Tax returns, married to Thai with no income

[recycler]

We had a nasty surprise getting our tax return as most of what our accountant calculated was not accepted.

We are married legally in Thailand and my wife has no income, I have an income in Thailand and we (my wife) have a house and a mortgage.

We filed for tax returns as a married couple and all returns related to expenses in my wife's name were not accepted. My impression was that as a married couple you should be seen as one fiscal unit and income and expenses are shared.

The logic of the tax officer was that my wife has no income, so she could never have a mortgage and also no life insurance, so they could not be used for tax returns.

I don't think I'm the only one in this situation, any other experiences?

[NUUM]

If you wife has not paid any tax then there is no tax to claim back.

Pooling income and expenses between a tax payer and a non-taxpayer is a nice idea but better achieved by setting up a company.

Good luck challenging the tax officer...

[recycler]

If you wife has not paid any tax then there is no tax to claim back.

Pooling income and expenses between a tax payer and a non-taxpayer is a nice idea but better achieved by setting up a company.

Good luck challenging the tax officer...

As in many countries a married couple is considered an "undivided estate" in their own English explanation I see no indications that both partners in an undivided estate need an income. http://www.rd.go.th/publish/6045.0.html

[KhaoNiaw]

I've never understood or been advised that it works that way here.

You can make the standard deduction for your spouse if she has no income and doesn't file her own return but I think that's it.

[Pib]

Don't seem right to me....and my gut is telling me there was a miscommunications. Maybe what the tax officer was really trying to tell you they didn't believe the deductions because of lack of proof, because there are certain bank & life insurance company documents required for life insurance and mortgage deductions to be accepted....and not to imply anything I expect some folks even submit fake supporting docs.

See this Link which provides English instructions in a PDF document for a 2012 tax form 91. It also talks reduced limits to the deductions if one spouse does not have any accessible income. See starting on page 20 regarding life insurance deductions and page 25 for mortgage deductions.

[recycler]

Don't seem right to me....and my gut is telling me there was a miscommunications. Maybe what the tax officer was really trying to tell you they didn't believe the deductions because of lack of proof, because there are certain bank & life insurance company documents required for life insurance and mortgage deductions to be accepted....and not to imply anything I expect some folks even submit fake supporting docs.

See this Link which provides English instructions in a PDF document for a 2012 tax form 91. It also talks reduced limits to the deductions if one spouse does not have any accessible income. See starting on page 20 regarding life insurance deductions and page 25 for mortgage deductions.

Documents required where provided on original paper from the bank and insurance company.

Thanks for the link, I'll check the document.

[NUUM]

p21 "If your spouse has income..."

[mikebell]

Is this about Thai tax?

The reason I ask is that UK tax people are allowing married couples to claim an allowance for a non-working spouse. You have to register on line. Then porove your ID but they are not set up to do this on-line for ex-pats. I sent a letter to HRMC today.

[fletchsmile]

I assume you're talking Thai tax and Thai tax returns. Not quite sure what exactly you are referring to when you say, ".. all returns related to expenses in my wife's name were not accepted" - not exactly sure what you mean by "expenses"

Allowances and deductions I've claimed in the past and regularly had accepted in Thailand, which relate to my wife include:

- Spouse allowance

- Parents allowance (her parents over 60)

- Mortgage interest with mortgage in wife's name and guaranteed by me

Cheers

Fletch

[recycler]

I assume you're talking Thai tax and Thai tax returns. Not quite sure what exactly you are referring to when you say, ".. all returns related to expenses in my wife's name were not accepted" - not exactly sure what you mean by "expenses"

Allowances and deductions I've claimed in the past and regularly had accepted in Thailand, which relate to my wife include:

- Spouse allowance

- Parents allowance (her parents over 60)

- Mortgage interest with mortgage in wife's name and guaranteed by me

Cheers

Fletch

Thanks, spouse allowance I got, parent too young for that.

But you got the mortgage interest and I didn't. Mortgage in wife's name with me as guarantor.

The English translations of the revenue department are not fully clear and so will the Thai originals be, leaving room for multiple interpretations as with so many issues here.

[fletchsmile]

I assume you're talking Thai tax and Thai tax returns. Not quite sure what exactly you are referring to when you say, ".. all returns related to expenses in my wife's name were not accepted" - not exactly sure what you mean by "expenses"

Allowances and deductions I've claimed in the past and regularly had accepted in Thailand, which relate to my wife include:

- Spouse allowance

- Parents allowance (her parents over 60)

- Mortgage interest with mortgage in wife's name and guaranteed by me

Cheers

Fletch

Thanks, spouse allowance I got, parent too young for that.

But you got the mortgage interest and I didn't. Mortgage in wife's name with me as guarantor.

The English translations of the revenue department are not fully clear and so will the Thai originals be, leaving room for multiple interpretations as with so many issues here.

Was just trying to think back on the mortgage interest, as it was a few years back. Looked it up and I claimed half of it as it went thru a joint account so 50k. That was 2011