My bank intends to disallow international transfers

[Wasa]

Was living and working in Thailand till early 2015. Spent last year on rotational fly in fly out work returning to Thailand every six weeks for two weeks off. Moved to the Philippines for work in January this year and will be here indefinitely, but at least for the rest of this year. Return to Thailand for a short break every eight weeks.

Got this email from my bank (see below text) I am required to produce salary slips from an employer in Thailand (per item 4) which obviously I cannot. I still deposit money regularly into my Thai account and now have quite a lot of money in the account. I use the international transfer facility to move money out of it every now and then. I cannot shift the money back to Australia as I have declared non residency there for taxation purposes and will lose this status if I move money into the country, resulting in me losing 47% of my overseas salary. I cannot move it to the Philippines either due to the salary arrangements I have with my employer.

Is there any way around this or does it mean I am definitely going to lose my international transfer ability?

According to Bank of Thailand (“BOT”) regulations concerning Overseas Fund Transfers stating that any overseas fund transfer shall be accompanied by up-to-date documentary evidence, we are obliged to request your submission of updated documents every two years. By this letter, you are requested to kindly submit to us the necessary supporting documents (see details below) for processing fund transfers within one month, from the date of receiving this notification. In the event that the required documents have not reached us within the prescribed period, we may have no other choice but to suspend your overseas fund transfer capability via SCB Easy Net for the time being. In that case, we will promptly reactivate fund transfers for your overseas remittance via SCB Easy Net once we receive the required documents from you.

List of Required Documents:

1. Thai citizens with permanent residence overseas are required to submit official evidence confirming that they are allowed to permanently settle there.
2. Thai citizens wishing to transfer funds overseas for family members or relatives permitted to permanently settle overseas are required to submit official evidence
   showing that the fund recipient is allowed to permanently settle there.
3. Thai citizens transferring funds for tuition fees of a Thai student overseas are required to submit educational evidence, e.g. confirmation letter issued by an academic institute.
4. Foreigners are required to submit evidence such as salary confirmation or salary slips issued by their employers in Thailand.
5. All cases mentioned above require identification documents, e.g. ID card or passport.

[manfredtillmann]

take your money out in cash next time you are here, declare it upon departure, deposit it somewhere where laws are less restrictive - or keep it under your mattress.

[Crossy]

It's not just Thailand.

My (now ex.) Luxembourg bank decided recently to :- a. Refuse to accept my salary transfers from my employer in Hong Kong and b. Refused to transfer my existing funds to Thailand.

It's all about money-laundering and arse covering

Currently moved to Lloyds Offshore (Premier Account) in Isle of Man, how long before they suffer the same issues is unknown, but it's not going to get any easier.

[Lannig]

Dhammachayo abbot must really be p*** off if he's received the same letter.

Oh wait, no.

Edited May 29, 2016 by Lannig

[chiang mai]

It seems as though SCB is asking you for proof of the source of your funds, if you can provide them with copies of your work permit in Thailand, if the money you have was earned here, that will suffice.

If the money in your account was earned overseas, provide them with copies of the paperwork (FET) showing the money was transferred into Thailand from overseas, in which case you wont have a problem.

[ageless1]

When you've taken it out of Thailand where have you moved it to? Why not move it there in the first instance without it going to Thailand first? Why would you want large amounts of money in a Thai bank anyway?

[Wasa]

It seems as though SCB is asking you for proof of the source of your funds, if you can provide them with copies of your work permit in Thailand, if the money you have was earned here, that will suffice.

If the money in your account was earned overseas, provide them with copies of the paperwork (FET) showing the money was transferred into Thailand from overseas, in which case you wont have a problem.

Yes, it seems that one has to be working in Thailand to be allowed the international transfer facility. So they are asking for proof of Thai based income. I can't do that as I am working in the Philippines. I can only place a nominal amount into Philippines bank as I am an expat with an offshore salary structure. So I have to put my money somewhere.

[Wasa]

When you've taken it out of Thailand where have you moved it to? Why not move it there in the first instance without it going to Thailand first? Why would you want large amounts of money in a Thai bank anyway?

Well to be honest, I don't transfer too much really. Just sometimes small amounts to my kids or parents in Australia, otherwise it is largely untouched. I was just letting it build up and on one of my trips back I was going to use some of it to buy a condo around my Naklua base.

I suppose I am just concerned about losing the ability to transfer it. It is too much to keep it under a mattress as someone else suggested.

I am also going to buy a property in Australia eventually and I had intended some of this money would go towards that.

I can't send it to my account in Australia as I am a declared non-resident and the government may remove this status if I start depositing funds over there. That would be a financial disaster for me as Australian taxation laws/rates are onerous.

Seems I'm stuck.......will have to look for another option.

[Pib]

For a farang, to be authorized Thai bank international transfer "via ibanking" it supposed to be authorized/used only for repatriation of salary earned in Thailand...salary earned from a job where you have a Work Permit. Periodically the bank asks for re-validation of your in-Thailand salary and possibly Work Permit.

[ageless1]

When you've taken it out of Thailand where have you moved it to? Why not move it there in the first instance without it going to Thailand first? Why would you want large amounts of money in a Thai bank anyway?

Well to be honest, I don't transfer too much really. Just sometimes small amounts to my kids or parents in Australia, otherwise it is largely untouched. I was just letting it build up and on one of my trips back I was going to use some of it to buy a condo around my Naklua base.

I suppose I am just concerned about losing the ability to transfer it. It is too much to keep it under a mattress as someone else suggested.

I am also going to buy a property in Australia eventually and I had intended some of this money would go towards that.

I can't send it to my account in Australia as I am a declared non-resident and the government may remove this status if I start depositing funds over there. That would be a financial disaster for me as Australian taxation laws/rates are onerous.

Seems I'm stuck.......will have to look for another option.

So I guess you are trying to avoid/minimise paying tax? You wouldn't be the first if you are! If you are having your Phillipines wages deposited into Thailand they won't want you to take it out again and will make it difficult. If it is stuck there maybe best to spend it on that condo sooner rather than later even though you won't be there much to enjoy it. Or rent it out and let it earn a bit more for you?

[Dario]

I wonder how this works if I make profits on the Thai stock market and want to send them to Europe to let's say buy a villa in Spain. I guess it would suffice if I can prove that I earned these funds in Thailand via my stock broker. Does anyone know?

[elgordo38]

It's not just Thailand.

My (now ex.) Luxembourg bank decided recently to :- a. Refuse to accept my salary transfers from my employer in Hong Kong and b. Refused to transfer my existing funds to Thailand.

It's all about money-laundering and arse covering

Currently moved to Lloyds Offshore (Premier Account) in Isle of Man, how long before they suffer the same issues is unknown, but it's not going to get any easier.

Buy gold and stuff it under your mattress. It will always be worth something even if you listen to Harry Dent who talks $750 an ounce. Paper money is loosing value constantly. You can go in and buy gold for cash no passport nothing. The money disappears off of the radar screen. Its the last great storage for wealth.If you can buy land do that land never looses its value same as gold. With paper money always keep a wheel barrow handy. Edited May 29, 2016 by elgordo38

[johnatong]

These problems only arise when large sums of money are moved. Attract attention and you have a problem.

This is not a uniquely Thai issue. Banks world wide are on the lookout for suspicious movements of cash.

[chiang mai]

It seems as though SCB is asking you for proof of the source of your funds, if you can provide them with copies of your work permit in Thailand, if the money you have was earned here, that will suffice.

If the money in your account was earned overseas, provide them with copies of the paperwork (FET) showing the money was transferred into Thailand from overseas, in which case you wont have a problem.

Yes, it seems that one has to be working in Thailand to be allowed the international transfer facility. So they are asking for proof of Thai based income. I can't do that as I am working in the Philippines. I can only place a nominal amount into Philippines bank as I am an expat with an offshore salary structure. So I have to put my money somewhere.

You don't have to be working here, I'm retired and I have large sums here but I can prove that al the money came into Thailand from overseas because I kept the paperwork (FET's) hence I have no problems sending that money out again (which I do from time to time).

[Wasa]

When you've taken it out of Thailand where have you moved it to? Why not move it there in the first instance without it going to Thailand first? Why would you want large amounts of money in a Thai bank anyway?

Well to be honest, I don't transfer too much really. Just sometimes small amounts to my kids or parents in Australia, otherwise it is largely untouched. I was just letting it build up and on one of my trips back I was going to use some of it to buy a condo around my Naklua base.

I suppose I am just concerned about losing the ability to transfer it. It is too much to keep it under a mattress as someone else suggested.

I am also going to buy a property in Australia eventually and I had intended some of this money would go towards that.

I can't send it to my account in Australia as I am a declared non-resident and the government may remove this status if I start depositing funds over there. That would be a financial disaster for me as Australian taxation laws/rates are onerous.

Seems I'm stuck.......will have to look for another option.

So I guess you are trying to avoid/minimise paying tax? You wouldn't be the first if you are! If you are having your Phillipines wages deposited into Thailand they won't want you to take it out again and will make it difficult. If it is stuck there maybe best to spend it on that condo sooner rather than later even though you won't be there much to enjoy it. Or rent it out and let it earn a bit more for you?

Yep, you're right. The Australian government openly allows the option to become a non-resident (for taxation purposes) so it is a quite legitimate tax minimization/avoidance strategy and an option that many long term Aussie expats adopt. However, as a penalty, you lose certain privileges back there (such as access to free medical care and the tax free income threshold) And they watch you like a hawk, if you were to buy an investment property back there or move money into a bank there for example, they can claim that you were never a true non-resident and potentially go after you for your earnings abroad.

[coxo]

Get an AUD Citibank account in Singapore, you can move it any where then.

[DoctorG]

You need a new tax accountant.

If you're not an Australian resident for tax purposes, you are only taxed on your Australian-sourced income, so you generally don't need to declare income you receive from outside Australia in your Australian tax return.

Source: ATO.

[sikishrory]

This is interesting. I am an a similar situation. Worked in thailand but now I don't. Now I work offshore living in thailand on my breaks also with a goal of an investment property and/or condo in thailand. So it is good to know this may be just around the corner. I have a few thai accounts and scb is by far the least user friendly for westerners.

At the moment i still get some offshore salary put into my thai but i certainly wouldnt be comfortable doing this long term with 100% of my funds. Purely because of how difficult it can be dealing with banks here that seem to change depending what branch or who you happen to get on the day. As well as the language and the feeling that they don't want you moving money out of thailand.

Singapore citibank as someone mentioned above is another one i have considered but in the end I organised a "standard bank" offshore account which lots of people say is really good. Keep your money in there and you don't really need to worry then. They have aud accounts available should you wnt to withdrawel aud.

So at the moment I am spreading it over thai, standard and aussie accounts. To get it into my aussie account i send it via a family members account first. There is a another way of doing it which you can pm me about if you want.

Really though in your situation it doesn't seem like a huge issue. Just get an offshore account and you won't have a problem.

[fredge45]

Get an AUD Citibank account in Singapore, you can move it any where then.

Personally wouldn't go the Citibank route but there are some very good banks in S'pore you can work with easily and legally.

[roquefort]

You need a new tax accountant.

If you're not an Australian resident for tax purposes, you are only taxed on your Australian-sourced income, so you generally don't need to declare income you receive from outside Australia in your Australian tax return.

Source: ATO.

You need to re-read the OP. He is saying that he risks losing his non-resident status by moving money back to Australia, which is why he doesn't want to do it.

[csabo]

Move money to another Thai bank. Done. Next?

[Pib]

Move money to another Thai bank. Done. Next?

How's is that going to fix the OPs ibanking international transfer out problem?

New bank will require the same docs to approve the international transfer capability as the OP's current bank is asking for.

[eskatonia]

OP, you should look into getting a Hong Kong bank account, even better set up a Hong Kong company and instead of getting a salary send invoices from your Hong Kong company for your work. Hong Kong has zero company tax on income earned outside Hong Kong. Singapore is similar but I don't know as much about it. Will cost about $1000 US to get a Hong Kong company set up with bank account, google search it, many many consultants can do this for you.

[RBOP]

For last 23 years been working in and around Thailand. Some Thai salary and some offshore salary. Brought it all into Thailand over the years. I too want the option to send it out if I need too. So I went to the Thai bank and got a record of transactions for past 10 years anyway. Got a certified letter from bank showing what my offshore portion was and baught a condo. So when I sell the condo I can send out all sales proceeds (price I sell the condo at). I brought in more $ than what I bought the condo at and asked the bank what about this extra can I send it out? They said go to the other counter and show them these records. Should not be problem she said. But havnt tried it yet.

[RBOP]

For last 23 years been working in and around Thailand. Some Thai salary and some offshore salary. Brought it all into Thailand over the years. I too want the option to send it out if I need too. So I went to the Thai bank and got a record of transactions for past 10 years anyway. Got a certified letter from bank showing what my offshore portion was and baught a condo. So when I sell the condo I can send out all sales proceeds (price I sell the condo at). I brought in more $ than what I bought the condo at and asked the bank what about this extra can I send it out? They said go to the other counter and show them these records. Should not be problem she said. But havnt tried it yet.

[Kabula]

take your money out in cash next time you are here, declare it upon departure, deposit it somewhere where laws are less restrictive - or keep it under your mattress.

Understand there are limits on how much cash, THB, you can leave Thailand with as most countries. You need to research that. Beware of the cash thefts reported while going through airport security and on flights worldwide.

Edited May 30, 2016 by Kabula

[hobobo]

take your money out in cash next time you are here, declare it upon departure, deposit it somewhere where laws are less restrictive - or keep it under your mattress.

Please include GPS coordinates of the mattress, for admin purposes only

[felicitous]

Buy Bitcoin in Thailand and sell in the country you want them. Easy and fast and cost only a few hundret thb per bitcoin.

Edited May 30, 2016 by felicitous

[zeekgarcia]

It seems as though SCB is asking you for proof of the source of your funds, if you can provide them with copies of your work permit in Thailand, if the money you have was earned here, that will suffice.

If the money in your account was earned overseas, provide them with copies of the paperwork (FET) showing the money was transferred into Thailand from overseas, in which case you wont have a problem.

Yes, it seems that one has to be working in Thailand to be allowed the international transfer facility. So they are asking for proof of Thai based income. I can't do that as I am working in the Philippines. I can only place a nominal amount into Philippines bank as I am an expat with an offshore salary structure. So I have to put my money somewhere.

You don't have to be working here, I'm retired and I have large sums here but I can prove that al the money came into Thailand from overseas because I kept the paperwork (FET's) hence I have no problems sending that money out again (which I do from time to time).

Sorry but what are FET's??

[CHRISTIANa9]

Open a account in Singapore. As longbad your income is legitimate u are most welcome and its tax free