Do Sponsored Girls Pay Tax On The Money Transferred Into Their Accounts?

[Phronesis]

I know of several Thai girls who each claim to have a number of farang sponsors.

For example one attractive girl told me she has three sponsors. Two from Australia and one from Norway. Apparently she gets a total of about 65000 THB transferred into her bank account each month from these punters.

If her claims are true, she has more than a half million baht deposited into her account each calendar year, and yet she also informs me she has never filed a tax return.

Whether or not her claim that she receives 65000 THB per month is not really relevant. As I am sure that some of the more stunning young girls in Bangkok, Phuket and Patong probably receive transfers of several thousand per month from overseas sponsors.

My questions are as follows:

Do sponsored girls pay tax on the money transferred into their accounts?

Or if they never file a return, does the Thailand revenue department monitor personal bank accounts of these girls regarding deposits transferred in from abroad?

[TwoDogz]

Cash is King.

Why would you care ?

[YipYipYa123]

they have never questioned me when i have sold cars and bikes for cash and walked in and lodged around a million in cash and several times i have transferred in between 5 and 10 MILLION thb so i doubt theyre going to call an audit for some girl whos getting 3 x 20k a month

similar to a young policeman with a apartment in the city ,house at the beach ,nice new jeep and a harley davidson he rides on sunday afternoons .........on a salary of 7000 a month .......

there is no accountabilty for wealth .....yet

[Huayrat]

why wud they... wud you? silly question as not one will be stupid enough to pay tax

[Phronesis]

why wud they... wud you? silly question as not one will be stupid enough to pay tax

Let me rephrase the question for you:

If a sponsored girl doesn't lodge a tax return, can the Thai tax office monitor accounts to identify she has received money from abroad and then pursue her?

[TwoDogz]

why wud they... wud you? silly question as not one will be stupid enough to pay tax

Let me rephrase the question for you:

If a sponsored girl doesn't lodge a tax return, can the Thai tax office monitor accounts to identify she has received money from abroad and then pursue her?

Are you thinking to dob ?

Been wronged ?

Feeling the need for revenge ?

It is not income, it is a gift every time.

So there goes that angle for ya...man up and stop cryin

[Jimi007]

why wud they... wud you? silly question as not one will be stupid enough to pay tax

Let me rephrase the question for you:

If a sponsored girl doesn't lodge a tax return, can the Thai tax office monitor accounts to identify she has received money from abroad and then pursue her?

Good luck with that! You've made a donation to her and her family...

[Beetlejuice]

These girls will probably be paying tax on the bank savings interest that is an automatic process. So in fact they are already paying tax.

What may cause problems for the recipients of these monies from abroad is that the bank may become suspicious of the funds origins and reasons why such large amounts of money is being paid into the girls bank accounts, such a money laundering or profits from criminal activities. The banks could inform the police to investigate where the monies are coming from? But the odds of that happening are slim.

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

[Phronesis]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

[misterme]

When I worked at home, I had to claim tips on my taxes. I made about $300-500 per day, 100 days a year, well over 40,000 per year (plus my paychecks), and took the rest of the year off.

When it came to taxes, all my coworkers claimed a portion, but I just claimed that I was a bad waiter and never paid a cent.

So, what's it to ya!

The Thai girls didn't invent the system. No reason to blame them for making the best of it.

[Beetlejuice]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

I said; IF, which can apply to anyone as I have no idea of your situation and have not made any assumptions in my post.

As I said, any recipients of monies paid directly into bank accounts will pay tax, usually 15% on the savings interest. OK, that takes care of that.

Even in Thailand there are tax allowances on earnings. If employed by a registered company and the employee receives wages with a bona fide payslip and pays tax on the earnings, than tax allowances kick in according to how much is earned and also the situation of the employee is taken into account, such as married, single, number of children, work expenses and so on. Any addition earnings or income from other sources, even bank savings should be declared with the tax office in order to adjust the prescribed tax allowances accordingly.

In too many cases workers are earning cash in hand and not declared with the tax office. These are extremely difficult to track down and the authorities do turn a blind eye to it because this problem is huge in Thailand. Also there is a chance that the said female in question has her bank accounts in a third party name using a different ID card. Many of these streetwise girls can be as sharp as <deleted> house rats and know all the tricks and cons, they’re experts as making a killing from the gullible farang.

I have my doubts that in Thailand the system of calculating tax is efficient enough to attach employment earnings with interest from bank savings, unless the bank becomes suspicious and informs the police or tax office than the penalties for evading tax or claiming too much allowance can be harsh.

Of course if there is some jobs worth working at the tax office who just happens to make the connection between the earnings and the savings of an individual, than they may tumble onto what’s happening, or if anyone tips off the tax office.

Edited August 14, 2012 by Beetlejuice

[DP25]

I know for a fact that many Thais in the poorer regions have NEVER filed a return.

It's not just in the poorer regions. Only about 1 in 4 working age Thais are even registered to pay income tax. Only about 1 in 20 actually pay income tax. Unless you work for the government or a big company you will most likely not even be registered and no one is ever going to bother checking on you. These girls are not paying any income tax. They can easily buy a house and a car and anything else they want and no one is ever going to hassle them about where the money came from. This country is just insanely lax when it comes to taxes, it is nothing like it is at home. Most of the small businesses you see everywhere do not pay either. There are a lot of people out there that make a lot more than the 65k a month and they have never paid income tax.

[tinfoilhat]

If her claims are true, she has more than a half million baht deposited into her account each calendar year, and yet she also informs me she has never filed a tax return.

why ask the question when you have already been given the answer?

[pigeonjake]

there is some very strange post on here now,,lol

[YipYipYa123]

I know for a fact that many Thais in the poorer regions have NEVER filed a return.

It's not just in the poorer regions. Only about 1 in 4 working age Thais are even registered to pay income tax. Only about 1 in 20 actually pay income tax. Unless you work for the government or a big company you will most likely not even be registered and no one is ever going to bother checking on you. These girls are not paying any income tax. They can easily buy a house and a car and anything else they want and no one is ever going to hassle them about where the money came from. This country is just insanely lax when it comes to taxes, it is nothing like it is at home. Most of the small businesses you see everywhere do not pay either. There are a lot of people out there that make a lot more than the 65k a month and they have never paid income tax.

one in twenty thais paying tax sounds incredible but could well be true

i have thai friends who run various businesses and i think

if i asked them how much income do they declare

and pay tax on they would just smile like its some farang joke

as if someone would give away 40% of his wages , just for tax ?

in thailand ,you makes your money and you keeps your money.........

[farang000999]

nobody pays tax here. that is why a few people have almost everything and a large majority have nothing.

Edited August 14, 2012 by farang000999

[DP25]

I know for a fact that many Thais in the poorer regions have NEVER filed a return.

It's not just in the poorer regions. Only about 1 in 4 working age Thais are even registered to pay income tax. Only about 1 in 20 actually pay income tax. Unless you work for the government or a big company you will most likely not even be registered and no one is ever going to bother checking on you. These girls are not paying any income tax. They can easily buy a house and a car and anything else they want and no one is ever going to hassle them about where the money came from. This country is just insanely lax when it comes to taxes, it is nothing like it is at home. Most of the small businesses you see everywhere do not pay either. There are a lot of people out there that make a lot more than the 65k a month and they have never paid income tax.

one in twenty thais paying tax sounds incredible but could well be true

i have thai friends who run various businesses and i think

if i asked them how much income do they declare

and pay tax on they would just smile like its some farang joke

as if someone would give away 40% of his wages , just for tax ?

in thailand ,you makes your money and you keeps your money.........

The 1 in 20 thing is true. Here is a quote from an article. It is crazy how few people in this country pay income tax.

http://www.nationmul...s-30164639.html

The country's tax revenue is provided by only a small group of people. According to statistics released last year, only 2.3 million people nationwide pay personal income tax to help finance public spending for the country's population of more than 64 million. Some 9 million people file personal income tax returns each year, but the majority are exempt from tax liability as they earn less than Bt20,000 per month.

So 2.3 million tax payers. There are about 40 million Thai workers, so roughly 1 out of 20 of them pay income tax. Many of those that have a job where they are registered but don't pay income tax because their official income is too low, actually make enough to pay through side jobs or businesses but the government doesn't know about it and doesn't look in to it. It's no wonder the government doesn't have enough money

Edited August 14, 2012 by DP25

[chiang mai]

The first 150,000 baht of earnings each year is exempt from tax, that's 12,500 a month and probably covers a large portion of the population. Tax thereafter is equal to 40,000 on earnings up to 500,000. Perhaps that helps explain why so many people don't file tax returns.

[Johnniey]

"Sponsored" is a strange word to use for these girls.

There was a girl in England recently who turned to "being sponsored" and got done for tax evasion.

http://www.dailymail.co.uk/news/article-2170899/High-class-hooker-went-game-pay-Masters-course-fees-jailed-failing-pay-120-000-tax.html

Do you really mean - "are prostitutes taxed on their money?"

The simple answer is no, they are not taxed in the traditional way.

[simple1]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

In Australia you are required to supply your Tax File Number (TFN) to your bank. If you do not you are automatically deducted the maximum rate (48%?) on any interest earned. In effect the TFN is your national identity card for the ATO. The ATO invests billions of dollars for IT and a significant investment in data mining. Thai tax authorities seem not to have made the necessary investment, as they could easily use data mining techniques as all Thais are required to supply national ID & Household Card info to open a bank account

Edited August 15, 2012 by simple1

[Johnniey]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

In Australia you are required to supply your Tax File Number (TFN) to your bank. If you do not you are automatically deducted the maximum rate (48%?) on any interest earned. In effect the TFN is your national identity card for the ATO. The ATO invests billions of dollars for IT and a significant investment in data mining. Thai tax authorities seem not to have made the necessary investment, as they could easily use data mining techniques as all Thais are required to supply national ID & Household Card info to open a bank account

Thank God they haven't - I transfer more than my salary here every month into my bank from abroad and never asked to pay a baht.

[chiang mai]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

In Australia you are required to supply your Tax File Number (TFN) to your bank. If you do not you are automatically deducted the maximum rate (48%?) on any interest earned. In effect the TFN is your national identity card for the ATO. The ATO invests billions of dollars for IT and a significant investment in data mining. Thai tax authorities seem not to have made the necessary investment, as they could easily use data mining techniques as all Thais are required to supply national ID & Household Card info to open a bank account

Thank God they haven't - I transfer more than my salary here every month into my bank from abroad and never asked to pay a baht.

If you leave your money sitting in your bank then the bank gets free use of it, that in itself is very similar to paying tax since the value of the money depreciates in line with inflation. If however you choses to invest your money into say a deposit account you will pay 15% tax at source.

[Sayonarax]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

They work for bribes like anyone else. TiT

[Sayonarax]

In Australia you are required to supply your Tax File Number (TFN) to your bank. If you do not you are automatically deducted the maximum rate (48%?) on any interest earned. In effect the TFN is your national identity card for the ATO. The ATO invests billions of dollars for IT and a significant investment in data mining. Thai tax authorities seem not to have made the necessary investment, as they could easily use data mining techniques as all Thais are required to supply national ID & Household Card info to open a bank account

Theres a cooling off peroid before the tax hits..besides you get it back after you sort ya affairs out and lodge ya first return.

[chiang mai]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

They work for bribes like anyone else. TiT

You have to earn above a threshold before you pay tax, it's more likely that's the reason why so many people don't pay tax rather than bribes! Also, even above the threshold the first step is a 10% rate up to 500k, given the number of deductions available even that can be avoided legally.

[tuky]

there is some very strange post on here now,,lol

I know, poor bloke was curious and asked a simple question.

I have often wondered the same thing as the OP, but now I am glad I never asked.

[pigeonjake]

do you no the thing is,

i dont give a shi!!! whos paying tax or not paying tax,

and i wouldnt loose any sleep over worrying if some girl working in a bar was paying tax,,

thats sad very very sad,, should take up fishing,,or something

[topt]

If the OP has been duped or knows of someone who has been duped, than sorry, as there is bugger all anyone can do about it except put it down to experience.

The posts suggesting I am planning revenge or have been duped are waaaay off the mark. No grudges for this camper...."yet"...

In Australia, the Tax office has its computer linked to all the banks. If you fail to declare even a few dollars on your tax return the ATO picks it up and will amend your return to reflect the interest that you "forgot" to declare.

I was reflecting on this the other night and decided to ask the question on TV.

I know for a fact that many Thais in the poorer regions have NEVER filed a return. I was therefore wondering if the Tax (Revenue) department here in Thailand made any effort to match up (cross reference) data. For example, a Thai ID number (person)... that holds an account with significant funds transferred into it regularly from abroad... with whether or not the ID number (person) has lodged an annual tax return.

In Australia you are required to supply your Tax File Number (TFN) to your bank. If you do not you are automatically deducted the maximum rate (48%?) on any interest earned. In effect the TFN is your national identity card for the ATO. The ATO invests billions of dollars for IT and a significant investment in data mining. Thai tax authorities seem not to have made the necessary investment, as they could easily use data mining techniques as all Thais are required to supply national ID & Household Card info to open a bank account

It is interesting to see hear how it works in other countries. That sounds uncommonly efficient for a tax department - and probably cost effective.

In the UK they would have to get hold of an individuals records to check through them - after deciding which individuals to check so for most people it would never happen unless they were specifically suspected of something. I know I found I had forgotten to declare some bank interest one year (one of the tax statements arrived very late) but it was never queried.

However from what you say that only picks up interest - not any payments in which could have come from anywhere.

As Chiang mai says they pay tax if they get any interest - but do they even think to put it in an interest bearing account?

[Semper]

What about Sin Sod money?

[Penefattore]

Thai prostitutes don't pay taxes, just bribes to the police when pee tested to avoid going to drug rehab.

It's an alternative tax system sort of.