Personal Income Tax Guide (for foreigners) Thailand

[Mike Lister]

A change to para 8 in the document, thanks to eagle eye poster UKresonant:

 

"Tax residency is based solely on the number of days you spend in Thailand. and where you are at midnight on each day. A day appears to be counted using the entry and exit stamps in your passport, unlike many other countries where it is determined by where you are at midnight".

[Bazle]

57 minutes ago, Mike Lister said:

A change to para 8 in the document, thanks to eagle eye poster UKresonant:

 

"Tax residency is based solely on the number of days you spend in Thailand. and where you are at midnight on each day. A day appears to be counted using the entry and exit stamps in your passport, unlike many other countries where it is determined by where you are at midnight".

Does that mean the days of arrival and departure are both counted? 

[Mike Lister]

1 hour ago, Bazle said:

Does that mean the days of arrival and departure are both counted? 

Yes, it seems so

[Mike Lister]

The following is an update to para 4 that I added yesterday but didn't report, the point needed greater emphasis.

 

"It must be clearly understood that great uncertainty exists at present regarding the rules the RD will adopt governing the taxation of incoming funds and the reporting of them on a tax return. At this stage there are many unanswered questions and  much is not known. As new information is made available, we will try to update this document and keep you appraised of new developments". 

[Mike Lister]

If you hold a Foreign Currency Deposit account (FCD) in Thailand you may wish to understand the banks position regarding A) your eligibility to retain the account, if you become tax resident, and (B) the circumstances under which a withdrawal and conversion of foreign currency from the account, into THB, is considered a funds transfer and is therefore a taxable event.

 

Thailand does not have offshore banks within its boundaries, offshore banks/branches are, by their very nature, outside the borders of the country. Instead, many Thai banks operate accounts that have some similar characteristics to offshore accounts in that money can be transferred into the account and then withdrawn or transferred out again, without prior approvals. One of the larger banks offers this type of account under  two headings, one for Thai nationals and one for non-resident foreigners.  Thai nationals who open such an account are liable to tax on money earned within the account and from 1 January 2024 onwards, the account will likely come under scrutiny from the RD for inbound transfers.

 

But non-resident foreigners are not liable to tax on this type of account, unless they opened the account using a work permit. BUT, if the non-resident foreigner stays in Thailand beyond 180 days, they become de-facto tax resident. It is possible that their eligibility to hold the account could cease and that transfers from the account represent taxable income from day 181 onwards.

 

Confusing and messy? Possibly! It may well be this is not an issue for many, based on their circumstances but it is something that shouldn't be ignored or over looked.  I don't have all the answers on this yet but there is an issue that account holders need to satisfy themselves  on regarding the two aspects described above. I tried to have a discussion with another poster recently about this subject but it wasn't conclusive and it didn't end well!  What was clear however was that the moment the account holder withdraws funds from the account and they are exchanged for THB, that is potentially taxable income, subject to all the other usual factors.

[TroubleandGrumpy]

Mike - I just found this additional thread about income taxes - is this where all discussions should be held - will the 'new tax era' thread be closed and readers referred to this one.

 

I have a couple of questions and some issues to maybe add to the unknowns list.

 

This imay have been already resolved and I missed it - but just in case. That document you attached which states that anyone with income above 120K must lodge a tax return, is specifically "For taxpayers who received income from employment only". 

Is there a document from the Thai RD that specifially covers those who receive income/money from overseas only, and have zero income/money from employment here or overseas.

 

The current tax rates that I read in the guide document here are different from the latest rates listed by Mazaars. I know the Thai RD website states the ones in the guide, but under that it states 'applicabkle from 2013/2014'. I will not comment right now on my opinion of the Thai RD.

Personal Income Tax - Mazars - Thailand

 

Given that an Expat brings in money to Thailand from his personal savings accumulated before 1 Jan 2024, can you advise on what basis are they required to lodge a tax return (besides that document attached), and have you got any idea how they are going to prove to the Thai RD that the money is not taxable. 

 

If I think of anymore I will send them here.

[Startmeup]

On 1/11/2024 at 7:39 PM, Mike Lister said:

Indeed. I think where we will end up very shortly is a list of knowns and a list of unknowns and as the unknows are made clear and announcements are made, the picture will become clearer. but it will take time and some patience.

How can any individual in this tax year be liable to any new rules when there is so much ambiguity? They can’t seems like the only possible answer. 

[Mike Lister]

7 hours ago, TroubleandGrumpy said:

Mike - I just found this additional thread about income taxes - is this where all discussions should be held - will the 'new tax era' thread be closed and readers referred to this one.

 

I have a couple of questions and some issues to maybe add to the unknowns list.

 

This imay have been already resolved and I missed it - but just in case. That document you attached which states that anyone with income above 120K must lodge a tax return, is specifically "For taxpayers who received income from employment only". 

Is there a document from the Thai RD that specifially covers those who receive income/money from overseas only, and have zero income/money from employment here or overseas.

 

The current tax rates that I read in the guide document here are different from the latest rates listed by Mazaars. I know the Thai RD website states the ones in the guide, but under that it states 'applicabkle from 2013/2014'. I will not comment right now on my opinion of the Thai RD.

Personal Income Tax - Mazars - Thailand

 

Given that an Expat brings in money to Thailand from his personal savings accumulated before 1 Jan 2024, can you advise on what basis are they required to lodge a tax return (besides that document attached), and have you got any idea how they are going to prove to the Thai RD that the money is not taxable. 

 

If I think of anymore I will send them here.

It was decided that two possibly three parallel threads related to taxation, can coexist in order for different levels of debate to ensue. We'll see how this works out. There's a lot of excellent material in the 200+ page thread, it's just hard to find. If you want to resume discussions in the thread, you certainly can.

 

I'm not aware of any RD document that deals just with money from overseas.

 

I hadn't spotted the different in that top tax band, sherrings, PWC and Mazars say it's 5 million, the RD says its 4 mill. I've flagged it as an issue at the end of the simple guide. Thanks for pointing that out!

 

A cut off statement or valuation dated at or around 1 January 2024, should be sufficient to prove that funds remitted after that date, were accumulated as savings before that date. Clearly, if they didn't exist before 1 Jan 24, they probably weren't savings. 

 

Your biggest point is the first one regarding income from savings vs income from employment. The RD criteria for who has to file a tax return, doesn't distinguish between the source of funds, it only says income above 120,000 baht per year and we have said in the document that is deemed to be assessible income. Assessable income is all forms of income that is assessed to determine whether or not it is taxable and certain savings under the new rule as not taxable. The current forms and wording from the RD are not sufficient to manage domestic and overseas income and separate them. I don't think there has been any consideration previously that tax filers might have the two different types of income, both of which are handled differently, potentially.

 

 

 

 

 

[Mike Lister]

4 hours ago, Startmeup said:

How can any individual in this tax year be liable to any new rules when there is so much ambiguity? They can’t seems like the only possible answer. 

We all need to be patient and wait and see what transpires, we can't force the issues. Relax! 

[Mike Lister]

I've updated the disclaimer in the document in the OP, yet again! 

 

"IMPORTANT - This document is provided on an as-is basis and it is not intended to provide legal, financial or tax advice. The authors are not lawyers or tax advisers. You the reader remain wholly responsible for your own financial and tax affairs. No warranty is given for the contents of this document, either express or implied".

[Mike Lister]

The list of unresolved issues at the end of the document is growing, here's what it looks like now:

 

UNRESOLVED, CONFLICTING or UNCLEAR  ISSUES

 

A. The exact nature of the imported income taxation rules between the Thai RD and countries with whom it has DTAs

 

B. The conflicting need to file a tax return where zero tax is due (a nil return).

 

C. International Gift Tax rules

 

D. Tax status of funds remitted when not tax resident in TH

 

E. Where does the top rate of tax band start, 4 mill or 5 mill?

 

[Mutt Daeng]

1 hour ago, Mike Lister said:

The list of unresolved issues at the end of the document is growing, here's what it looks like now:

 

UNRESOLVED, CONFLICTING or UNCLEAR  ISSUES

 

A. The exact nature of the imported income taxation rules between the Thai RD and countries with whom it has DTAs

 

B. The conflicting need to file a tax return where zero tax is due (a nil return).

 

C. International Gift Tax rules

 

D. Tax status of funds remitted when not tax resident in TH

 

E. Where does the top rate of tax band start, 4 mill or 5 mill?

 

Thanks for all your time and effort so far Mike. Keep up the great work.

[Startmeup]

9 hours ago, Mike Lister said:

We all need to be patient and wait and see what transpires, we can't force the issues. Relax! 

I am fully relaxed. These proposals won't go through imo.

[TroubleandGrumpy]

10 hours ago, Mike Lister said:

Your biggest point is the first one regarding income from savings vs income from employment. The RD criteria for who has to file a tax return, doesn't distinguish between the source of funds, it only says income above 120,000 baht per year and we have said in the document that is deemed to be assessible income. Assessable income is all forms of income that is assessed to determine whether or not it is taxable and certain savings under the new rule as not taxable. The current forms and wording from the RD are not sufficient to manage domestic and overseas income and separate them. I don't think there has been any consideration previously that tax filers might have the two different types of income, both of which are handled differently, potentially.

Yes this is a very big point - and this is definiterly a matter where we disagree. IMO there is no ruling or determination from the Thai RD that specifies that anyone who brings savings into Thailand must lodge a tax return and prove that money is not income but is savings. Therefore, IMO and under the previous precedent whereby retired/married Expats on long term non-working Visas and/or without a working permit, were not required to lodge tax returns on any money they brought into Thailand.

 

Yes it is a requirement for Expats that receive income from employment in Thailand, but there is no ruling or statement from Thai RD that any Expats who bring their savings into Thailand are required to lodge a tax return. But this rule change is not specifically about non-working Expats on those Visas bringing in their savings - it was about people bringing income and/or earnings into Thailand tax free, because that income/earnings was made in the previous tax year.

 

Therefore, in the absence of any specific and clear ruling or statement to the contrary, in my opinion, both based on precedent and specific rules/determinations, non-working retired or married Expats in Thailand on a long term Visa do not have to lodge a tax return, unless the money they bring into Thailand is specifically income or earnings (madse after 1 Jan 2024) as per the Thailand tax laws. Those of us that are in receipt of Government Pensions are in a bit of a limbo about whether that money is assesable income (except for USA) because their country's DTA with Thailand looks a little vague on who can tax a Government Pension.

 

As for those who are Australians, I am still waiting responses to my questions to tax consultants and the ATO.

  

[brianp0803]

As a US citizen my Social Security will not be taxed in Thailand.

 

My ROTH IRA has already been taxed and from years of saving and investment and I think won’t be taxed again.

 

I will get a small pension from my job I had working in California of about 30,000 baht a month (California is very aggressive on collecting tax on money earned in California)

Taxable account n Thailand?

 

Maybe no taxable income in Thailand?

 

 Plan to just live off dividends inside my ROTH IRA.

 

I will getting extension for retirement starting around April this year. Currently working and paying tax in Thailand

 

 

[Mike Lister]

1 hour ago, TroubleandGrumpy said:

Mike - please provide the detailed factual rule or statement or ruling made by Thai RD, or please withdraw this statement. IMO this is yiour opinion - but you are stating it as a fact. I will stand corrected if it is a fact, but none of my research has shown this to be true for all Expats in all situations. 

 

If you again refer to that document you provided in the Guide, I will again point out that the document specifically states that it refers only to those tax residents in Thailand who earn money from employment.

 

Para 23 of the document currently reads:

 

Who must file a tax return? The English language translation of the RD rule says that, "You have to file a return on the income that you received if you meet one of the following conditions:

(1) Your total income exceeded 120,000 baht in the tax year.

(2) You were married and your income combined with that of your spouse exceeded 220,000 baht in the tax year."

 

This is understood to mean assessable income.

 

(Note: you had this debate with Sheryl to the point of exhaustion, in the long thread)

 

https://www.rd.go.th/fileadmin/download/english_form/030265guide91.pdf

 

The quote does not refer to earned" income, merely to income. In the case of foreigners' in Thailand who receive funds from overseas, the RD quote is taken to mean, received as well as earned. Those transfers are income until they are assessed in a tax return and shown to be otherwise.

 

Additionally, Point A in the list of unknowns at the end of the document refer to issues that are unknowns

and unclear, issues that require clarification from the RD.

 

A. The exact nature of the imported income taxation rules between the Thai RD and countries with whom it has DTAs

 

B.  The conflicting need to file a tax return where zero tax is due (a nil return).

 

C.  International Gift Tax rules

 

D. Tax status of funds remitted when not tax resident in TH

 

E.  Where does the top rate of tax band start, 4 mill or 5 mill?

 

This thread has two choices. It can either, accept that those transferred funds are considered to be income, until they are assessed in a tax return and shown to be otherwise, or, accept the issue falls under Point A (above) listed at the end of the document. There is not a third option called, keep asking questions and challenging the point. (Note: the issue exists in both places, in para 23 and in the list of unknowns....belt and braces)

 

[Mike Lister]

43 minutes ago, The Cyclist said:

The elephant in the room, that is being ignored is the OECD and CRS.

 

The CRS is a tool in the fight against tax evasion / Avoidance.

 

I am assuming, because I do not know, that all income remitted to Thailand will have to be checked to ensure that it complies with whatever the rules, regulations and reporting criteria are under CRS in compliance with The OECD' efforts in clamping down on Tax avoidance / evasion.

 

Which is probably why there has been silence from the RD. The grown ups of Thailand probably did not appreciate the scope of what they were taking on when they joined the big boys club of CRS.

 

CRS, A tool in the fight against tax avoidance / evasion.

 

Paying tax already, relax

 

Not paying tax / savings / other methods,  Prepare to be scrutinised, I do not think a simple claim of ( insert your own ) will be sufficient under the OECD, where it may have been sufficient prior to 01 Jan 2024, for the RD.

I hope for everyone's sake that what you have suggested is correct and complete. But since at this time we cannot be certain it is,  Point A in the list of unknows at the end of the document reads:

 

A - The exact nature of the imported income taxation rules between the Thai RD and countries with whom it has DTAs

 

But I do agree with what you have said here:

 

"I am assuming, because I do not know, that all income remitted to Thailand will have to be checked to ensure that it complies with whatever the rules, regulations and reporting criteria are under CRS in compliance with The OECD' efforts in clamping down on Tax avoidance / evasion".

 

That statement is in line with the point made above in response to another poster which said that all transfers are assessible income, until they are filed on a tax return and shown not to be assessible income, for one of a number of reasons such as exemption under a DTA or other RD rules.

 

Once again, this is a wait and see issue that cannot be bottomed, until the RD speaks. For this reason, there is no point in debating such things here repeatedly although I am not against anyone wishing to continue to do so, in the existing debate in the long thread.

[Isan Farang]

FYI i went to Bangkok Bank today to renew my Baht Time Deoposit, in order to renew they now have a form you must complete and sign regarding your tax status in Thailand.

 

The lady told me this form started on 01/01/2024

[The Cyclist]

6 minutes ago, Mike Lister said:

Once again, this is a wait and see issue that cannot be bottomed, until the RD speaks.

 

Unless someone on this thread has access to the EOCD's Rules, Regulations and Reporting criteria regarding Tax avoidance / evasion in compliance to CRS theneverything is wait and see.

 

Up to date anecdotal  evidence

 

Changed passprt number at 3 banks last Monday, not one mentioned anything to do with tax.

 

On Thursday, Apple told me my bank card had expired and could not process my 99 Baht purchase 

 

Back to bank on Friday to renew bank card and got ( my first ever ) 12 month printout.

 

Having now seen ( for the first time ever ) the code that delivers my Government Pension, the bank and the RD will have no problem identifying that code and working out that it is a UK Government Pension, and subsequently covered by a DTA.

 

Which might be why the bank has not mentioned anything to me about tax.

[The Cyclist]

26 minutes ago, Mike Lister said:

I hope for everyone's sake that what you have suggested is correct and complete.

 

I have no idea if it is 100% correct or even complete.

 

But it would still not surprise me if a statement to the effect that

 

* Pensions

 

* US SS

 

* Insert others

 

Are exempt as we already know the details by the remittance code.

[Mike Lister]

14 minutes ago, grain said:

If foreigners are classed as tax "residents" and pay tax in Thailand, then will they be issued with any sort of card that distinguishes them from the general tourists, so the tax payer will no longer have to pay the foreigner price at national parks and museums and historical sites, and will be charged the standard price at hospitals?

There are no such plans and it appears highly unlikely those things will be introduced

[Isan Farang]

1 hour ago, Isan Farang said:

FYI i went to Bangkok Bank today to renew my Baht Time Deposit, in order to renew they now have a form you must complete and sign regarding your tax status in Thailand.

 

The lady told me this form started on 01/01/2024

 

[billd766]

1 hour ago, The Cyclist said:

 

I have no idea if it is 100% correct or even complete.

 

But it would still not surprise me if a statement to the effect that

 

* Pensions

 

* US SS

 

* Insert others

 

Are exempt as we already know the details by the remittance code.

But are those exemptions for the US ONLY, or are they world wide exemptions for every country with a DTA?

 

If is for the USA only, then it is country specific and only of limited use to US citizens.

 

OTOH if it applies world wide then it will be generic and useful for all pensioners whose country has a DTA with Thailand.

[billd766]

1 hour ago, grain said:

If foreigners are classed as tax "residents" and pay tax in Thailand, then will they be issued with any sort of card that distinguishes them from the general tourists, so the tax payer will no longer have to pay the foreigner price at national parks and museums and historical sites, and will be charged the standard price at hospitals?

They are all different departments and most probably don't talk to each other on a day to day basis, let alone on paying tax or issuing a tax paid card.

 

Which department do you think should issue such a card, assuming that such a card exists now, or possibly in the future,

 

For example if the RD issued such a card and you rolled up at a national park, what do you think the chances are of the NP staff even knowing about it, let alone acting on it?

[The Cyclist]

21 minutes ago, billd766 said:

But are those exemptions for the US ONLY, or are they world wide exemptions for every country with a DTA?

 

If income is specifically covered by a DTA from Country X, Y or Z with Thailand, it should not be taxable in Thailand, full stop.

 

I think what people have to really grasp is this is about closing a loophole that allowed tax avoidance / evasion. It is not about double taxing people.

 

 

[Guavaman]

2 hours ago, Mike Lister said:

Para 23 of the document currently reads:

 

Who must file a tax return? The English language translation of the RD rule says that, "You have to file a return on the income that you received if you meet one of the following conditions:

(1) Your total income exceeded 120,000 baht in the tax year.

(2) You were married and your income combined with that of your spouse exceeded 220,000 baht in the tax year."

 

This is understood to mean assessable income.

 

(Note: you had this debate with Sheryl to the point of exhaustion, in the long thread)

 

https://www.rd.go.th/fileadmin/download/english_form/030265guide91.pdf

As I have pointed out before, it is unfortunate that the RD website unofficial English translations contain inaccuracies and outdated information. The Guide to tax return form PND 91 is an example: Where the guide states "total income", the Revenue Code states "assessable income", which is an accurate translation of เงินได้พึงประเมิน: ngoen dai (income) + pheung (must) + pramoen (assess).  

 

I suggest replacing the reference document to the RD Revenue Code as follows:

 

https://www.rd.go.th/english/37749.html

Revenue Code - Chapter 3 Income Tax

 

Section 56  Every taxpayer except a minor or a person adjudged incompetent or quasi-incompetent shall, on or before the last day of March every year, file to the official appointed by the Minister a tax return reporting the assessable income received in the preceding tax year in the form prescribed by the Director-General, if such person -

 (1) has no spouse and has the assessable income of the preceding tax year exceeds 60,000 baht,

(2) has no spouse and has the assessable income of the preceding tax year under only Section 40 (1) exceeds 120,000 baht,

(3) has a spouse and the assessable income of the preceding tax year exceeds 120,000 baht, or

(4) has a spouse and the assessable income of the preceding tax year under only Section 40 (1) exceeds 220,000 baht.

 

Note these requirements apply to "Every taxpayer".

 

Regarding offshore income, the issue of earned vs. remitted, or received vs. brought into Thailand, here is a summary by Baker McKenzie:

 

https://insightplus.bakermckenzie.com/bm/tax/thailand-offshore-sourced-income-received-before-1-january-2024-can-be-brought-into-thailand-in-2024-or-later-without-being-subject-to-thai-personal-income-tax/

 

Order No. 161 and Order No. 162 collectively reveal the Revenue Department's position on Thai personal income taxation on offshore-sourced income, summarized as follows:

Offshore-sourced income	Applicable interpretation	Thai personal income tax consideration
Offshore-sourced income received by Thai tax resident individuals before 1 January 2024	Not subject to the new interpretation under Order No. 161 Offshore-sourced income that is brought into Thailand after the calendar year of receipt is not subject to Thai personal income tax.	Offshore-sourced income received before 1 January 2024 can be brought into Thailand on or after 1 January 2024 without being subject to Thai personal income tax.
Offshore-sourced income received by Thai tax resident individuals from 1 January 2024	Subject to the new interpretation under Order No. 161 Offshore-sourced income that is brought into Thailand from 1 January 2024 onward is subject to Thai personal income tax.	Offshore-sourced income received from 1 January 2024 and brought into Thailand on or after 1 January 2024 will be subject to Thai personal income tax.

 

 

 

[Mike Lister]

3 minutes ago, Guavaman said:

As I have pointed out before, it is unfortunate that the RD website unofficial English translations contain inaccuracies and outdated information. The Guide to tax return form PND 91 is an example: Where the guide states "total income", the Revenue Code states "assessable income", which is an accurate translation of เงินได้พึงประเมิน: ngoen dai (income) + pheung (must) + pramoen (assess).  

 

I suggest replacing the reference document to the RD Revenue Code as follows:

 

https://www.rd.go.th/english/37749.html

Revenue Code - Chapter 3 Income Tax

 

Section 56  Every taxpayer except a minor or a person adjudged incompetent or quasi-incompetent shall, on or before the last day of March every year, file to the official appointed by the Minister a tax return reporting the assessable income received in the preceding tax year in the form prescribed by the Director-General, if such person -

 (1) has no spouse and has the assessable income of the preceding tax year exceeds 60,000 baht,

(2) has no spouse and has the assessable income of the preceding tax year under only Section 40 (1) exceeds 120,000 baht,

(3) has a spouse and the assessable income of the preceding tax year exceeds 120,000 baht, or

(4) has a spouse and the assessable income of the preceding tax year under only Section 40 (1) exceeds 220,000 baht.

 

Note these requirements apply to "Every taxpayer".

 

Regarding offshore income, the issue of earned vs. remitted, or received vs. brought into Thailand, here is a summary by Baker McKenzie:

 

https://insightplus.bakermckenzie.com/bm/tax/thailand-offshore-sourced-income-received-before-1-january-2024-can-be-brought-into-thailand-in-2024-or-later-without-being-subject-to-thai-personal-income-tax/

 

Order No. 161 and Order No. 162 collectively reveal the Revenue Department's position on Thai personal income taxation on offshore-sourced income, summarized as follows:

Offshore-sourced income	Applicable interpretation	Thai personal income tax consideration
Offshore-sourced income received by Thai tax resident individuals before 1 January 2024	Not subject to the new interpretation under Order No. 161 Offshore-sourced income that is brought into Thailand after the calendar year of receipt is not subject to Thai personal income tax.	Offshore-sourced income received before 1 January 2024 can be brought into Thailand on or after 1 January 2024 without being subject to Thai personal income tax.
Offshore-sourced income received by Thai tax resident individuals from 1 January 2024	Subject to the new interpretation under Order No. 161 Offshore-sourced income that is brought into Thailand from 1 January 2024 onward is subject to Thai personal income tax.	Offshore-sourced income received from 1 January 2024 and brought into Thailand on or after 1 January 2024 will be subject to Thai personal income tax.

 

 

 

Thank you yet again for a highly useful contribution.

 

I think a significant part of the problem is the RD use of the word, "income", who did not envisage remitted funds from overseas that might not be earnings but instead, savings or pensions. After all, Thai people might not be expected to have offshore savings accounts as a norm. For this reason I think in terms of all inbound funds from overseas as being assessible, which are then tested for exemption under RD rules, eg, before or after 1 January 2024, and then, tested against the DTA for further exemption possibilities, eg, US SSc exemption. What is left is assessible income that is applied to the tax form and is subjected to TEDA to determine taxable income.

[The Cyclist]

20 minutes ago, Mike Lister said:

I think a significant part of the problem is the RD use of the word, "income",

 

As I have said before, the major part of the problem is the term ' Assessable income '

 

Is a source of funds, only taxable in Country X, Y or Z due to a DTA really ' assessable income ' in Thailand ?
 

I would not be surprised to see wording changed to ' International remittences '  must be.....

 

Otherwise it becomes a total dogs dinner.

[JimGant]

Quote

I am assuming, because I do not know, that all income remitted to Thailand will have to be checked to ensure that it complies with whatever the rules, regulations and reporting criteria are under CRS in compliance with The OECD' efforts in clamping down on Tax avoidance / evasion.

 

 

Humbug. CRS will let the Thai tax authorities know what their citizens are earning abroad. Period. What amount of that they remit to Thailand is not a data element of CRS. Thus, Thailand, if they want to tax their citizen's foreign income, will have rely on the data element of income earned, not remitted. So, this is probably where we're headed in the future, if Thailand wants to collect some additional taxes, courtesy of CRS (and FATCA).

 

Meanwhile, cash flows coming into Thailand cannot possibly be parsed as to what is income, and what is not. Use your common sense. Instead, as has been said ad infinitum, the Thais will have to rely on self-assessment, from those who filter their income through a home bank account. For those with direct deposits into Thailand of their pensions -- maybe, if these pensions are taxable via the DTA -- you might get a summons from RD. Not likely, however, as such detective work would cost more than it would reap.

 

Relax. Be honest. Parse your own remittances for what is taxable, via your home DTA, then file a tax return -- if this taxable income exceeds the allowance, deduction, exemption number. If not, forget that ridiculous 120000 marker for mandatory filing -- it's nonsensical. Thus, nothing will happen to you -- you think they're going to haul you away for not filing taxes you didn't owe? Not likely, as Thailand really is trying to become, or emulate, a first world country.

 

Just unofficial forum advice. If it makes you comfortable, then use it.

[JimGant]

46 minutes ago, Mike Lister said:

For this reason I think in terms of all inbound funds from overseas as being assessible, which are then tested for exemption under RD rules, eg, before or after 1 January 2024, and then, tested against the DTA for further exemption possibilities, eg, US SSc exemption. What is left is assessible income that is applied to the tax form and is subjected to TEDA to determine taxable income.

 

Who the hell is going to "test" that for exemption or assessability from my latest Wise transfer? Impossible.