Tax laws. Is it happening?

Not happening. Read the forum. It's designed to get more tax from wealthy Thai people. Don't worry.

@rbakker

Additionally if there is a DTA with your country, which Thailand has with most developed countries, there is nothing to worry about as well

@martinoo2002. But won't we still have to file a return?   

@Teatowel

I understand from your question you mean at your home country?

That is correct for certain countries like the US who follow the global income regulation strict

In other countries the tax residence law is taken in account and that means you are liable for

income tax over generated income in the country if you stay longer than 180 days in said country

In Thailand it depends if you want to be 'more catholic than the pope' or if you work here...

But then still I would not declare any foreign income

There are sufficient legal ways to prevent that.....

In Australia you must declare income but apparently if in thailand longer than 180 days you have to declare there also.

@shenpa

Australia has a DTA with Thailand. Income from Australia will be taxed there and then under DTA is free here

Income in Thailand is taxable in Thailand

You have to declare your Aussi income in Thailand but can deduct as taxed in homeland in the same form/income declaration

In below link for example there is no direct mentioning about 'income for foreign sources, so I would not declare foreign income

either from pension, state allowance or otherwise unless it comes from doing business in Thailand (which is income in Thailand)

https://www.rd.go.th/english/6045.html

According to Section 42: "The assessable income of the following categories shall be exempt for the purpose of income tax calculation:

(25) Compensatory benefit received by the taxpayer from the social security fund under the law governing social security."

My social security comes from the US. Does anyone know if that is exempt or are they referring to Thai social security?

@rzugnoni

They refer to Thai SS

Any other SS should be taxed in the related country.

Thank you for the response. I was afraid that was the case. I do get taxed on it in the USA. Please correct me if I am wrong but I believe that there is a DTA between the US and Thailand which should mitigate it somewhat.

I repeat: Not happening. Read the forum. It's designed to get more tax from wealthy Thai people. Don't worry.

    I repeat: Not happening. Read the forum. It's designed to get more tax from wealthy Thai people. Don't worry.
   

    -@rbakker

Thank you for the response. I do understand that it is targeted to wealthy Thai people . However, it sounds like people like me will get caught up in that. Are you saying that I should just not report it at the end of the year because the Thai government isn't interested in it?

Thanks,

Randy

You can report it if you want but you've already paid tax on it.

Disclaimer: not a tax expert, just repeating what I have read on this forum and around the internet

@rzugnoni

The DTA basically means that if you are taxed in your home country you will not be taxed in Thailand.

Not sure what migation you are referring too, things remain the same as before

@martinoo2002 does it matter how much you are taxed in your home country?

@shenpa

No , you need to pay in home country what you have to and with DTA are exempt of paying in Thailand  IF you do a tax return which under normal circumstances

you would not do

If you work you will have to and then you have the deductible for the tax payment in the US over global income, again IF your report it, which also under normal circumstances you would not do......

    @rzugnoni
The DTA basically means that if you are taxed in your home country you will not be taxed in Thailand.
Not sure what migation you are referring too, things remain the same as before
   

    -@martinoo2002

That's a slight over-simplification of how DTAs work. DTAs specify the type of income covered by the treaty and for those income types covered, the tax you pay in your home country is offset against the tax due in your expat country. So in the case of Thailand, if the tax you have already paid in your home country exceeds what would be due in Thailand (which would usually be the case because Thai tax rates are low compared with most Western countries) then there will be no tax to pay in Thailand, even if you were to declare it, which you may decide not to do since it could complicate things unnecessarily.

@Retiree

Thanks for your elaborate confirmation

Hi, 

I just wanted some responses from people already living in Thailand, preferably Brits because your issues will possibly become my issues too in the future.

I am in receipt of a Civil Service Pension which is taxable, although not taxed as it is not above that rate as yet.

I have savings, so me and my wife's plan is to move to Thailand in a couple of years, and build a house on her land.

We can then live off my pension, plus dip into savings if necessary.  I am 60 years of age, how will the new tax laws affect me, if at all???

Also, when I'm 67 I'll receive my state pension which will more than double my income, could they tax this too???

I will be paying tax in the UK at this point.

Simon

Simon

@Teatowel

Yes, it is happening.

For anyone who is interested, there is a comprehensive Tax Guide on this topic on the ThaiVisa website under the "Jobs, Economy, Banking, Business, Investments" forum. There is also a separate thread for questions on the topic. It's been ongoing for the past 6 months or so.

Anyone know if gains from selling property are to be taxed in Thailand? I live in Denmark and there is no tax from selling my apartment. Denmark has a DTA.

I've read a guide (link provided by Zeus, thank you so much) and if I understand this correctly, as long as the increase in price on my apartment took place before 2024, it will not be taxable in Thailand. There was a huge price jump in about 2020 when the appraisal process was changed. I would be able to document this with reports from the "cooperative apartment" complex I live in. I have not yet sold my apartment, but plan to do so later this year or early next year. This is the uncertain part for me, i.e. whether it needs to have been sold before 2024 or not.

https://aseannow.com/topic/1324294-intr … e_vignette

48) The proceeds from the sale of a capital item such as overseas property, where funds are remitted to Thailand, is one popular source of expat funds, the sale of some investment products such as stocks, shares and bonds is another. Those proceeds typically comprise two parts, capital and profit (or gain). If the capital and/or gain was acquired before 1 January 2024, it is free of Thai tax. If they were acquired after that date, they are potentially subject to Thai tax at PIT rates.

I have gotten some answers on another forum (hope it's ok to post here) and it does not look good unfortunately. Thailand might be of the list as a retirement location for me

https://aseannow.com/topic/1306896-thai … /page/269/

Depends on who you ask.

few questions that will determine if it happens to you

1) are you a tax resident? I guess not

2) if you are taxed by your home country, is there a double tax treaty (most western countries have it)

The pretty old law has been resurrected to tax wealthy Thai that have investment returns abroad and are not taxable in these countries

I assume you do not belong to this group as well..

Storm in a teacup??

@rbakker..In his case no as have reciprocal DTA with Thailand.

But it is govt Pension u pay tax on it to Thailand govt

    Depends on who you ask.
few questions that will determine if it happens to you
1) are you a tax resident? I guess not
2) if you are taxed by your home country, is there a double tax treaty (most western countries have it)

The pretty old law has been resurrected to tax wealthy Thai that have investment returns abroad and are not taxable in these countries
I assume you do not belong to this group as well..

Storm in a teacup??
   

    -@martinoo2002

I do hope it's a storm in a teacup, but reading that thread I linked to makes me unsure.

By living there more than 183 days I will become a tax resident (as I understand the rules).

There is a double tax treaty, but as the gains from selling property are not taxed where I live, they could become taxed in Thailand

@JonSt

Correct living here 183 days or more makes you a tax resident

Thailand does not tax gains from selling property in their personal income tax

And it also depends how and when you move these funds to Thailand, talk to your bank as they will have to notify the Bank of Thailand

who on its turn informs the revenue department when large sums come into Thailand (if the banks would have to do this with every amount that

comes into Thailand they would have to double their staff....)

-Keep it in your home country over a year and transfer as savings

-Or bring it here with description investment in house/business

@martinoo2002U r a Thailand resident if u spend 180 days or more a year in Thailand & YES U R LIABLE 2 PAY TAX ON ANY INCOME U BRING IN2 THAILAND THAT U HAVE NOT PAID TAX ON IN YOUR OWN COUNTRY.

@martinoo2002

I do hope you are right. My thoughts have been; How do they know where my money comes from? I have savings, pension and profit from selling both stock and property. I plan to move small chunks at a time to live off.

@Arild  Huitfeldt

There is a difference between liability and prevention

@JonSt

some foreigners willingly inform the tax department for some or other reason

I don't see the reason nor the benefit of doing that UNLESS your government taxes higher and you could benefit

from the DTA

In my case which is related to taxation at the source by law, there is no escape of paying in the home country

related to the state allowance, private pension funds are an exception and on direct request at the related revenue department

can be exempt

There are more than just one factor in play here and what is good/bad for one can be opposite for another

@martinoo2002

Thank you, great answers from you as always

@JonSt

Good luck

@Teatowel

Hello, Teatowel,

Australia and Thailand have a tax agreement; income taxed in the country of earning will not be taxed again in another country.

So you really don't have to worry about it.

If you pay tax on the money you made, you won't have to pay tax on the same fund in Thailand.

Better to obtain  tax payment certificate from ATO as the proof.

https://www.ato.gov.au/forms-and-instru … of-payment

@shenpa

I read this today.

https://www.rd.go.th/fileadmin/user_upl … AX2024.pdf

According to the above booklet issued by the Revenue Department,

the expats' taxable(assessable)  income is only about the amount remitted to Thailand.

Looks like there is no way Thai tax department can probe the whole of your foreign income.

@rzugnoni

Thai tax department never has enough manpower to probe every single expat's overseas income.

I bet there will be a big mess if they really order all of the foreigners(including retirees) to apply for TIN while they can expect little new revenue.

They will waste so much of their energy.

@border hopper - I started to bring cash with me and use TT Exchange in Pattaya to get better exchange. If transfer of AU$ into Thai Baht: when ANZ transferred into Thai Baht in Australia - overall loss of about a thousand AU$ happened to feed greedy exec's in ANZ in comparison with simple transfer of AU$ and conversion in Thailand at Bangkok Bank (this lesson was learned when I was buying the second condo). Anyway, if any Australian needs to verify True Copy or witness Commonwealth Statutory Declaration - I can do it when back in Pattaya (other locations only if I am passing by). Small donation to any orphanage of personal choice would be welcomed as I am usually spending monetary compensations from banks for wrongdoing to help the unfortunate kids. 

20 plus years living in several SE Asian countries,  including Thailand taught me....

1. Government has no idea how the rules really apply. They are badly written as always.

2. Same person with different tax office will get different answers. Ask 10 tax officers and get 11 different answers..they are often lords to themselves!

3. Double tax treaties are complex and (usually) DONT mean you pay tax, just that you can deduct provable tax paid from country A from B liability. It can result in net tax owed.

4. Accountants will often get it wrong, and you pay the fine.

5. Asking advice online is ok but see point 2. Often people are honest "I was told..." but the tax guy you get has different rules.

Imho safest bet is 179 days max in Thailand. Vietnam,  Malaysia and Phillipines for rest of time!

Currently I work in Korea and they make me pay tax in all worldwide income and capital gains, so count your blessings! Thailand may go doen that route.  A nasty one really.