What are the taxation rules for foreigners residing in Thailand, particularly in relation to tax residency?

Nov 29, 2024
14 days ago
I have found some information regarding taxation for foreigners in Thailand, sourced from a PDF file from the Thai Revenue Department, which I would like to share for reference.

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TLDR : Answer Summary
The conversation revolves around taxation issues for foreigners in Thailand, especially those on a DTV (Digital Nomad Visa). Questions raised include understanding tax residency status, income tax obligations, and what constitutes remittances. Respondents express confusion about how tax residency is determined and if ATM withdrawals or credit card expenses are subject to taxation. There is also commentary on the perceived inequity of taxation without representation.
DTV VISA RESOURCES / SERVICES
Da ****
how can anyone even know how

much money you brought into the country when you dont have a thai bank account? where would you even get that overview and proof for filing the tax return form?
Luit *****************
@Da ***
It is up to you to provide this to tax office, it is also your duty to keep administration.

I don't know Thai tax rules and what happens when you file incomplete information, or when they think it is incorrect.

In a lot of countries the tax office has the right to estimate your income, in case you do not provide enough info.
Toni *******
Waiting to see how they determine transfers made with credit card, since its clear its not salary
Luit *****************
@Toni ******
As a Thai tax resident it is your task to provide them with correct info.

When you don't do that, it might be difficult for them to get the information, but when they afterwards find out you provided wrong information, you might be fined.
Toni *******
@Luit ****************
no, actually the banks do all the reporting, thats why its now harder to get an account here.
Luit *****************
@Toni ******
not correct, the fact the bank does report does not change the fact that it is still up to you to present correct figures. The reports of banks are used to check if you support correct figures.
Toni *******
@Luit ****************
correct info would be, credit brought to thailand is not income, so no need to report, its up to the bank if they report it to the authorities, that was my point
Luit *****************
@Toni ******
Money brought to Thailand can be taxed, it is up to you to prove there is an exception for the money you brought in, like you already owned exactly this money before 2024.
Hans *******************
Thanks, but where is the new information? This explanation doesn't help.
Lincoln **********
The part that still isn't clear to me is what is meant by "remitted to thailand"? Are ATM withdrawals in Thailand from my US bank account considered remittances? What about expenses in Thailand paid for with my US credit card? Debit card?
Luit *****************
@Lincoln *********
yes, they are all remitted to Thailand
Lina **********
So am I considered a Thailand Tax resident if I reside in Thailand under DTV? My New Zealand bank just asked me what is my tax residency country and I said it's not NZ anymore because I left and it's not Thailand either because employment is prohibited on DTV. Should I update and say I actually am a Thailand Tax resident? 🤔
Luit *****************
@Lina *********
DTV does not make you tax resident in Thailand. Only when you want to stay over 180 days in a year, not something most digital nomads do.

Leaving your home country does not in all cases mean you are no longer tax resident there, in some countrys you explicitly have to deregister as tax resident.
Pete *******
@Lina *********
you automatically become Thai tax resident after residing 180 days or more in a tax year inside the Kingdom. That does not mean you have to file taxes it just means you are subject to Thai tax law.
Lina **********
Pete Power ok thanks for clarifying that , really helps . I was confused about that
Mike **********
how do they conclude the remittance in was income from 2023 vs. 2024? I am skeptical of this being enforced well if at all in the near term really.
Pete *******
@Mike *********
they don’t conclude anything, it’s up to you to prove the source of the funds.
Mike **********
@Lina *********
Thai employment is independent of tax residency. Probably a hard reading is you're a resident for tax purposes if there > 180d
Dennis ************
So first i have to beg for some tourist visa and then im sepose to pay income tax in Thailand? Even if it's not garanteed i can get back in the country if i go on a holiday.
Luit *****************
@Dennis ***********
Nobody says you should stay over 180 days a year in Thailand with a DTV, that is your choice.

There is a reason a single stay is only 180 days. DTV is not meant to live in Thailand.
Dennis ************
Dennis ************
@Luit ****************
je kunt trouwens 2x 180dagen in Thailand verblijven door hem te verlengen.
Luit *****************
@Dennis ***********
Ik weet dat je kunt verlengen, maar ik zie het me niet snel doen.

Het feit dat je moet verlengen zegt al genoeg over de bedoeling van het DTV visum.

Het is ook niet voor niets dat in de informatie de termen workcation en digital nomad worden gebruikt, dat zijn allebei situaties waarbij iemand niet permanent in het land woont, maar alleen gedurende langere perioden.

Ik krijg hier vaak de indruk dat velen continu in Thailand willen gaan wonen met dit visum, maar daar is het niet voor gemaakt.

Als dat wel zo zijn, dan was wel gekozen voor de mogelijkheid om niet het land uit te gaan en elk jaar te verlengen.
Charles **********
Taxation without representation or any benefits, what a joke.

Pay 30% tax for what when already contributing the spending power of 3-4 Thai average income to the economy …
Luit *****************
@Charles *********
When all other taxpayers use your argument they already spend their income to the economy, nobody would have to pay tax anymore.

That looks great at first sight, but who will pay for the infrastructure?

You have benefits from that just like any other taxpayer.

It sounds reasonable you pay tax in a country where you live most of the time.
Anonymous ******************
@Charles *********
Not sure why you’d say it’s a joke. Hardly any country where you become a tax resident if spending more than 180 days gives you voting rights. Thailand provides you with the benefit of an easy 5-year visa, an excellent low-cost infrastructure (cheap internet, good roads, very safe, VAT only 7% etc.), so you also benefit from the conditions here to derive your income from your remote work - it’s just fair that you’d also pay a portion of your income as tax here then so the state can maintain the current level or improve. Paying taxes here also allows you to make use of tax deductions (e.g. investment in Thai ESG funds, donations etc.), so you are treated just as any other tax payer here
Stef *****
I plan to stay more than 180 days a year but I am keeping my main French bank account. Does that mean that I am subject to tax on all the money I bring into Thailand? Like withdrawals at ATMs for example?
Pete *******
@Stef ****
once you automatically become Thai tax resident it means you are subject to Thai tax law. The requirement to pay Income tax will be dependent on your personal financial circumstances. You may or may not have a tax liability.
Stef *****
@Pete ******
I see, thank you. I am wondering how they can check your declaration though
Pete *******
@Stef ****
through CRS requirements.
Koin ******
@Stef ****
oui ça ne change rien d'avoir un compte ou pas en Thaïlande tu seras résident thai fiscalement. Par contre en retirant à l Atm aucune chance qu'ils t imposent là dessus. Néanmoins il y a un gros soucis avec la convention entre la France et la thailande. Lors de la réunion à l'allliance française sur ce sujet. La convention en français dit bien qu'on a pas. a payé d'impôts sur de l'argent gagné en France grâce à la non double imposition. Or la version anglaise ne dit pas ça.. et quand l'émissaire français a posé la question, l'envoyé Thai a dit que c'est dû à une mauvaise traduction de l'anglais vers le Français.. Sauf que la convention a été signée en thai et en français ! il n'y a pas de version anglaise ! or la Thailande compte se baser sur la version anglaise et nous serons imposés sur de l'argent qui a déjà été imposé en France 😭
Koin ******
oui uniquement
Stef *****
@Koin *****
merci pour l'info. Après perso je suis auto entrepreneur en France mais mes clients principaux sont aux US et en Australie et je vois que dans ce cas je ne paierai pas d'impôts sur ces revenus, seulement sur les revenus de source française.
Stef *****
Tu as de revenus de source française seulement ?