Banking In Thailand

[DegenFarang]

I've done some searches and it seems pretty simple for a falang to get a 'passport' bank account here. Wanted to get some feedback on how safe people think the banking is though and how comfortable you personally would be keeping large sums of money with a Thai bank.

Also as an American do I need to worry about the Thai government reporting to the IRS or anything?

Do I need to pay any taxes on the money? I've never heard of Thailand being mentioned as a tax haven or anything so I guess I'd kinda just like to know the policies.

Any tips at all either via PM or here or you can email me at farangca at gmail dot com.

Thanks

[sinkorswim]

I've done some searches and it seems pretty simple for a falang to get a 'passport' bank account here. Wanted to get some feedback on how safe people think the banking is though and how comfortable you personally would be keeping large sums of money with a Thai bank.

Also as an American do I need to worry about the Thai government reporting to the IRS or anything?

Do I need to pay any taxes on the money? I've never heard of Thailand being mentioned as a tax haven or anything so I guess I'd kinda just like to know the policies.

Any tips at all either via PM or here or you can email me at farangca at gmail dot com.

Thanks

Depends on if it is for business whether you pay tax

If you really wanna cover yourself. set up a offfshore company with a nominee director then open a offshore thai baht bank account in the company name using this you can then send funds to your Thai bank account from here and it will appear to come from that company or you can just use a atm card to withdraw money whenever you need it.

I would never leave large sums of money in thailand the interest rate is crap and I would not call this a particularly stable country at the moment especially with the toxin fiasco.

I keep everything offshore in a dollar and thai baht account, with a bit of cash in GB £ in the Uk.

I do have a thai bank account with bangkok bank and use this for living expences.

I dont work in thailand but when I do start I will pay taxes not worth getting kicked out of the country for the sake of a few baht.

[astral]

I've done some searches and it seems pretty simple for a falang to get a 'passport' bank account here. Wanted to get some feedback on how safe people think the banking is though and how comfortable you personally would be keeping large sums of money with a Thai bank.

The banking system is relatively stable. I doubt you will loose your money, but the value may be

eroded if the baht falls. In addition, as a foreigner you will little or no interest on your deposit.

Also as an American do I need to worry about the Thai government reporting to the IRS or anything?

Thai banks will not be reporting to the American IRS

Do I need to pay any taxes on the money? I've never heard of Thailand being mentioned as a tax haven or anything so I guess I'd kinda just like to know the policies.

As you will not get any interest there is no need to pay tax.

Fixed deposit accounts already have a with-holding tax, but the last time I checked these accounts

were not available to foreigners.

Either way you get a 50K baht allowance before you are expected to pay tax.

[lanny]

The tax treaty between the US and Thailand has a provision for the exchange of information on individual taxpayers. This was the sticking point that kept people here in suspense as to whether the treaty would lapse if the Thai government didn't change the law. The treaty was to terminate on a scheduled date if the law wasn't changed to permit the Revenue Department to exchange data with the IRS. At the last minute, the government did change to law. I am not aware of any attempt to actually implement this provision, however.

If you are an American citizen or green card holder, you are required to report and pay tax on all your income, even if not reported to IRS. Most of my clients have small amounts of interest from their Thai banks but, with interest rates so low, there is never enough to make much difference to any US tax they might owe.

[Guest endure]

As you will not get any interest there is no need to pay tax.

Fixed deposit accounts already have a with-holding tax, but the last time I checked these accounts

were not available to foreigners.

Either way you get a 50K baht allowance before you are expected to pay tax.

A friend of mine has had fixed deposit accounts with Bangkok Bank in Chiang Mai for the past 10 years. He also claims the witholding tax back off the Tax Department every year.

[olaus]

As you will not get any interest there is no need to pay tax.

Fixed deposit accounts already have a with-holding tax, but the last time I checked these accounts

were not available to foreigners.

Either way you get a 50K baht allowance before you are expected to pay tax.

A friend of mine has had fixed deposit accounts with Bangkok Bank in Chiang Mai for the past 10 years. He also claims the witholding tax back off the Tax Department every year.

[Dakhar]

"""If you are an American citizen or green card holder, you are required to report and pay tax on all your income...."

http://www.taxmeless.com/page2.html

"""FIVE: If you reside outside of the US and are married to a spouse that is not a U.S. Citizen or permanent resident (green card holder), your spouse does not have to pay U.S. taxes on their investment and employment income if you do not file a joint return."""

Now there is a reason to marry a Thai, and buy some rental property in her/his name.

[warriors]

Most Thai Banks give you 2.5% interest per year I have a 3 month roll over just for living expencers. Looked at pulling my money out and sending home for 7.3% per year - tax with the 800,000 bhat for the retirement visa. But in the end decided just to keep 300000 in the roll over fund. The rest I use when needed to live.

I may re look at it again in August 2006 when I will need to show again the 800,000 at that time may just keep 200000 om term 3 months and the other 200000 on call then send the other 400,000 bhat back to New Zealand= $15,300 nz at 7.3% minus tax at 39% = $681 per year @ 26bhat per nz $ = 17713 bhat to play with. Then I will decide if I can be bothered to do all sending and returning the money to Thailand when needed. For do not forget if I leave the money in the bank here I will still get 10,000 bhat in interest so In the end 17713 versus 10000 not much to play around with for all the hassels. So now because of your post I have done theses sums and decided not to send my money back to New Zealand THANKS