What is this tax that’s taken out of my bank book account…?

[mikey88]

Twice a year I have a deduction labelled as ‘Tax’ from my account.

 

What is this….do you know..?

[treetops]

Withholding tax on the interest you've received.  Most folk can get it back with a bit of effort.

[Captain Monday]

1 hour ago, treetops said:

Withholding tax on the interest you've received.  Most folk can get it back with a bit of effort.

• Apply for a tax ID number at your local Revenue district office soon
• In January ask for the Tax withheld document from your bank
• File a tax return in 2024

Then as long as you are entitled to a refund should be able to get the tax withdrawn returned by mail/cheque in a few months. 

[treetops]

3 minutes ago, Captain Monday said:

File a tax return in 2024

 

I'm not the OP but in light of recent news I'd rather avoid that and the interest I get is worth paying if it helps achieve that.

[Captain Monday]

15 minutes ago, treetops said:

 

I'm not the OP but in light of recent news I'd rather avoid that and the interest I get is worth paying if it helps achieve that.

I think it will be much worse than people imagine but personally trying to not freak out about that yet but

First, I don't spend 180 days in any country in a year. Even during covid I never did a 90 day report.

#constantinternationaltravel

[nglodnig]

5 hours ago, Captain Monday said:

First, I don't spend 180 days in any country in a year.

Most members of this forum are probably not in that group.

[Mike Lister]

5 hours ago, Captain Monday said:

• Apply for a tax ID number at your local Revenue district office soon
• In January ask for the Tax withheld document from your bank
• File a tax return in 2024

Then as long as you are entitled to a refund should be able to get the tax withdrawn returned by mail/cheque in a few months. 

The problem with re-claiming that tax is that you have to complete a tax return and to do that, you have to complete the entire return and declare all your income in Thailand, not just the part that lets you get back your tax on bank interest. That means you have to declare any income received from overseas sources, remitted in the year it was earned, direct deposits  of pension payments etc to Thai banks. If you don't do that, you will have filed a fraudulent tax return, just something to keep in mind.

 

 

[nglodnig]

It's a couple of hundred baht - I'm not losing sleep over it.

[Captain Monday]

1 hour ago, Mike Lister said:

The problem with re-claiming that tax is that you have to complete a tax return and to do that, you have to complete the entire return and declare all your income in Thailand, not just the part that lets you get back your tax on bank interest. That means you have to declare to Thai banks. If you don't do that, you will have filed a fraudulent tax return, just something to keep in mind.

 

 

「any income received from overseas sources, remitted in the year it was earned, direct deposits  of pension payments etc」

 

What if I do not spend 180 days per year in Thailand an am by their definition not a tax resident. Will I have to report these foreign sourced income streams?

 

I do not spend 180 days a year in Thailand or any other country. 

Edited November 16, 2023 by Captain Monday

[Mike Lister]

32 minutes ago, Captain Monday said:

「any income received from overseas sources, remitted in the year it was earned, direct deposits  of pension payments etc」

 

What if I do not spend 180 days per year in Thailand an am by their definition not a tax resident. Will I have to report these foreign sourced income streams?

 

I do not spend 180 days a year in Thailand or any other country. 

No you would not. But there again, if you were not tax resident in Thailand you wouldn't be able to file a tax return or get the tax refund on bank interest.

[Captain Monday]

36 minutes ago, Mike Lister said:

No you would not. But there again, if you were not tax resident in Thailand you wouldn't be able to file a tax return or get the tax refund on bank interest.

Well, I have filed that return for years.

The people at the Revenue office never asked how many days I spent in Thailand.

Edited November 16, 2023 by Captain Monday

[sirineou]

Good to know the OP

I have never noticed if tax is withdrawn from the account where I keep the funds for my extension to stay.

I would certainly look into it  

 

PS: from reading more of this thread , If I understood correctly, it requires  a tax ID number that I don't think I have. 

So there is another thing I would have to look into. 

Edited November 16, 2023 by sirineou

[Mike Lister]

Just now, Captain Monday said:

Well, I have filed that return for years.

The people at the Revenue office never asked how many days I spent in Thailand.

I suppose if you obtained your Thai Tax ID some years ago, at a time perhaps when you were tax resident and qualified to be issued with a tax ID, or when the criteria was less strict, they are not going to check every year to see if you are still tax resident. As a general rule, tax ID won't be issued to non Thai's unless they hold a long stay visa and in some cases, can prove they actually stay here for more than 180 days per year. Alternatively, the requestor has demostrate that they have a valid need for a tax ID, because they have income that is relevant here. There have been reports of RD refusing to issue tax ID's to people who did not meet those criteria.

[Captain Monday]

Not saying you are wrong. I just asked for a Tax ID there years ago and they provided it. I was probably when I had the PE visa or visa exempt. Never worked in Thailand and never been a  a so-called "tax resident" of Thailand by their definition of 180 days

 

I think things tax wise will be changing dramatically for the worst next year. I think they want to drive a certain demographic out. My plan B has become plan A for sure.

Edited November 16, 2023 by Captain Monday

[mikey88]

9 hours ago, Captain Monday said:

• Apply for a tax ID number at your local Revenue district office soon
• In January ask for the Tax withheld document from your bank
• File a tax return in 2024

Then as long as you are entitled to a refund should be able to get the tax withdrawn returned by mail/cheque in a few months. 

 

[mikey88]

Thanks for all that information.  It’s been an eye opener.  
 

So I am  paying income tax already …..in reality…?

 

I had no idea.  I never really looked closely at the Book Bank until the other day.

 

I might just leave sleeping dogs lie.

 

what do you think.

[DrJoy]

On 11/16/2023 at 10:08 AM, mikey88 said:

paying income tax already

No. Its WHT from interest. Its charged at @15%     

[Mike Lister]

On 11/16/2023 at 10:08 AM, mikey88 said:

Thanks for all that information.  It’s been an eye opener.  
 

So I am  paying income tax already …..in reality…?

 

I had no idea.  I never really looked closely at the Book Bank until the other day.

 

I might just leave sleeping dogs lie.

 

what do you think.

You're paying VAT and probably sales tax also, unless they are serious amounts I wouldn't get too excited.

[Liverpool Lou]

On 11/15/2023 at 11:00 PM, mikey88 said:

Twice a year I have a deduction labelled as ‘Tax’ from my account.

 

What is this….do you know..?

What did the bank tell you?

[BenStark]

3 minutes ago, Liverpool Lou said:

What did the bank tell you?

 

They said post the question on the AN forum. and a lowlife with nothing better to do all day, will start an argument over it

[Liverpool Lou]

10 minutes ago, BenStark said:

14 minutes ago, Liverpool Lou said:

What did the bank tell you?

 

They said post the question on the AN forum. and a lowlife with nothing better to do all day, will start an argument over it

You're really being too hard on yourself, no one thinks that you're the "lowlife with nothing better to do all day" as you claim.   It's ironically interesting that you tried to start an argument over my doing nothing more than asking the OP a legitimate question.

[Captain Monday]

4 hours ago, BenStark said:

 

They said post the question on the AN forum. and a lowlife with nothing better to do all day, will start an argument over it

Pointing out  incorrect assertions or inconsistencies in the posted contributions pf other members is not necessarily starting an argument, in the negative sense of the term.  The insinuation that someone is a lowlife is an insult that is probably a violation of forum rules, and certainly common nettiquette.

[vangrop]

OP stop boring us, you know any bankaccount is elligible for taxation. So if you want to avoid this, I advise you to make a touristic trip to Panama. To the moderator I only gave a trip advise.