A Few Pertinent Questions About Currency Transfers to Thailand

[Godders]

I am planning to switch some or all of my offshore savings to Thailand. I gather there is no limit to the amount of foreign currency or Thai baht I can import, provided I fill out a currency transfer form stating the intended purpose for the transfer (ie living expenses, condo purchase, investment, etc).

However, a few questions come to mind:

1 If my intention is to invest the money in Thai bank time deposits, would this qualify as "investment" under the currency transfer regulations?

2 What would be the situation if the money was imported for one purpose (condo purchase for example) but ultimately, for whatever reason, used for another? Could this change of intended use create a problem later?

3 I am resident in Thailand, not my home country, for tax purposes. As the money being transferred is capital, not income, would there be any tax liability?

4 Is there a Thai government website or other definitive source where I can find chapter and verse on this subject?

5 Is there a standard currency transfer form which can be downloaded or obtained from other means in advance of any transfer?

[Langsuan Man]

Where are you getting these " the currency transfer regulations " from ?

I also don't know where you get the idea that the Thai authorities require an explanation for funds wired into Thailand

Most foreign banks ask this in their own wire request forms. Some banks do ask what the money is for, but that is a bank internal policy, not a government mandate

The only time it is mandatory is when you transfer funds into Thailand to purchase a condo in the foreign quota and need the currency exchange certificate to present to the Land Office to put it in your name. Then your wire must state that it is for the purpose of buying a condo

There have been times in recent history where the Thai authorities placed limits, restrictions, or reporting requirements on inbound transfers but that was primarily to prevent speculation in Thai Baht but that is not the case now

I will let others comment on your " Thai resident " status

[meatboy]

lets see what question 3 is all about.

resident? visa status? married,retired,working,renting acom.what are you living on.

maybe a few answers to these and we shall maybe be able to assist.

[Godders]

lets see what question 3 is all about.

resident? visa status? married,retired,working,renting acom.what are you living on.

maybe a few answers to these and we shall maybe be able to assist.

Married (to a Thai national). Moved to Thailand 16 years ago from UK. Only been back for brief holidays. Have a non--immigrant O-A (retirement visa) which I extend annually. Bought wife a house, with entitlement for me to live there during my natural. Live on income from company and private pensions paid into offshore account and transferred to my Thai banks, along, with occasional top ups from capital accumulated from the emigration sale of my UK home and savings from 45 years work. UK tax authorities have accepted I am no longer resident in UK for tax purposes (other than pensions which are of course taxed at source as they arise in the UK) and no longer send me an annual tax return to fill in.

As my retirement income is already taxed in the UK and there is a double taxation agreement between Thailand and the UK, I have always assumed I do not need to file a Thai tax return in respect of this income. Friends in a similar situation who have attempted to do so tell me Thai tax offices say they are not interested in falang retirees' income which has not been earned in Thailand.

Any further guidance from knowledgeable ThaiVisa contributors, based this additional info, would be much appreciated,

[Godders]

Where are you getting these " the currency transfer regulations " from ?

I also don't know where you get the idea that the Thai authorities require an explanation for funds wired into Thailand

Most foreign banks ask this in their own wire request forms. Some banks do ask what the money is for, but that is a bank internal policy, not a government mandate

The only time it is mandatory is when you transfer funds into Thailand to purchase a condo in the foreign quota and need the currency exchange certificate to present to the Land Office to put it in your name. Then your wire must state that it is for the purpose of buying a condo

There have been times in recent history where the Thai authorities placed limits, restrictions, or reporting requirements on inbound transfers but that was primarily to prevent speculation in Thai Baht but that is not the case now

I will let others comment on your " Thai resident " status

From the Bangkok Bank website (the bold italics are mine):

Why do I need to give a purpose when transferring funds into Thailand?

To guard against fraud and money laundering, the Bank of Thailand’s regulations state that all banks in Thailand must obtain specific reasons for funds transfers before they are credited into an account in Thailand. Transfer purposes may include paying for goods, buying a condominium, investing in a business or living expenses.

Thanks for the clarification. So if I planned to put the money in Thai bank time deposits, presumably "investment" might well be an acceptable purpose for transfer? Or doesn't it really matter?

I enquired at my local bank, but nobody understood English well enough to help!

[meatboy]

lets see what question 3 is all about.

resident? visa status? married,retired,working,renting acom.what are you living on.

maybe a few answers to these and we shall maybe be able to assist.

Married (to a Thai national). Moved to Thailand 16 years ago from UK. Only been back for brief holidays. Have a non--immigrant O-A (retirement visa) which I extend annually. Bought wife a house, with entitlement for me to live there during my natural. Live on income from company and private pensions paid into offshore account and transferred to my Thai banks, along, with occasional top ups from capital accumulated from the emigration sale of my UK home and savings from 45 years work. UK tax authorities have accepted I am no longer resident in UK for tax purposes (other than pensions which are of course taxed at source as they arise in the UK) and no longer send me an annual tax return to fill in.

As my retirement income is already taxed in the UK and there is a double taxation agreement between Thailand and the UK, I have always assumed I do not need to file a Thai tax return in respect of this income. Friends in a similar situation who have attempted to do so tell me Thai tax offices say they are not interested in falang retirees' income which has not been earned in Thailand.

Any further guidance from knowledgeable ThaiVisa contributors, based this additional info, would be much appreciated,

ok.you can transfer any amount into your thai bank acc.[not baht] let your bank do the exchange TTrate.there is no tax to pay,but if like me you want to save some,i put it into fixed term accs.immigration will except them for yrly.extensions.most will deduct tax at 15%.

your tax free income from these is 150,000bht.thats the same for the wife.the tax you can claim back every yr.jan.following the account maturing.

when you do the transfers do put on the form what its for,property,living exs,wifes family and me and my wife always says where it came from,eg.savings,pension lump sum or as the last big one uk.house sale.have a read in the BANK INTEREST FORUM plenty of info.rates ect.

[Suradit69]

lets see what question 3 is all about.

resident? visa status? married,retired,working,renting acom.what are you living on.

maybe a few answers to these and we shall maybe be able to assist.

Married (to a Thai national). Moved to Thailand 16 years ago from UK. Only been back for brief holidays. Have a non--immigrant O-A (retirement visa) which I extend annually. Bought wife a house, with entitlement for me to live there during my natural. Live on income from company and private pensions paid into offshore account and transferred to my Thai banks, along, with occasional top ups from capital accumulated from the emigration sale of my UK home and savings from 45 years work. UK tax authorities have accepted I am no longer resident in UK for tax purposes (other than pensions which are of course taxed at source as they arise in the UK) and no longer send me an annual tax return to fill in.

As my retirement income is already taxed in the UK and there is a double taxation agreement between Thailand and the UK, I have always assumed I do not need to file a Thai tax return in respect of this income. Friends in a similar situation who have attempted to do so tell me Thai tax offices say they are not interested in falang retirees' income which has not been earned in Thailand.

Any further guidance from knowledgeable ThaiVisa contributors, based this additional info, would be much appreciated,

" Have a non--immigrant O-A (retirement visa) which I extend annually. "

No, visas are not extended. You have an extension of stay based on retirement and, if you're in and out of the country, hopefully you get re-entry permits since you're O-A visa would have expired awhile ago.

[Suradit69]

lets see what question 3 is all about.

resident? visa status? married,retired,working,renting acom.what are you living on.

maybe a few answers to these and we shall maybe be able to assist.

Married (to a Thai national). Moved to Thailand 16 years ago from UK. Only been back for brief holidays. Have a non--immigrant O-A (retirement visa) which I extend annually. Bought wife a house, with entitlement for me to live there during my natural. Live on income from company and private pensions paid into offshore account and transferred to my Thai banks, along, with occasional top ups from capital accumulated from the emigration sale of my UK home and savings from 45 years work. UK tax authorities have accepted I am no longer resident in UK for tax purposes (other than pensions which are of course taxed at source as they arise in the UK) and no longer send me an annual tax return to fill in.

As my retirement income is already taxed in the UK and there is a double taxation agreement between Thailand and the UK, I have always assumed I do not need to file a Thai tax return in respect of this income. Friends in a similar situation who have attempted to do so tell me Thai tax offices say they are not interested in falang retirees' income which has not been earned in Thailand.

Any further guidance from knowledgeable ThaiVisa contributors, based this additional info, would be much appreciated,

ok.you can transfer any amount into your thai bank acc.[not baht] let your bank do the exchange TTrate.there is no tax to pay,but if like me you want to save some,i put it into fixed term accs.immigration will except them for yrly.extensions.most will deduct tax at 15%.

your tax free income from these is 150,000bht.thats the same for the wife.the tax you can claim back every yr.jan.following the account maturing.

when you do the transfers do put on the form what its for,property,living exs,wifes family and me and my wife always says where it came from,eg.savings,pension lump sum or as the last big one uk.house sale.have a read in the BANK INTEREST FORUM plenty of info.rates ect.

"i put it into fixed term accs.immigration will except them for yrly.extensions."

In most cases they will accept fixed term accounts only if you can access the funds at any time even though there might be an interest penalty.

Some immigrations offices might not be too picky about that, but in theory if the funds can't be accessed for use until reaching maturity that amount would not meet extension application requirements.