Bank Savings Interest Rates

[Aldebaran1981]

Sorry I'm not following

Does this mean interest earned from fixed deposits are not liable to tax??

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[chiang mai]

Sorry I'm not following

Does this mean interest earned from fixed deposits are not liable to tax??

Sent from my iPhone using Thaivisa Connect Thailand

"Everyone has a personal allowance of THB 150k, locals and foreigners, that means that the first THB 150k of income derived from within Thailand is free of tax".

"BUT, it only applies to fixed term/rate products" plus other resident/national allowances.

So yes, fixed rate savings products are taxable but you can reclaim the tax at the end of the tax year, from the Tax Authority.

Clear.

[Choonpon]

Sorry I'm not following

Does this mean interest earned from fixed deposits are not liable to tax??

Sent from my iPhone using Thaivisa Connect Thailand

"Everyone has a personal allowance of THB 150k, locals and foreigners, that means that the first THB 150k of income derived from within Thailand is free of tax".

"BUT, it only applies to fixed term/rate products" plus other resident/national allowances.

So yes, fixed rate savings products are taxable but you can reclaim the tax at the end of the tax year, from the Tax Authority.

Clear.

Hi pardon my ignorance. If tax is reclaimable, why collect in the first place? Its like asking a tiger to spit out his food in the mouth.

Not only the tax authority has more work to do, we have to waste time to go there as well.

[BaldPlumber]

Sorry I'm not following

Does this mean interest earned from fixed deposits are not liable to tax??

Sent from my iPhone using Thaivisa Connect Thailand

"Everyone has a personal allowance of THB 150k, locals and foreigners, that means that the first THB 150k of income derived from within Thailand is free of tax".

"BUT, it only applies to fixed term/rate products" plus other resident/national allowances.

So yes, fixed rate savings products are taxable but you can reclaim the tax at the end of the tax year, from the Tax Authority.

Clear.

Hi pardon my ignorance. If tax is reclaimable, why collect in the first place? Its like asking a tiger to spit out his food in the mouth.

Not only the tax authority has more work to do, we have to waste time to go there as well.

You seriously expect the Thai tax authorities to track each individuals tax obligation as opposed to relying on people to claim tax paid within their tax free allowance?

Which countries in the world act like this?

Edited April 17, 2014 by BaldPlumber

[Aldebaran1981]

Singapore, a robot country!

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[meatboy]

Sorry I'm not following

Does this mean interest earned from fixed deposits are not liable to tax??

Sent from my iPhone using Thaivisa Connect Thailand

"Everyone has a personal allowance of THB 150k, locals and foreigners, that means that the first THB 150k of income derived from within Thailand is free of tax".

"BUT, it only applies to fixed term/rate products" plus other resident/national allowances.

So yes, fixed rate savings products are taxable but you can reclaim the tax at the end of the tax year, from the Tax Authority.

Clear.

Hi pardon my ignorance. If tax is reclaimable, why collect in the first place? Its like asking a tiger to spit out his food in the mouth.

Not only the tax authority has more work to do, we have to waste time to go there as well.

how do the banks know if you've made more than the allowance if you think your wasteing your time having to go there don't bother.the last three yrs.the wife has had 16,000bht.back not to be snuffed at unless your one of those who has plenty and likes everybody to know.

[Choonpon]

Sorry I'm not following

Does this mean interest earned from fixed deposits are not liable to tax??

Sent from my iPhone using Thaivisa Connect Thailand

"Everyone has a personal allowance of THB 150k, locals and foreigners, that means that the first THB 150k of income derived from within Thailand is free of tax".

"BUT, it only applies to fixed term/rate products" plus other resident/national allowances.

So yes, fixed rate savings products are taxable but you can reclaim the tax at the end of the tax year, from the Tax Authority.

Clear.

Hi pardon my ignorance. If tax is reclaimable, why collect in the first place? Its like asking a tiger to spit out his food in the mouth.

Not only the tax authority has more work to do, we have to waste time to go there as well.

You seriously expect the Thai tax authorities to track each individuals tax obligation as opposed to relying on people to claim tax paid within their tax free allowance?

Which countries in the world act like this?

Thank you for replying. The bank, when we open the FD account, can opt us out for tax as they know we are not taxable.

[Choonpon]

Sorry I'm not following

Does this mean interest earned from fixed deposits are not liable to tax??

Sent from my iPhone using Thaivisa Connect Thailand

"Everyone has a personal allowance of THB 150k, locals and foreigners, that means that the first THB 150k of income derived from within Thailand is free of tax".

"BUT, it only applies to fixed term/rate products" plus other resident/national allowances.

So yes, fixed rate savings products are taxable but you can reclaim the tax at the end of the tax year, from the Tax Authority.

Clear.

Hi pardon my ignorance. If tax is reclaimable, why collect in the first place? Its like asking a tiger to spit out his food in the mouth.

Not only the tax authority has more work to do, we have to waste time to go there as well.

how do the banks know if you've made more than the allowance if you think your wasteing your time having to go there don't bother.the last three yrs.the wife has had 16,000bht.back not to be snuffed at unless your one of those who has plenty and likes everybody to know.

Thank you for replying. How long does it take to receive your refund? I presume they will send cheque to your address?

[Som wat]

I just opened a BAY Mee Tae Dai savings account.

They had to call the head office because I don't work here, so no WP.

Have 1 yr non-imm based on marriage, and they (the HQ) were also interested in my Thai Driving Licenses - 1 yr car and 5 yr motorbike, asking the clerk if they were still in date. they didn't ask her about my visa and she didn't know which Visa in my passport was the current one when she had to copy it. That I've been living here almost 10 years was mentioned a few times between them. All done relatively painlessly.

300b for the ATM card, no debit card and no online service. Just how I like my saving accounts to be.

[55Jay]

I just opened a BAY Mee Tae Dai savings account.

They had to call the head office because I don't work here, so no WP.

Have 1 yr non-imm based on marriage, and they (the HQ) were also interested in my Thai Driving Licenses - 1 yr car and 5 yr motorbike, asking the clerk if they were still in date. they didn't ask her about my visa and she didn't know which Visa in my passport was the current one when she had to copy it. That I've been living here almost 10 years was mentioned a few times between them. All done relatively painlessly.

300b for the ATM card, no debit card and no online service. Just how I like my saving accounts to be.

They told me I could have a MTD account but I could not have the higher 2.XX% rate because I was a foreigner. They made some calls then agreed that I could, and gave my wife a small, stuffed teddy bear.

[GavinK]

They told me I could have a MTD account but I could not have the higher 2.XX% rate because I was a foreigner. They made some calls then agreed that I could, and gave my wife a small, stuffed teddy bear.

If you mean 2.35% then that's available to foreigners who are allowed to stay here for at least 3 months or have a work permit and are living or working here. The teddy bear is available to all who'd like a cuddle.

[nong38]

I was told when I arrived by my bank manager at Ayudhya that I could get better rates and tax free here than in the UK 3% as opposesed to 0.5%, sounds good till you look at the expenses "not exceeding 1.82%", now you know why they like the 6 months job they get 2 slices a year and the expenses have never been mentioned to me ever, I justhappened to look at the factsheet on line. Is this the same at all Thai banks, the expenses/fees reduction at entry? Looking back at post 1105 this might be a better option. Today I amanaged to scopp up 3 matured investments and pop them into a 1 year job at 3.25% - the 1.82% of course.

[topt]

I was told when I arrived by my bank manager at Ayudhya that I could get better rates and tax free here than in the UK 3% as opposesed to 0.5%, sounds good till you look at the expenses "not exceeding 1.82%", now you know why they like the 6 months job they get 2 slices a year and the expenses have never been mentioned to me ever, I justhappened to look at the factsheet on line. Is this the same at all Thai banks, the expenses/fees reduction at entry? Looking back at post 1105 this might be a better option. Today I amanaged to scopp up 3 matured investments and pop them into a 1 year job at 3.25% - the 1.82% of course.

Are you saying you will only get 1.43% if they deduct the 1.82%? This sounds like some kind of fund/savings bond rather than a Fixed Deposit account?

If this is the case and there are no other "bonuses" that is a terrible deal. As you are tying up your money for a year then I would go elsewhere for rates between 2 and 3% and no expenses except tax, which you may or may not be able to claim back, depending on your individual circumstances.

[chiang mai]

I was told when I arrived by my bank manager at Ayudhya that I could get better rates and tax free here than in the UK 3% as opposesed to 0.5%, sounds good till you look at the expenses "not exceeding 1.82%", now you know why they like the 6 months job they get 2 slices a year and the expenses have never been mentioned to me ever, I justhappened to look at the factsheet on line. Is this the same at all Thai banks, the expenses/fees reduction at entry? Looking back at post 1105 this might be a better option. Today I amanaged to scopp up 3 matured investments and pop them into a 1 year job at 3.25% - the 1.82% of course.

That's not a fixed rate deposit, that's a mutal fund or similar, there are no expenses associated with fixed rate products.

[chiang mai]

I was told when I arrived by my bank manager at Ayudhya that I could get better rates and tax free here than in the UK 3% as opposesed to 0.5%, sounds good till you look at the expenses "not exceeding 1.82%", now you know why they like the 6 months job they get 2 slices a year and the expenses have never been mentioned to me ever, I justhappened to look at the factsheet on line. Is this the same at all Thai banks, the expenses/fees reduction at entry? Looking back at post 1105 this might be a better option. Today I amanaged to scopp up 3 matured investments and pop them into a 1 year job at 3.25% - the 1.82% of course.

Are you saying you will only get 1.43% if they deduct the 1.82%? This sounds like some kind of fund/savings bond rather than a Fixed Deposit account?

If this is the case and there are no other "bonuses" that is a terrible deal. As you are tying up your money for a year then I would go elsewhere for rates between 2 and 3% and no expenses except tax, which you may or may not be able to claim back, depending on your individual circumstances.

Just to complete the loop on this: tax can only be reclaimed on fixed rate products, not on other financial instruments.

[fletchsmile]

Stan Chart's e-saver (online account online no passbook, ATM etc) is still 2.7%. Have had this for a few years now and it's been consistently a reasonable rate compared to peers.

TMB has some of the better rates on certain accs, but often only open to Thais on some of them. eg their ME account is 3% if you don't mind parking money in your Thai other half's name. Their No Fixed Acc pays 2.75%

Cheers

Fletch

[Choonpon]

Just received this Fixed term promotion from Bangkok Bank.

Can someone advise if this is good to invest? Is it the same as Fixed Deposit? Thank you.

[seb2015]

Seems like a fund.

Your capital would not be guaranteed if so.

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[Choonpon]

Seems like a fund.

Your capital would not be guaranteed if so.

Sent from my iPhone using Thaivisa Connect Thailand

The bank manager just highlight to me interest 2.75% for 6 months and 3.1% for a year. No tax.

Thank you for your reply:)

[chiang mai]

Agreed, it's a fund.

[GavinK]

Their No Fixed Acc pays 2.75%

You mean 2.25% ?

[Obb]

Just to complete the loop on this: tax can only be reclaimed on fixed rate products, not on other financial instruments.

FWIW, I have reclaimed the tax deducted in my Thanachart Ultra Savings account and they have stopped making tax deductions.

I mention this as there were some here who doubted it could be done.

[Choonpon]

Their No Fixed Acc pays 2.75%

You mean 2.25% ?

Edited May 15, 2014 by Choonpon

[fletchsmile]

Their No Fixed Acc pays 2.75%

You mean 2.25% ?

No I meant 2.75% . Seems you were a bit late though as it is now 2.25%

Rates changed on 2 May. At the time I posted on 27 April the rates had been in place since 11 April. You can see the historic rates per date if you look at the interest rate announcements

https://www.tmbbank.com/rates/interestrate-en.php

Looks like they have some other promo rates though still above that but you'd need to look at the T&C

Here's a cut and paste from a post I made in another thread about others I saw recently, not sure if still available for the first 3, but second 3 are (I think!)

Last couple of weeks or so some possibilities:

Kbank 8M 2.25%

KTB 10M 2.6%

CIMB 9M 2.8%

TMB ME acc 3%

Stan Chart ESaver 2.7% online. Instant online access no tenor.

Stan Chart Marathon 2.5% Step up rates so the 2.5% is average. Can withdraw up to 2 times a month during the 6m term

Cheers

Fletch

Edited May 15, 2014 by fletchsmile

[Choonpon]

Just to complete the loop on this: tax can only be reclaimed on fixed rate products, not on other financial instruments.

FWIW, I have reclaimed the tax deducted in my Thanachart Ultra Savings account and they have stopped making tax deductions.

I mention this as there were some here who doubted it could be done.

Hi would you be kind enough to share where you got your tax refund (address) and whether it is easy procedure. Thank you.

[chiang mai]

Just to complete the loop on this: tax can only be reclaimed on fixed rate products, not on other financial instruments.

FWIW, I have reclaimed the tax deducted in my Thanachart Ultra Savings account and they have stopped making tax deductions.

I mention this as there were some here who doubted it could be done.

Additional details might aid your claim!

[MadMac]

As my fixed 12m 3.5% deposit with Kiatnakin runs out within the next days I was also comparing, thanks for the list. To add this to the list, they still offer 2.8% for 12 months up to 4% for 72 months. Not really interesting for a fixed deposit, too low interest or too long). May well move the money to SC eSaver.

Last couple of weeks or so some possibilities:

Kbank 8M 2.25%
KTB 10M 2.6%
CIMB 9M 2.8%
TMB ME acc 3%
Stan Chart ESaver 2.7% online. Instant online access no tenor.
Stan Chart Marathon 2.5% Step up rates so the 2.5% is average. Can withdraw up to 2 times a month during the 6m term

[isawasnake]

Their No Fixed Acc pays 2.75%

You mean 2.25% ?

No I meant 2.75% . Seems you were a bit late though as it is now 2.25%

Rates changed on 2 May. At the time I posted on 27 April the rates had been in place since 11 April. You can see the historic rates per date if you look at the interest rate announcements

https://www.tmbbank.com/rates/interestrate-en.php

Looks like they have some other promo rates though still above that but you'd need to look at the T&C

Here's a cut and paste from a post I made in another thread about others I saw recently, not sure if still available for the first 3, but second 3 are (I think!)

Last couple of weeks or so some possibilities:

Kbank 8M 2.25%

KTB 10M 2.6%

CIMB 9M 2.8%

TMB ME acc 3%

Stan Chart ESaver 2.7% online. Instant online access no tenor.

Stan Chart Marathon 2.5% Step up rates so the 2.5% is average. Can withdraw up to 2 times a month during the 6m term

Cheers

Fletch

Thanks for the info. The 2.7 sounds great. I may move some funds as well. I actually may go against all your stellar advice and sell some mutual fund positions (already ). More out of necessity that anything though. This account will be a nice temp parking zone though.

[ESCAPIS]

Islamic Bank 3.1% for 12m

Sent from an Apple gadget.

[falang07]

As for Islamic Bank, I went for the 3 month tax-free at 2.5%.