Bank Taxing 15% - Can I get a refund with tax I

[Seamaster]

The title says it all.

 

Is it possible to get a tax refund on past years if I produce a tax ID?

 

As the tax has been paid what I apply with a form to the government or how would this be done assuming it can be?

[flyingtlger]

8 minutes ago, Seamaster said:

Is it possible to get a tax refund on past years if I produce a tax ID?

A remote possibility but highly improbable.  Like squeezing water out of a rock.....

[Seamaster]

Just now, flyingtlger said:

A remote possibility but highly improbable.  Like squeezing water out of a rock.....

How would I go about it?

[freeworld]

1st you need a Thai tax number.

2nd you get a bank statement of interest and tax withheld from the bank for the tax year you want to claim a refund.

3rd you fill in the tax form and submit it to reclaim the refund (you can ask the tax office to help with this)

 

All is done at the tax office for your area.

 

Be prepared to be asked some intrusive questions about income etc... Sometimes better to have a Thai speaker along with to help translate/communicate.

Edited July 29, 2023 by freeworld

[Pib]

Yes....you can get a refund....I did it each and every year from around 3 years when I was into using fixed saving accts to maintain my Bt800K deposit used to renewal my retirement visa extension.  I would get the tax refund in 4-6 weeks.  Just follow the guidance given in freeworld's post above.   You'll can get the tax number issued when applying for the refund and then use that same tax number for ensuring years.

 

Now, as long as the interest earned does not exceed Bt20K per year on a "regular" savings acct if you provide your Thai bank(s) your Thai tax number they will stop withholding any tax until you exceed Bt20K interest earned per year.  However, for "fixed" savings acct they will withhold interest regardless of tax number on file or not.

 

Several years ago when the govt started withholding tax on regular savings accts if exceeding Bt20K interest per year I provided Bangkok Bank and Krungsri Bank my tax number and they stopped withholding tax....no tax has been withheld since.

 

 

[proton]

It's easy in theory, did it last year but a few obstacles such as the tax office saying after 5 months I never gave them all the paper work, took six months to get refund. Then you had to take it to one bank krungthai, you can apply for 3 years back I think

[Sheryl]

I did it 2 years. The application process is quite easy but  once submiyted, I was called in for the "intrusive questions" mentioned by   @freeworld

 

More than questions, had to come back with stack of credit advices etc to prove I was living off money brought in from abroad and eventually speak to a supervisor...with many deeply persobap questions unrelated to finances along the way . Was such a hassle I decided not worth it this year, but the amount in my case would nto have exceeded 1,000 baht.

 

You are less likely to encounter this problem in a province with many foreign retirees. My provincial tax office has never heard of foreign retirees being able to live in Thailand and assumes all foreigners must be working here. Endless demands for my "work permit", "work contract" etc.

[JimGant]

On 7/30/2023 at 10:41 PM, Sheryl said:

More than questions, had to come back with stack of credit advices etc to prove I was living off money brought in from abroad and eventually speak to a supervisor...with many deeply persobap questions unrelated to finances along the way . Was such a hassle I decided not worth it this year, but the amount in my case would nto have exceeded 1,000 baht.

Yeah, we keep getting an argument against taking a tax credit on your US tax return -- because Pub 514 says:

Quote

You cannot take a foreign tax credit for income taxes paid to a foreign country if it is reasonably certain the amount would be refunded, credited, rebated, abated, or forgiven if you made a claim.

So, take the US tax credit, as there's nothing 'reasonably certain' in this situation about a Thai tax refund.

 

And from an ethical point of view -- no tax evasion here, just that the country where the income is earned, and in which it is paid, and in which you live -- gets to keep the taxes. Sorry, US, the tax credit trumps your ability to tax.

 

Yes, there are some fine points against the credit that could be argued. But my limited years as a CPA saw some letter audits that were won with less evidence than I could provide here, namely, the many situations reported on this forum, like no work permit, thus no tax ID, thus no tax refund. Yes, this is cherry picking, since there are many reports on this and other forums stating that getting your Thai tax back is easy. But -- big BUT -- you're no obligated to provide the IRS with counter arguments against your case -- those arguments need be provided by them.

 

But, again, this is not an ethical situation, as there's no tax evasion. It's just a matter of detail and interpretation. So, take the bloody tax credit and don't waste your time trying to get a Thai tax refund. The chance of an audit, for a three figure, or less credit, is zip -- the IRS still can't afford to audit the billionaires. But if you do get audited -- PM me for a pro bono assist.

 

 

Edited August 1, 2023 by JimGant

[Brick Top]

Yes , it is possible , I did mine a few weeks ago , claimed back 28,765 baht , its quite easy , just go to the bank , in my case 3 different banks. Obtain a certificate of tax deducted for the past 3 years. Take this along to your " local tax office" , they will issue you a Tax ID card and after filling in tax returns for you ( fee was fir me 200 baht )

They send you a cheque which you take to Krungthai bank to cash. The whole process took me half a day .

[TigerandDog]

1 hour ago, Brick Top said:

Yes , it is possible , I did mine a few weeks ago , claimed back 28,765 baht , its quite easy , just go to the bank , in my case 3 different banks. Obtain a certificate of tax deducted for the past 3 years. Take this along to your " local tax office" , they will issue you a Tax ID card and after filling in tax returns for you ( fee was fir me 200 baht )

They send you a cheque which you take to Krungthai bank to cash. The whole process took me half a day .

or you just deposit the refund cheque into your own bank account, which is what I've been doing for the past 9 years. Just make sure that your name on the cheque matches exactly the name on your bank account.

[khunPer]

On 7/29/2023 at 4:27 AM, Seamaster said:

How would I go about it?

You need to register as income tax payer at a custom office. You'll need to prove that you stay in Thailand for minimum 180 days in a calendar year and have taxable Thai income. You will receive a small slip with your TIN (Tax Identification Number). Before March 31st every year you need to fulfil your Tax Return Form, in which you in "Number 3, Assessable Income Under Section 40 (4)", first section find "Interest, bill or debt instrument discount, which the taxpayer is the first holder (if opt not to pay tax at the rate of 15 percent)". Here you can claim to be income taxed of your interest, instead of paying a flat 15 % rate of withholding tax.

 

Today you need to state your Tax return online in Thai language.

 

If it's relative small money, I wouldn't bother. However, in principle you are fully income taxable when staying in Thailand for more than 180 days during a calendar year...

[Lorry]

3 hours ago, Brick Top said:

Yes , it is possible , I did mine a few weeks ago , claimed back 28,765 baht , its quite easy , just go to the bank , in my case 3 different banks. Obtain a certificate of tax deducted for the past 3 years. Take this along to your " local tax office" , they will issue you a Tax ID card and after filling in tax returns for you ( fee was fir me 200 baht )

They send you a cheque which you take to Krungthai bank to cash. The whole process took me half a day .

Same here. Took about 3 hours. 

You can find your local tax office by searching for revenue office or revenue department in Google maps, or ask the motorcycle gang for sampagorn. Don't expect much English there. 

 

2 hours ago, TigerandDog said:

or you just deposit the refund cheque into your own bank account, which is what I've been doing for the past 9 years. Just make sure that your name on the cheque matches exactly the name on your bank account.

Same here. Took 8 minutes. 

[Seamaster]

Thanks all. Some good stuff there.