Taxes … more fuel to the fire!!

[Gaybutton]

do you think they would make me pay any tax?

The old rules still apply. It doesn't matter what I or anyone else on this, or any other message board, thinks. I think you won't have to pay. Others will think you will. I, for one, would not presume to try to tell you what to do with that much money.

If I were you I'd take a few hundred out of that million baht and consult a good Thai attorney and go by his advice. If you don't know which attorney to consult, contact the embassy. They have a list of attorneys that they recommend.

[Jun]

I live for 170 days a year in Thailand, October thru April. Since I have a non- o retirement visa which enables me to stay the whole year, do you think they would make me pay any tax?
At any rate, I was planning on wiring one million baht to my Kasicorn bank account, as I’ve run out of money finally. I guess the sooner I wire it the better.

I believe you have to be over 180 days in Thailand to be tax resident ? https://shorturl.at/5kNer
I'm no expert, but certainly wouldn't be paying one to advise me when it's as clear as that.


If using Wise, the more you transfer, the less it costs. However, it's quite economic to transfer the money in smaller lumps.

[Rocket]

Yes, I’ll consult someone when I get there. In the meantime I’m sending the money in one lump sum from my bank here in USA.
If I have to pay taxes on it so be it. I will need the money when I go there this October. I’m not losing any sleep over these proposed new tax laws.

[Gaybutton]

Yes, I’ll consult someone when I get there.

That is the best thing to do. I don't think you will have to pay any taxes, but it can't hurt to consult a good Thai attorney who knows whether you will or not.

[Dodger]

Yes, I’ll consult someone when I get there. In the meantime I’m sending the money in one lump sum from my bank here in USA.
If I have to pay taxes on it so be it. I will need the money when I go there this October. I’m not losing any sleep over these proposed new tax laws.

Since you need the money in your Thai bank account anyway to maintain your retirement visa you really don't have any other choice.

As far as these proposed tax laws go they're more confused than we are...

[Gaybutton]

From what I've been reading, even if this income tax actually comes to be, it applies to those living continuously in Thailand for 180 or more days. My question is suppose when an expat is very close to 180 days he decides to take a trip to another country for a few days. Then he returns to Thailand once the 180th day has passed and it will be less than 180 days for the rest of the year.

Am I missing something or would that be a loophole? If it is, it's been over 25 years since my last visit to Vientiane . . .

[Dodger]

My question is suppose when an expat is very close to 180 days he decides to take a trip to another country for a few days. Then he returns to Thailand once the 180th day has passed and it will be less than 180 days for the rest of the year.

Am I missing something or would that be a loophole? If it is, it's been over 25 years since my last visit to Vientiane . . .

Good question

[Jun]

Am I missing something or would that be a loophole? If it is, it's been over 25 years since my last visit to Vientiane . . .

I suspect what you are reading is misleading. AFAIK, it's fairly common to have a limit of around half the year for tax residency & to count your total number of days in that country. Without any requirement for continuous days.

If countries specified residency based on continuous residence that could be circumvented by a short trip to a neighbouring country, tax avoidance would be way too easy (as you suggest).

On the other hand, perhaps it would be reasonable to consider people who go over 180 days in just one year as not continuously resident in Thailand ? I have no idea if this is done anywhere.

[Gaybutton]

My next question would be what constitutes a year? The year between the validity date and expiration date of your visa? The calendar year, January through December? The year between your birthdays? Something else?

I have no idea except for this: Whichever interpretation makes the most sense, that won't be it . . .

[Jun]

My next question would be what constitutes a year?

It's a calendar year, which conveniently corresponds to the Thai tax year.

As explained here:
https://www.expat.hsbc.com/expat-explor ... -thailand/

I could imagine quite a few people being worse off if they moved to Thailand and Thailand chooses to apply taxes according to the HSBC explanation.
For example, presumably if they decided to tax overseas income, income & capital gains currently sheltered in a UK tax free ISA would probably be taxable.

I don't see anything there exempting them, but there is probably more to it than explained in that file.
For example, I suspect tax on dividends paid by UK resident companies might be capped at 15%, according to the double tax treaty.
Then if the UK citizen happened to have investments in non UK resident companies, he presumably has to consult further tax treaties.
Meanwhile, it appears capital gains on UK stocks would be taxed in your country of residence.

Turning tax free income into taxed income would be one big incentive not to move to Thailand.

The HSBC explanation does state that Thai stockmarket investments are free from capital gains. I suspect not many of us would want to go all in on that.