TAX on Income from Abroad

[Stuart52]

Can anyone help? I want to find a recommended local (Udon Thani) Tax Accountant to handle my tax affairs.
I have 3 pensions and 2 annuities
Any help would be greatly appreciated

[newtovillagelife]

I received my completed Thai tax return and received 7 bht credit return.
The Thai tax company used was very exact.
We'll see what happens this year if the new law becomes a reality.

Do you work in Thailand?
If you are retired, why would you need to file a tax return for 2023?

[sometimewoodworker]

I received my completed Thai tax return and received 7 bht credit return.
The Thai tax company used was very exact.
We'll see what happens this year if the new law becomes a reality.

Do you work in Thailand?
If you are retired, why would you need to file a tax return for 2023?

In 2023 and previous years. If retired and you had no current income remitted (or less than the zero tax band) you are entitled to a refund of all tax levied on savings, the report I filed gained me a 394.66 refund

[Barney]

I received my completed Thai tax return and received 7 bht credit return.
The Thai tax company used was very exact.
We'll see what happens this year if the new law becomes a reality.

Do you work in Thailand?
If you are retired, why would you need to file a tax return for 2023?

newtovillagelife

I'm not retired and work in Thailand and earn a salary which is taxed.
My tax return is processed by Deloitte.

[newtovillagelife]

I received my completed Thai tax return and received 7 bht credit return.
The Thai tax company used was very exact.
We'll see what happens this year if the new law becomes a reality.

Do you work in Thailand?
If you are retired, why would you need to file a tax return for 2023?

newtovillagelife

I'm not retired and work in Thailand and earn a salary which is taxed.
My tax return is processed by Deloitte.

Thanks.

[newtovillagelife]

If you have remitted nothing into Thailand in 2024, but are a tax resident, will you be required to file a Thai tax return?

[jackspratt]

No.

[newtovillagelife]

Presently, under Section 41 of the Revenue Code, any foreign resident in the kingdom for over 180 days is required to make an income tax return.???

[tamada]

Unless the RD is going for broke and implementing a universal tax filing regimen where everyone files, I would. think the first step in the 180 day rule as it applies to "resident tourists" is a self-assessment.

If you weren't here for 180+, you don't file. If you were here for 180+, you file.

I think the US and Australia among others primarily rely on the person's honesty whether to file or not. Audits will find the dishonest ones.

In ntvf's hypothetical where no funds have been remitted in 2024 but the person has exceeded 180 in country, then filing a return will confirm that no tax is due. There's no mention at the moment of any penalties or fines for not filing a tax return when you should have.

[sometimewoodworker]

Presently, under Section 41 of the Revenue Code, any foreign resident in the kingdom for over 180 days is required to make an income tax return.???

That is not correct if it’s a statement
If it’s a question the answer is NO

[jackspratt]

Section 41
A taxpayer who in the previous tax year derived assessable income under Section 40 from an employment, or from business carried on in Thailand, or from business of an employer residing in Thailand, or from a property situated in Thailand shall pay tax in accordance with the provisions of this Part, whether such income is paid within or outside Thailand.

A resident of Thailand who in the previous tax year derived assessable income under Section 40 from an employment or from business carried on abroad or from a property situated abroad shall, upon bringing such assessable income into Thailand, pay tax in accordance with the provisions of this Part.

Any person staying in Thailand for a period or periods aggregating 180 days or more in any tax year shall be deemed a resident of Thailand.

https://www.hlbthai.com/new-rule-for-ta ... gn-income/

[sometimewoodworker]

Unless the RD is going for broke and implementing a universal tax filing regimen where everyone files, I would. think the first step in the 180 day rule as it applies to "resident tourists" is a self-assessment.

If you weren't here for 180+, you don't file. If you were here for 180+, you file.

I think the US and Australia among others primarily rely on the person's honesty whether to file or not. Audits will find the dishonest ones.

In ntvf's hypothetical where no funds have been remitted in 2024 but the person has exceeded 180 in country, then filing a return will confirm that no tax is due. There's no mention at the moment of any penalties or fines for not filing a tax return when you should have.

You misunderstand the TRD information it is not a simple file if 180 days or over
All Thai tax returns are based on self assessment.
There is no legal requirement to file a tax return
There is a requirement to pay tax if any tax is due
The overwhelming majority of TRD offices do not want a tax return filed if there is no tax due to be paid or tax due to be refunded, but see 6) under. You can still file a zero tax due return.

Just remitting money to Thailand does not create a requirement to file a tax return

You have to decide if the money remitted is assessable for tax or not

If you are receiving a USA SS pension it is not assessable, if you are receiving a U.K. government pension it is not assessable NOTE U.K. state pensions are assessable

If the money was accrued before 1/1/2024 it is not assessable
If the money was earned (pensions are classed as earned income) post 1/1/2024 it is assessable. For the definitions of earned income see the TRD the information is in English
For things that are excluded from assessable income see your countries DTA (the 2 mentioned excluded pensions are in the USA DTA and U.K. DTA)

To discover if you have a tax liability
1) have you lived in Thailand for more than 179 days? If no, no tax liability so stop reading
2) calculate all your allowances

• These include but are not limited to
  Personal allowance ฿60,000
  Over 65 allowance ฿190,000
  Expenses allowance ฿100,000
  Allowance for receiving pension over 200k, ฿100,000
  Non tax paying spouse allowance ฿60,000
  Spouse™’s Father-Mother Exemption. ฿30,000
  There are many more allowances

3) calculate the tax paid on the income that has been remitted
4) if your allowances and tax paid are greater than the income amount remitted you have no tax to pay so stop reading
5) if your remitted income is more than ฿150,000 (zero rate amount) over the deductions you have a tax liability and are required to submit a tax return and pay the tax due

6) hope that the TRD accepts your return and does not decide to audit you. The vast majority of returns are accepted, and never audited
The TRD has 3 years to decide that they are going to audit you if you have filed tax returns.
The TRD has 10 years to decide that they are going to audit you if you have not filed tax returns.

7) if you are audited you must be able to prove that your calculations are correct, that any money remitted and not assessed was exempt from assessment, that all allowances are accurate, that any DTA modifications to income are correct, that any DTA tax exemption is accurate. It is your responsibility to prove all the above, it is not the TRD’s job to disprove anything but they can certainly challenge your claims.

[Stuart52]

See attachment

FOREIGNERS_PAY_TAX2024.pdf

(1.23 MiB) Downloaded 53 times

[tamada]

See attachmentFOREIGNERS_PAY_TAX2024.pdf

Same as previously posted on page 17?

[Doodoo]

"by Stuart52 » July 20, 2024, 5:49 am

See attachment
FOREIGNERS_PAY_TAX2024.pdf
(1.23 MiB) Downloaded 12 times"

Thanks for the info Stuart
If you have anymore please feel free to post

[sometimewoodworker]

See attachmentFOREIGNERS_PAY_TAX2024.pdf

Same as previously posted on page 17?

No only that but it is remarkably sparse on information. It is accurate on the little information given, you will have to get much more to determine if
1) you have any need to pay tax or complete a tax return
2) the allowances against Thai tax that are available to you
3) the funds which are actually assessable for taxation

NB I have knowledge of circumstances of funds received by a non Thai citizen that is Thai tax resident in 2024 and were remitted to Thailand in 2024 that are considerably in excess of 2 million where there is zero tax viability

Takeaway the TRD isn’t your friend and has no obligation to help you reduce your tax liability.
They will answer questions as truthfully as they are able but you have to know the precise question to ask.

It is your responsibility to claim all allowances you can, apply you countries DTA for assessable income, apply the reductions available under the DTA’s and finally if the TRD decides to audit your return (unlikely but they have 3 years to decide) prove that your calculations are correct

[Doodoo]

https://www.thaiexaminer.com/thai-news- ... om-or-not/


"Thai taxman now plans to tax foreigners on all income whether it is remitted to the kingdom or not under global tax rule"

[jackspratt]

https://www.thaiexaminer.com/thai-news- ... om-or-not/


"Thai taxman now plans to tax foreigners on all income whether it is remitted to the kingdom or not under global tax rule"

The cat (amongst the pigeons) just got a whole lot bigger.

EDIT: just looked at the date of the linked article - June 5. So I suspect it is kee khway.

[BillaRickaDickay]

I guess its wait an see, March 25, Ghost deposits etc, maybe F offski for many.

[tamada]

https://www.thaiexaminer.com/thai-news- ... om-or-not/


"Thai taxman now plans to tax foreigners on all income whether it is remitted to the kingdom or not under global tax rule"

The cat (amongst the pigeons) just got a whole lot bigger.

EDIT: just looked at the date of the linked article - June 5. So I suspect it is kee khway.

Yes, I was going to comment on the 'old news' aspect but deferred in the interests of UM love, peace and harmony.