New Tax Rules for Expats in Thailand Spark Concern

[Yumthai]

42 minutes ago, Mike Teavee said:

But If I gave his son in the UK the money, then he (Non Thai Tax Resident) remitted it to his father there would be no tax to pay for anybody?

 

You might be right but again, it doesn't "Feel" right. 

If their goal is to close all the tax loopholes then this remittance tax is not the right instrument as there are too many legal possible workarounds to avoid tax. Worldwide income tax implementation is the only way.

[Balance]

On 5/30/2024 at 5:37 AM, nickmondo said:

this article is nothing but scaremongering

there is no new information here.

everyone knows that the truth is...............nobody knows 

disgraceful article, and very annoying.

The part about solving the income inequality problem will begin with the completion of a mandatory hypocrisy class. 

[ukrules]

7 hours ago, Yumthai said:

If their goal is to close all the tax loopholes then this remittance tax is not the right instrument as there are too many legal possible workarounds to avoid tax. Worldwide income tax implementation is the only way.

 

Even then there's still a very easy way to avoid any tax liability, less than 180 days per year is a very easy thing to do for even someone with a moderate wealth

 

I'm in my Phnom Penh apartment right now, and I quite like it down here so far, going to keep it until the end of 2025 at least.

 

I still have my place in Hua Hin so I'll just come and go and keep an eye on the days.

 

Not hard, probably going to cost me $10-15k a year to do.

 

[lordgrinz]

Just posted on Bankpost, the government is seeking to go after all worldwide income, not just remitted income. I knew it!

[BarstoolChang]

Bring back prayuth.

[toums]

1 hour ago, lordgrinz said:

Just posted on Bankpost, the government is seeking to go after all worldwide income, not just remitted income. I knew it!

 

Most probably Bulls**t

Edited June 5 by toums

[gearbox]

On 5/30/2024 at 6:19 AM, Richard5 said:

If you think that Thailand does not have the tools and capabilities to enforce this law you are wrong. My calculations indicate that if you are here over 180 days, are single and over 65, if you remit one million baht to Thailand in a tax year you will have a tax liability. And to the degree that remittance crosses the one million mark that liability goes up significantly. Everything is trackable...Wise, Credit Cards. ATM withdrawals...literally everything. If you believe that this is going to be short lived, not enforced or is lacking in details  I think you will be in for an unpleasant  surprise 

A lot of misinformation here...Thailand can't track foreign card ATM withdrawals or foreign credit cards. Even your own home country government can't normally do this, unless you are subject to tax audit or criminal investigation.

[lordgrinz]

1 minute ago, gearbox said:

This changes the situation significantly....the only effective way to counter this is to stay less than 180 days. Im dead sure I won't let the Thai taxman tax my overseas investment earnings and private pension.

 

It's only a proposal at this point, but I would assume an "amendment", if it took place, would have to wait until the beginning of a new tax year (and only after a royal decree). For now they are just seeking it, lets hope there are enough Elite-Hiso's in government to squash this thought.

[motdaeng]

Ms K.... said the department plans to expand the tax base by requiring platforms with an income of 1 billion baht or more to report their sources of income .... that is a lot of income 555

 

[BarstoolChang]

3 minutes ago, motdaeng said:

Ms K.... said the department plans to expand the tax base by requiring platforms with an income of 1 billion baht or more to report their sources of income .... that is a lot of income 555

 

Yes, because that section is referring to businesses 

[metisdead]

A post with a link to the Bangkok Post contravening our Community Standards and a reply has been removed:

• Refrain from quoting or linking to the Bangkok Post, Khaosod, Pattaya Mail, Phuket News

A post with a trolling image has been removed.

[Lazy Sod]

Amongst the noise, here is a simple comparison...

USD 1 year time deposit interest rate in an offshore bank account = 4.25% pa

USD 1 year time deposit interest rate in a Thailand bank account - 0.3%pa

Why would anybody move their savings here. You are hit with income tax on the full transferred amount since 1st January 2024, and then you only get 0.3% interest on what's left.

[lordgrinz]

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

[CallumWK]

1 hour ago, Lazy Sod said:

Amongst the noise, here is a simple comparison...

USD 1 year time deposit interest rate in an offshore bank account = 4.25% pa

USD 1 year time deposit interest rate in a Thailand bank account - 0.3%pa

Why would anybody move their savings here. You are hit with income tax on the full transferred amount since 1st January 2024, and then you only get 0.3% interest on what's left.

 

I think you must be looking in the wrong places.

 

I get between 1.8 and 2.25% on my saving accounts in Thailand, depending on which bank, since I spread my savings for security reasons.

 

These are regular savings accounts which I can withdraw every day. If I choose for fixed time deposits, I can get a higher interest

Edited June 5 by CallumWK

[RupertIII]

46 minutes ago, lordgrinz said:

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

Maybe some confusion here as the Nation has a totally different take on it, unless they are completely separate issues which I hope not.

https://www.nationthailand.com/business/economy/40038550

[ukrules]

52 minutes ago, lordgrinz said:

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

 

They were talking about this some time ago as a future goal which I took to mean years away.

 

Many more people will make Thailand a second home and relocate based on the 180 day rule if this is ever made law.

 

Edit: Assuming it's about personal income tax, which I am because no corporation would ever allow themselves to have a base in Thailand and pay tax on anything other than profit generated inside the country alone, if that.

 

Edited June 5 by ukrules

[gearbox]

54 minutes ago, lordgrinz said:

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

The new 60 days visa exempt will come handy,  two of these + extensions would cover the 180 days. If the worldwide income taxation comes in force I'll stop getting non-O retirement extensions and move my money outside Thailand.

[BarstoolChang]

43 minutes ago, RupertIII said:

Maybe some confusion here as the Nation has a totally different take on it, unless they are completely separate issues which I hope not.

https://www.nationthailand.com/business/economy/40038550

The do not have a different take on it at all, it is all in the same bill. 

[BarstoolChang]

1 hour ago, lordgrinz said:

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

Yes, they got their orders from the OECD. They pull the strings now.

[ukrules]

1 minute ago, BarstoolChang said:

Yes, they got their orders from the OECD. They pull the strings now.

 

This global taxation would make them one of only a small handful of countries which do the same.

 

I can't see the government voting for it, this is a massive deal and makes the 'previous years income' thing look like a rounding error.

 

[John Drake]

1 hour ago, lordgrinz said:

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

 

As I intermittently suggest on these forums:

 

Prayuth was better.

[rocketboy2]

is it true or just BS.

This would be a game changer for many.

[Danderman123]

5 hours ago, gearbox said:

A lot of misinformation here...Thailand can't track foreign card ATM withdrawals or foreign credit cards. Even your own home country government can't normally do this, unless you are subject to tax audit or criminal investigation.

They could, if they want to. Like for an audit.

[pluto_manibo]

     Maybe it is just a ploy, that will not pass as a law. Scaremongering, to make you thankful for just having to pay the new remittance tax on income brought into Thailand, regardless of when it was earned. Either way, one should consider an exit plan or stay only 179 days. Government funds are depleted, economy is not performing, tourism mainly attracts war refugees, quality of services are abysmal(atleast in the Southern region), inflation is at an all time high, etc....Yet, all we hear is tax this, tax that, tax now. Laws are amended without warning, there is another amendment to tax on worlwide income. Could be a tactic to make everyone grateful for just a remittance tax or it could be real.

     The fact is Thailand has lost its shine a long time ago. They should incentivise foreign investment not penalise it. Instead of following the Western model, which has become a total failure.

Edited June 5 by pluto_manibo

[Dogmatix]

2 hours ago, lordgrinz said:

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

 

I don't think this can be considered confirmation by the Thaiger as they same to have repeated the same the story with the same mistake in it conflating global PIT with the corporate income tax bill that was approved by the cabinet on 27 May and reported by the Nation. There are no Thai sources confirming the global personal tax story, although it may well be true, as the RD announced an intention to do that in September last year. 

 

If and when global taxation does come, it will torpedo the exemption from remittance tax in the LTR visas because there will no longer be any remittance tax.

[Danderman123]

2 hours ago, lordgrinz said:

TheThaiger has now confirmed the same thing BangkokPost did, taxing worldwide income (not just remittance) is the objective of the Director General of the Revenue Department. Time to seriously think about the future, and I am sure this news will blowup even more as the day goes on.

The government has lots of objectives. Nothing ever comes from them.

 

Taxing worldwide income wouldn't impact US citizens, we are already taxed worldwide AND have a tax treaty with Thailand. So Thailand would get 0 baht from us.

[Dogmatix]

1 minute ago, pluto_manibo said:

     Maybe it is just a ploy, that will not pass as a law. Scaremongering, to make you thankful for just having to pay the new remittance tax on income brought into Thailand. Either way, one should consider an exit plan or stay only 179 days. Government funds are depleted, economy is not performing, tourism mainly attracts war refugees, quality of services are abysmal(atleast in the Southern region), inflation is at an all time high, etc....Yet, all we hear is tax this, tax that, tax now. Laws are amended without warning, there is another amendment to tax on worlwide income. Could be a tactic to make everyone grateful for just a remittance tax or it could be real.

     The fact is Thailand has lost its shine a long time ago. They should incentivise foreign investment not penalise it. Instead of following the Western model, which has become a total failure.

 

It is not a ploy. It is misreporting by the Post and the Thaiger but that doesn't mean global taxation is not coming at some stage. So your exit plan is probably a wise precaution.

[Danderman123]

2 minutes ago, pluto_manibo said:

     Maybe it is just a ploy, that will not pass as a law. Scaremongering, to make you thankful for just having to pay the new remittance tax on income brought into Thailand. Either way, one should consider an exit plan or stay only 179 days. Government funds are depleted, economy is not performing, tourism mainly attracts war refugees, quality of services are abysmal(atleast in the Southern region), inflation is at an all time high, etc....Yet, all we hear is tax this, tax that, tax now. Laws are amended without warning, there is another amendment to tax on worlwide income. Could be a tactic to make everyone grateful for just a remittance tax or it could be real.

     The fact is Thailand has lost its shine a long time ago. They should incentivise foreign investment not penalise it. Instead of following the Western model, which has become a total failure.

I am doing the 180 days out of Thailand approach this year.

 

The major inconvenience is that my return flight tonight arrives at 23.55, so I have to dawdle on my way  to Immigration, and then make sure the Immigration officer logs me in tomorrow, not today.

[John Drake]

4 minutes ago, pluto_manibo said:

Government funds are depleted, economy is not performing, tourism mainly attracts war refugees, quality of services are abysmal(atleast in the Southern region), inflation is at an all time high, etc....Yet, all we hear is tax this, tax that, tax now. Laws are amended without warning, there is another amendment to tax on worlwide income.

 

Don't forget the announced "adjustments" for the retirement visas due to come in September. God knows, these tax reporting regulations could be part of that, too.

[CallumWK]

1 minute ago, Danderman123 said:

I am doing the 180 days out of Thailand approach this year.

 

The major inconvenience is that my return flight tonight arrives at 23.55, so I have to dawdle on my way  to Immigration, and then make sure the Immigration officer logs me in tomorrow, not today.

 

366 - 180 = 186

 

Anyway I'm sure you are a troll, because why would the time of flight out of Thailand on the 157th day of the year be a concern.

 

You have to get better at trolling mate