Taxes For Americans

[kentuckyboy]

I'm American and planning on getting a work permit, but I've been given conflicting advice on tax liabilities. Is someone able to tell me what the minimum salary I'm required to declare is, and also how much Thai tax I'll have to pay on that salary? Thanks for the help, fellow farang.

[jombi]

Howdy,

I looked this up before at the IRS website and I recall the magic number being 75K$ annual income here in Los before you have any tax liability in the states. I don't have an answer for the Thai tax %. You can get loads of help from the IRS site.

[opalhort]

Personal income tax in Thailand:

first 80,000 Baht - tax free

80,001 - 100,000 - 5%

100,001 - 500,000 - 10%

500,001 - 1,000,000 - 20%

1,000,001 - 4,000,000 - 30%

over 4,000,000 - 37%

for the purpose of workpermit renewal the labour department requires a minimum tax payment of 18,000.- Baht per year. at least this is what they told me the last time I renewed my WP.

opalhort

[lopburi3]

for the purpose of workpermit renewal the labour department requires a minimum tax payment of 18,000

So that would work out to 30,000 baht per month salary if my calculator is right. Believe it may also depend on your nationality.

[opalhort]

So that would work out to 30,000 baht per month salary if my calculator is right.  Believe it may also depend on your nationality.

I don't know about the nationality aspect (I'm German), but my calculator tells me that 18K in tax works out to a salary of 22,500.- per month IF you DO NOT declare any deductions (children, insurance etc.)

opalhort

[Indo-Siam]

You don't indicate when you will be getting your work permit. As an American, by next suummer, you will need a minimum declared income of 60,000 baht per month to qualify for a work permit (or work permit renewal).

Thai taxes are as described above.

As far as US taxes go, there is a foreign earned income exclusion that recently went over US $80,000 - no taxes on incomev up to that amount. US Congress is now talking about eliminating that exclusion - but as long as they need expats in Afghanistan and Iraq, you're probably OK.

Cheers!

Indo-Siam

[lopburi3]

I don't know about the nationality aspect (I'm German), but my calculator tells me that 18K in tax works out to a salary of 22,500.- per month IF you DO NOT declare any deductions (children, insurance etc.)

I should never 'try' to use a calculator at night and am not about to disagree with a German with one. Thanks for correction.

[opalhort]

I don't know about the nationality aspect (I'm German), but my calculator tells me that 18K in tax works out to a salary of 22,500.- per month IF you DO NOT declare any deductions (children, insurance etc.)

I should never 'try' to use a calculator at night and am not about to disagree with a German with one. Thanks for correction.

You are welcome.

True, calculators have the habit of showing blurred figures and the keyboard is also not so clear at night especially after one (the operator - not the calculator) has purchased too many shares of the Boonrawd Co.

opalhort

p.s. just a joke, no offence intended

[lopburi3]

p.s. just a joke, no offence intended

And none taken. Problem is I can do it without the Singh.