Thailand's Expats Urged to Register with TRD for Tax, Says Expert

[BritManToo]

14 minutes ago, Phulublub said:

And when the bank closes your account...what will you do then?

Easy, my wife can open an account for me to use.

Or I'll just start using one of her many existing accounts.

[anchadian]

1 hour ago, redwood1 said:

 

I can see Thai jails full soon with all these tax advice giving farang...

Don't make a fool of yourself RW

[JimGant]

2 hours ago, chiang mai said:

But TRD wants some kind of proof, ergo, show your calculations, show your working, I think you'll find that's what they are after.

So, they're going to check every return for math errors and correct assumptions? What ever happened to the advertised self-assessment principal? By the way, taxable income is literally income upon which some tax is owed. Thus, you would necessarily have to factor in the freebie tax band to arrive at taxable income -- that 150k tax band functions as just another deduction.

[chiang mai]

5 minutes ago, JimGant said:

So, they're going to check every return for math errors and correct assumptions? What ever happened to the advertised self-assessment principal? By the way, taxable income is literally income upon which some tax is owed. Thus, you would necessarily have to factor in the freebie tax band to arrive at taxable income -- that 150k tax band functions as just another deduction.

We have different opinions about what constitutes taxable income. Income taxed at zero is still taxed, technically speaking.

[CapraIbex]

19 minutes ago, JimGant said:

By the way, taxable income is literally income upon which some tax is owed.

That's an interesting perspective. So, if I receive income in my home country that is considered tax-free by its government and then remit these funds to Thailand, does that mean I wouldn’t be liable for taxes on this income in Thailand?

[chiang mai]

4 minutes ago, CapraIbex said:

That's an interesting perspective. So, if I receive income in my home country that is considered tax-free by its government and then remit these funds to Thailand, does that mean I wouldn’t be liable for taxes on this income in Thailand?

Potentially yes, if they are assessable here.

[CapraIbex]

2 minutes ago, chiang mai said:

Potentially yes, if they are assessable here.

The funds are indeed considered tax-free in my home country—entirely legal and above board. How can I determine whether these funds, when remitted to Thailand, would be considered assessable income under Thai tax laws?

[chiang mai]

1 minute ago, CapraIbex said:

The funds are indeed considered tax-free in my home country—entirely legal and above board. How can I determine whether these funds, when remitted to Thailand, would be considered assessable income under Thai tax laws?

Is the income exempt under the DTA or because of Por 161, if not they are likely assessable here.

[The Cyclist]

50 minutes ago, JimGant said:

By the way, taxable income is literally income upon which some tax is owed.

 

In a literal sense, you are correct

 

But the pertinent  part is that    ' Assessable Income ' over the thresholds of 60k / 110k and 220k requires tax filing.

 

Tax will be owed on any part of the  ' Assessable Income " that remains after TEDA's have been applied.

 

And the way I, and many others read that is

 

Assessesable income 500,000 Baht - File a tax return

 

Apply TEDA's ( for example ) 560,000 Baht - No tax to pay

 

Or

 

Assessable income 1,000,000 Baht - File a tax return

 

Apply TEDA's ( for example ) 560,000 Baht

 

Tax will be owed on the remaining 440,000 Baht.

 

For some reason or other you are confusing the levels  where tax filing is mandated by the RD,  and the levels of where actual tax starts to be paid

 

 

[JimGant]

3 minutes ago, The Cyclist said:

For some reason or other you are confusing the levels  where tax filing is mandated by the RD,  and the levels of where actual tax starts to be paid

Never mentioned the 60/120/220 thresholds for mandatory filing -- that's irrelevant to what's actually taxable income. And what I was responding to was the page one of the KBank request for information, where it says you're only required to have a Thai TIN *IF* you have "taxable income." Thus, my defining of taxable income is: what's left after subtracting out TEDA. So, in my case, with a TEDA of 560k -- I have no taxable income until my assessable income exceeds 560k -- and no need to get a TIN if I have no taxable income.

[The Cyclist]

2 minutes ago, JimGant said:

where it says you're only required to have a Thai TIN *IF* you have "taxable income." Thus, my defining of taxable income is: what's left after subtracting out TEDA.

 

Yes, that is what the form says, and I believe that this is a bad translation

 

And I don't know about you, but I would go on what the RD says and not what is said on a bank form. And you need a Thai TIN if you have ' Assessable Income ' over the 60k / 120k / 220 k limits.

 

You of course, are free to do whatever you think is best for you, no skin off my nose.

[JimGant]

43 minutes ago, CapraIbex said:

The funds are indeed considered tax-free in my home country—entirely legal and above board. How can I determine whether these funds, when remitted to Thailand, would be considered assessable income under Thai tax laws?

Sadly, there's nothing in Thai related DTAs, at least the US-Thai DTA, that addresses this situation. Here's how this was gotten around in the UK-US DTA, as regards a tax exempt Roth distribution:

Quote

Fortunately, the U.S. Treasury Department’s Technical Explanation to the Treaty explains Article 17(1) using the Roth IRA as an illustrative example. The Technical Explanation states, “Thus, for example, a distribution from a U.S. ‘Roth IRA’ to a UK resident would be exempt from tax in the United Kingdom to the same extent the distribution would be exempt from tax in the United States if it were distributed to a U.S. resident.”

https://expattaxprofessionals.com/blog/article/roth-ira-taxation-expats-in-uk

 

[JimGant]

4 minutes ago, The Cyclist said:

You of course, are free to do whatever you think is best for you, no skin off my nose.

Thank you very much. I really appreciate that.....

[4myr]

what's the criteria that Thai banks use to send these FATCA/CRS emails?

I got one from KBank, but not from Bangkok Bank [yet]. My wife did not get any email from any bank at all.
 

[The Cyclist]

4 minutes ago, JimGant said:

Thank you very much. I really appreciate that.....

 

No need to appreciate it.

 

But I think you need to appreciate that " Assessable Income " is also " Taxable Income " the levels where tax is applicable will pertain to an individuals TEDA's.

[BuddyPish]

transfer money as crypto stablecoin to your Thai exchange, then convert into baht and it's not overseas income ...easy

[redwood1]

16 minutes ago, 4myr said:

what's the criteria that Thai banks use to send these FATCA/CRS emails?

I got one from KBank, but not from Bangkok Bank [yet]. My wife did not get any email from any bank at all.
 

 

This is called fishing for a reaction......Thailand does this all the time....They haphazardly release a possible controversial new policy.....Just to see what the reaction is.....If the reaction is bad often times its followed up with, this was all a big misunderstanding.....And the new policy is never heard from again....

Edited 1 hour ago by redwood1

[The Cyclist]

3 minutes ago, redwood1 said:

 

This is called fishing for a reaction......Thailand does this all the time....They haphazardly release a possible controversial new policy.....Just to see what the reaction is.....If the reaction is bad often times its followed up with, this was all a big misunderstanding.....And the new policy is never heard from again....

 

Yes, of course. Perhaps you should have a read of this and then take your garbage elsewhere.

 

https://www.rd.go.th/fileadmin/user_upload/FATCA_File/crs/Thailand_CRS_Guidance_280823.pdf

[Cuchulainn]

May I ask a question?

 

If remitted overseas savings (pre 1st  January 2024) are classified as non assessable income (i.e. no tax to be paid), what about the 2024 accrued interest from that tax exempt account?

 

Is the remitted 2024 interest assessable income?  Or, as part and parcel of the pre 2024 account, non assessable?

 

Thank you

[chiang mai]

9 minutes ago, Cuchulainn said:

May I ask a question?

 

If remitted overseas savings (pre 1st  January 2024) are classified as non assessable income (i.e. no tax to be paid), what about the 2024 accrued interest from that tax exempt account?

 

Is the remitted 2024 interest assessable income?  Or, as part and parcel of the pre 2024 account, non assessable?

 

Thank you

The interest income is assessable 

Edited 26 minutes ago by chiang mai

[Cuchulainn]

^^ Thank you  CM