Introduction to Personal Income Tax in Thailand

[Mutt Daeng]

10 hours ago, oldcpu said:

 

I suspect as you already know, that document has tax year 2023 hard printed.  its not nominally for tax year 2024. My speculation thou is the year 2024 tax form may be very similar to that of the year 2023 tax form.

 

Further, that 2023 tax form has no location in that form for remitted income exempt due to LTR visa, nor any location in that form for remitted income exempt due to DTA agreements, nor any location in that form for remitted income exempt if covered under Paw-161/162.  

 

What does that tell us? 

 

For those curious, take a look at Thai Tax code article 42.  Note that income covered (and noted as exempt)  by ministerial regulations are not to be included in tax calculations.  ie such income is not-assessable.  Thailand tax forms are only for assessable income.  Ergo such income is not to be included in a tax form - IMHO.

 

Yes, thanks for highlighting this. I know it is the 2023 form . I was merely using it as an example to inform @samtam about  how one could provide TEDA details in previous years. 

[samtam]

15 hours ago, Mutt Daeng said:

Yes, thanks for highlighting this. I know it is the 2023 form . I was merely using it as an example to inform @samtam about  how one could provide TEDA details in previous years. 

@Mutt Daeng & @oldcpu are you suggesting that remitted income (by whatever means, ATM, Debit Card, FPS QR etc), should not be included as assessable income, even if these those "remittances" are derived from monies paid in the tax year 2024, such as UK State Pension in my case?

I draw on funds overseas via the "remittance" methods aforementioned, but as you note, there is no box to specify those remittances. I can use "pension" for the proportion I have "allocated", from that which I draw from co-mingled funds.

[oldcpu]

3 hours ago, samtam said:

@Mutt Daeng & @oldcpu are you suggesting that remitted income (by whatever means, ATM, Debit Card, FPS QR etc), should not be included as assessable income, even if these those "remittances" are derived from monies paid in the tax year 2024, such as UK State Pension in my case?

 

No. i"m not suggesting such. I don't know the origin of that money, nor do I know the UK-Thai DTA details.

 

I think if you can show that money plausibly could have come from pre-1-Jan-2024 savings/income, then all is ok.  But regard to money derived from tax year-2024 and remitted into Thailand  ? You need to check the UK-Thai DTA.

 

[samtam]

I am having a similar discussion on another tax thread:

 

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Quote

14 hours ago, Guavagman said:

 

Assessable income is declared according to the category of income 40(1)-(8), pension or dividends that  is remitted. If you withdraw those funds by ATM, CC, etc., that assessable income is reported as either pension or dividends according to the source of those funds remitted. Ideally, one would have separate accounts for pension and dividends; however, if those funds are comingled in one account, one cannot document the source of the funds for each transaction.  

 

The deduction for 50% of expenses up to 100K for employment/pension income category 40 (1) in 1 (1)  does not apply to assessable income from dividends, so including dividend income there confounds the calculation of the deductible expenses in 1(5). 

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My response:

 

I take your point. I have spent this morning relisting all income from pension, and all income from dividends, although of course funds are co-mingled into one current account for withdrawal by the methods I use.

 

I can split off the pension in 40(1) only for the amount remitted, and will only put in the dividend portion in No.3 3 that I use in my remitted (by ATM, Debit Card, FPS QR) funds. It is not all of the dividends, so I am only going to show the proportion of the dividends that qualify. I cannot see how else to do it.

There is no requirement (yet) to show my worldwide dividends that are not remitted into Thailand. 

It seems fairly obvious that the tax forms need to be amended to take account the many variations of how remitted money is brought in, if that is the RD's intention. I'm not sure they really know what they want, judging by the lack of new forms and the variations in responses from RD officers and offices themselves. But here we are with 71 days to go until the deadline.

 

 

 

 

[Ricohoc]

4 hours ago, oldcpu said:

 

I think if you can show that money plausibly could have come from pre-1-Jan-2024 savings/income, then all is ok.  

 

 

Fortunately, I can show funds coming from pre-1-Jan-2024 savings for a dozen years.

 

After that, social security and deductions will take care of all the years after that if current laws remain the same; but I'm not counting on it.

[Mutt Daeng]

7 hours ago, samtam said:

@Mutt Daeng & @oldcpu are you suggesting that remitted income (by whatever means, ATM, Debit Card, FPS QR etc), should not be included as assessable income, even if these those "remittances" are derived from monies paid in the tax year 2024, such as UK State Pension in my case?

I draw on funds overseas via the "remittance" methods aforementioned, but as you note, there is no box to specify those remittances. I can use "pension" for the proportion I have "allocated", from that which I draw from co-mingled funds.

No. I'm not an expert but IMHO it's the source of the income that determines whether it is assessable or not and not the way it is remitted. AFAIK remittances from UK state pension are assessable income. The current forms have no provision to include non assessable income such as pensions from Govt service, such as local govt, military etc which is deemed non assessable and also there is nowhere to claim tax credits for other income which has already been taxed in your home country.

[samtam]

Can someone quickly point me in the direction of TEDA for single tax payers and married taxpayers, both over 65?

[KhunHeineken]

On 1/19/2025 at 12:26 PM, Mutt Daeng said:

I'm not an expert but IMHO it's the source of the income that determines whether it is assessable or not and not the way it is remitted.

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