation for dividends. Capital gains from stocks traded on  SET are not income taxable.

[aldriglikvid]

17 minutes ago, khunPer said:

If you accept the 10 percent dividend withholding tax, you shall do nothing further. You are registered with your passport as foreigner, remember to use the NVDR-option to get dividends, when that options id available, otherwise buy shares with the "-F" option as foreigner within a 49% limit to be eligible for dividend.

 

No, you are not working when investing in the stock market as an individual person.

 

In general, if you stay 180 days or longer in Thailand within a calendar year, you are in principle full income taxable to Thailand. However, you cal still accept to pay 10% withheld dividend tax as final taxation for dividends. Capital gains from stocks traded on  SET are not income taxable.

Excellent answer, thanks!