Both countries have rights to tax IRA distributions under the US-Thai DTA.
Thailand has exclusive right to tax private pensions, including IRAs. Presently, Thailand only taxes the portion of IRA distributions that are remitted to Thailand.
Due to the operation of the saving clause, the US retains the right to tax IRAs after Thailand takes its cut, and this is regardless of whether the distributions were remitted to Thailand or not. The US does allow a tax credit for taxes paid to Thailand.
But you haven't been filing in Thailand during those years, have you?
Pretty much nobody has been filing based on remitances before this year.
This year, things are changing.
I am talking about going forward in the new environment here.
As I understand, both types of IRAs are to be taxed by Thailand ONLY for Thai tax resident as per the DTA treaty for private pensions.
You need to take action to communicate with IRS that you are under the tax treaty of course (though obviously not important for Roths).
Believe it or not.
I will be posting a new topic about related issues as I have questions about this as well.
I know it sounds crazy that both types of IRAs by Thailand.
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