Non Immigrant O Visa - Where Do I Pay Tax ?

[freebird32]

If i have a non immigrant O visa and spend more than 183 days a year in Thailand it means i am resident here for tax purposes ? My only source of income is from Ireland where i pay 25% tax on a deposit account.If i am non resident of Ireland i do not pay this 25% tax to the goverment. Ireland does not have a double taxation agreement with Thailand.....so what would happen ?

any help on this would be great

[NHJ]

income isn't from work right? if it's not, you don't pay tax at all, but be sure to be non resident of your home country aswell, you may have to notify them about your new status.

[freebird32]

income isn't from work right? if it's not, you don't pay tax at all, but be sure to be non resident of your home country aswell, you may have to notify them about your new status.

U are saying that if I have income generated overseas from a non work source (deposits) that the thai gov will not tax me on that??

what status do I have here on a 'non immigrant 0' ??? am I considered a temporary resident or what ?

thanks

[singa-traz]

Read this:

http://www.rd.go.th/publish/6045.0.html

[freebird32]

Personal Income Tax (PIT) is a direct tax levied on income of a person. A person means an individual, an ordinary partnership, a non-juristic body of person and an undivided estate. In general, a person liable to PIT has to compute his tax liability, file tax return and pay tax, if any, accordingly on a calendar year basis.

1. Taxable Person

Taxpayers are classified into "resident" and "non-resident". "Resident" means any person residing in Thailand for a period or periods aggregating more than 180 days in any tax (calendar) year. A resident of Thailand is liable to pay tax on income from sources in Thailand as well as on the portion of income from foreign sources that is brought into Thailand. A non-resident is, however, subject to tax only on income from sources in Thailand.

So this contradicts what 'NHJ' posted.

Would like to know what they mean by 'money brought into Thailand'...I guess it means lodged in a Thai bank account ?

Any 'non imm Os' out there have experience with this ??? would love to know if they are really making annual tax returns if they spend more than 180 days a year in thailand if they have an overseas income????

[QED]

In theory, yes you are liable for any portion of income brought into Thailand from overseas.

In practice, you are here on a non-o, with no business interests (right?) then there is no reason for you to file a tax return, and you will slip under the radar. Don't mention this to neighbours or friends and there is a 99.99999% probability that they will never catch up with you. If they do however you will be liable.

In your situation it would be the day that hel_l froze over that I would file in Thailand.

[SantiSuk]

In theory, yes you are liable for any portion of income brought into Thailand from overseas.

In practice, you are here on a non-o, with no business interests (right?) then there is no reason for you to file a tax return, and you will slip under the radar. Don't mention this to neighbours or friends and there is a 99.99999% probability that they will never catch up with you. If they do however you will be liable.

In your situation it would be the day that hel_l froze over that I would file in Thailand.

I understand what you are saying, but just so I know what the exposure is if one is found 'above the radar', I think you are saying that it does not matter what type of income it is - earned or unearned (savings). It is simply how much you bring into/remit to Thialand. Correct?

[freebird32]

In theory, yes you are liable for any portion of income brought into Thailand from overseas.

In practice, you are here on a non-o, with no business interests (right?) then there is no reason for you to file a tax return, and you will slip under the radar. Don't mention this to neighbours or friends and there is a 99.99999% probability that they will never catch up with you. If they do however you will be liable.

In your situation it would be the day that hel_l froze over that I would file in Thailand.

I understand what you are saying, but just so I know what the exposure is if one is found 'above the radar', I think you are saying that it does not matter what type of income it is - earned or unearned (savings). It is simply how much you bring into/remit to Thialand. Correct?

But the thing is u have to tax resident somewhere. right ???

[QED]

In theory, yes you are liable for any portion of income brought into Thailand from overseas.

In practice, you are here on a non-o, with no business interests (right?) then there is no reason for you to file a tax return, and you will slip under the radar. Don't mention this to neighbours or friends and there is a 99.99999% probability that they will never catch up with you. If they do however you will be liable.

In your situation it would be the day that hel_l froze over that I would file in Thailand.

I understand what you are saying, but just so I know what the exposure is if one is found 'above the radar', I think you are saying that it does not matter what type of income it is - earned or unearned (savings). It is simply how much you bring into/remit to Thialand. Correct?

That's right, any form of income is liable, and only the amount that you actually bring into the country.

[antony77]

I think it is just a matter of time before taxing anyone who stays in Thailand over 185 in one year. This is the norm in most countries. Many tax you on your worldwide income even if you do not bring the money into the country. Retirees are usually exempt from tax in many countries.

[phetaroi]

No I'm confused.

If I am on a pension earned in America from an American state government, I know I have to pay income tax on it in America.

Do I have to also pay tax on it here in Thailand (I'm on a retirement visa)?

[loverboy44]

If you have income in Ireland or Thailand you are tax liable in this country because you hold an Irish passport and you live in Thailand.

If you move your money to a Non EU country where you are not a resident or hold a passport from you are not tax liable. It doesn't matter if this income is from work or not.

In the US, as far as i know, you have to pay tax of income generated in every country as they have a different system.

[TerryLH]

"In theory, yes you are liable for any portion of income brought into Thailand from overseas."

I think there is more that needs to be added to make this correct.

I understand only money earned the same year and brought into Thailand would be taxed.

If your money comes from savings from a previous year, no problem.

I've never heard of anyone called on this.

-------------------------------------------

"If I am on a pension earned in America from an American state government, I know I have to pay income tax on it in America.

Do I have to also pay tax on it here in Thailand (I'm on a retirement visa)?"

No, just in the US for Federal taxes. If you live here you don't have to pay state taxes there, either.

[lumply]

Sorry to barge in on this thread but on the subject of Thai taxation, I have a similar question someone may be able to help with. Assuming a non imm B visa using BKK as a base only with no income derived directly from activities in Thailand, but time in the country exceeding 180 days per year, will there be any liability on money sent across from outside (UK)? I'm talking about B100K pm max. a proportion of my income and expenses. Housing already prepaid. If so what is the starting amount on which tax is liable and what is the percentage of that amount? Would an O visa be better to remain under the radar, although as it will be a company posting (UK) one would prefer to remain strictly legal (or am I being foolishly naive?).

[loverboy44]

First you are not tax liable just because you bring money into the country.

The problem you will have with a B visa. If you have a non Im B Visa, you have to apply for a work permit within 30 days. When you have the work permit you have to pay income tax on at least 50000 baht a month weather you have the income or not.

So better come with a Non Im O visa.

[krumme11]

Hi

Do anyone know if it is 180 or 183 days before u are a resident in Thailand regarding tax from oversea income. Im from Denmark work worldwide for maybe 6 months a year,but never work in Denmark, I know that Thailand and Denmark have double taxation treaties , and then it is 183 days. But as im moved from Denmark,and therefor I dont have to pay tax to Denmark, would I still be under the double taxation treaties ? And if yes then it would be 183 days before I would be resident to Thailand ?

Thanx in advance

[wordchild]

Personal Income Tax (PIT) is a direct tax levied on income of a person. A person means an individual, an ordinary partnership, a non-juristic body of person and an undivided estate. In general, a person liable to PIT has to compute his tax liability, file tax return and pay tax, if any, accordingly on a calendar year basis.

1. Taxable Person

Taxpayers are classified into "resident" and "non-resident". "Resident" means any person residing in Thailand for a period or periods aggregating more than 180 days in any tax (calendar) year. A resident of Thailand is liable to pay tax on income from sources in Thailand as well as on the portion of income from foreign sources that is brought into Thailand. A non-resident is, however, subject to tax only on income from sources in Thailand.

So this contradicts what 'NHJ' posted.

Would like to know what they mean by 'money brought into Thailand'...I guess it means lodged in a Thai bank account ?

Any 'non imm Os' out there have experience with this ??? would love to know if they are really making annual tax returns if they spend more than 180 days a year in thailand if they have an overseas income????

welcome to the joys of offshore living ,at least for those of us who are not US citizens. Yes it is true with a bit of careful planning it should be possible for you to legaly avoid being taxed in either Ireland or Thailand. As others have alluded to the key words above are "income -----that is brought into Thailand" this is further defined as money that you earn from overseas that you remit to Thailand IN THE YEAR IN WHICH YOU EARN IT ie it has to be both income and you have to bring it in,so you dont pay tax on income you keep offshore and you dont pay tax on any capital eg money you earned the year before, that you bring in. Bring money in out of savings and there is no tax to pay.

Get yourself a bank account in Singapore or some such, remit your earnings to this account, strictly speaking wait until a new Thai tax year then send funds from your savings to your account in Thailand. Perfectly legal and no tax to pay. Also good advice above make sure the Irish tax authorities know you are non resident and also when you open any offshore accounts make it clear that you are no longer resident of the EU. You truely are a "freebird" .

BTW if it was the other way around and you were Thai going to retire in Ireland, pretty much the same would apply, as a non dom ,Irish resident you are again only taxed on income you bring into Ireland in the year in which it has been earned. Wild isnt it!

Edited November 11, 2009 by wordchild