Will I need to pay double tax in both the UK and Thailand under a DTV Visa?

Jan 3, 2025
5 days ago
Ronnie ***********
ORIGINAL POSTER
The Double Taxation Topic - UK National

My business is registered in the UK, with my salary and taxes both paid in the UK.

I will remain more than 180 days per year in Thailand under DTV Visa.

Will I need to pay double Tax in both UK and Thailand?

Looking for simple straight forward answer, if it possible.

I have searched the group posts, but have not yet seen a clear answer to this question.
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TLDR : Answer Summary
You may be liable to pay taxes in both the UK and Thailand, but this can be mitigated by tax treaties that prevent double taxation. As a UK citizen staying in Thailand for more than 180 days under a DTV Visa, you are generally required to register for Thai tax, but if your income is not generated from Thai sources and is deposited in foreign accounts, you may not owe taxes in Thailand. It's advisable to consult with a tax accountant to navigate the specific regulations and ensure compliance.
DTV VISA RESOURCES / SERVICES
Danny *******
You will always the pay the uk until you prove 100% you are resident somewhere else, the Thailand is the one still being debated but still not confirmed the 180 would trigger
James *******
Prove the money you are sending to Thailand was made before 1st Jan 2024 and it's not taxable.
Maurice **********
Stay longer than 180 day's - yes, you need to pay tax!

We have same scenario.

We go out every 180 day's to avoid any issues. It is every 6 months a nice holiday.
Greg ********
@Maurice *********
It is more than 180 days total in a tax year. The clock does not reset because you leave for a few days. The system is much more complex but there is no reset. It is not 90 day reporting
Chris ***********
If you stay in thailand for 180 days or less (at a time) then no thailand tax

If you go over 180 days you need to register to pay tax

Dtv is designed so that you only do 180 days a time to avoid this problem.
Pete *******
@Chris **********
nonsense and displays a complete lack of understanding regarding how the tax system works. If you have domestic income you are taxed from day one. Over 180 days in Thailand there is no requirement to register anything. The DTV is not designed to avoid paying Thai tax. Your comment is complete nonsense.
Chris ***********
@Pete ******
đŸ€ŁđŸ€ŁđŸ€Ł

The dtv prevents you from working and earning money in thailand. The dtv visa is either soft power or working remotely with income from outside of Thailand

If you're going to comment I would suggest you look into the visa requirements and limitations first
Anonymous ******************
@Chris **********
Unfortunately, it is not only about salary but remitted money you bring to Thailand for which you could be liable (cash, credit card, etc.). The law is already in place since last year. If you're spending over 180 days per calendar year, this applies to you. Amounts and conditions of liability depend on treaties and other rules. You better check it with a tax professional.
Pete *******
@Chris **********
interest on a Thai bank account is earning money in Thailand and taxable, remittances into Thailand to support yourself whilst on a DTV maybe assessable income and subject to Thai tax. You have limited knowledge of this subject.
Anonymous ******************
@Chris **********
It is 180 days per calendar year and not per time. The DTV doesn't prevent you from being liable (in some cases) if you exit/back the country.
Milo *********
The good thing about the UK is the summer and the bad thing about Thailand is the rainy season. Luckily these both happen at the same time, so it might be worth thinking about spending half the year in Thailand (in the UK winter) and half the year in the UK, in the UK summer. In other words, don't spend more than 180 days in Thailand per year, then you don't have to worry about this.
Jens ********
how about this: you are by the rules of dtv forbidden to work for customers inside thailand. so you cannot create taxable income in thailand by the rules. foreign income (not money) which doesn't touch the virtual grounds of thai banking system, is not taxable for you. this is the key point: salary is not paid to a thai account. it is not written that you are not taxable in this case, but it is written that you are taxable when salary comes to thailand after 180 days. (again salary, not money in general). so basically pay your bills from outside or make a big money transfer
Kirilly **********
@Jens *******
We're not being taxed on income, were being taxed on remittance as personal income
Jens ********
@Kirilly *********
then you should change something. or are these transactions of frequent nature? i know many ppl who officially brought hundreds of k usd to thailand
 not a penny tax was paid. there is definitely no tax on singular transactions... as long as they are no income

Kirilly **********
@Jens *******
Started in Jan 2024. I havent heard yet that anyone has been taxed like this. But this is what they said they will be doing from now on, using AI to track any digital transaction.
Kirilly **********
From what I understand, you will be taxed twice. First in the UK. Then any traceable money you spend in Thailand will potentially be taxed as income. Then the onus will be on you to prove you are being double taxed. NB: A lot of the language used to describe the new tax rules is vague. Like you 'may' be taxed. Plus, I think the system will be relying on AI tools that have probably not been trialed yet. I think we'll have to wait to hear stories rolling in from real cases over the coming years to get a sense of how this plays out. Also, they are saying that they can back date tax obligations, so Im being cautious and have decided to no longer stay in Thailand more than 180 days a year. For my purposes, the tax laws are actually more favourable in my home country, which is odd.
Daniel *********
@Kirilly *********
it’s a bit more nuanced than that. Won’t be taxed twice as Thailand will only know when he submits a PND
*****
at the end of the financial year.

When submitting that assessment form they can declare the Uk tax paid, provide evidence and under the DTA the tax paid in the UK will be included in the tax liability calculation.

The tax paid in the Uk will be likely higher meaning the Thai assessment will determine no tax to be paid.

The big question is how Thai Revenue is going to know about him and how he will get a tax ID number to fill out the PND.
Kirilly **********
@Daniel ********
I hope so. But the information I've read about Thai taxing remittance doesnt read like that.
Daniel *********
@Kirilly *********
well they can’t tax using withholding tax as you’re not being paid by a Thai company. There’s no way for them to tax you till you declare it.

No idea where you have been reading but the Thai revenue service released a document earlier in 2024.
Steve ********
A critical question: Do you retain UK Tax Residency?
Pete *******
@Steve *******
HMRC RDR3: Statutory Residence Test will tell you when you loose your UK tax residency.
Sefton ********
Will you need to pay, no one can answer from that limited info.. Too many other factors.

You can (probably) have assessable income that needs a tax return which may or may not generate a liability depending on many variables.
Pete *******
DTA’s are specifically designed to avoid double taxation so no you won’t be required to pay double taxes. You may however have a higher tax rate in one jurisdiction over another.
Maurice **********
Not true. Stay longer then 180 day's and you need to pay tax.
Pete *******
@Maurice *********
thank you for your amazing insight into the intricacies of the Thai tax system but the question was not about paying Thai tax it was about how DTA’s operate.
Warren ********
@Pete ******
nonsense
Pete *******
@Warren *******
insightful.
Kristoffer **********
Swedish embassy told me that I never going to pay taxes in Thailand as long as im on DTV mo matter how long time i stay in the country. Is that totally wrong ?
Sefton ********
@Kristoffer *********
potentially yes.. Visa does not generally change tax liability (LTR excepted), source of income time incountry and DTA does.

There is also the issue of liability v assessability, and the declarations that may be needed to ensure compliance (at this point even professionals disagree).
Cissi *********
@Kristoffer *********
Om du Àr i Thailand (eller annat land) i mer Àn 180 dagar under ett kalenderÄr blir du en s.k. "tax resident"...

Det finns ett dubbelbeskattningsavtal mellan Sverige och Thailand. Min gissing Àr att ambassaden sa sÄ, pga av att du inte ska dubbelbeskattas, utan bara betala mellanskillnaden och Sveriges skatter Àr sÄ höga att det aldrig kommer att bli nÄgon mellanskillnad att betala. (Observera att detta bara Àr min gissning.)
Kristoffer **********
Tack det lÄter rimligt, vet du om man mÄste anmÀla inkomsten pÄ nÄgot vis ? Eller Àr det bara skaffa visum and go ?
Cissi *********
@Kristoffer *********
skaffa visum och Ă„k! 😁 Om/nĂ€r du nĂ€rmar dig 180 dagar ska du ansöka om ett TIN (Tax Identification Number). För det behöver du bl.a. ett Residence Certificate, vilket du inte kan fĂ„ förrĂ€n du varit dĂ€r minst 90 dagar, sĂ„ du ska alltsĂ„ inte söka det direkt.

Hur du sen redovisar inkomst/deklarerar i Thailand har jag inte sÄ bra koll pÄ. Du har dock tid pÄ dig och kommer sÀkert att lÀra kÀnna mÀnniskor som kan det hÀr.

Lycka till med att skaffa DTV och njut i Thailand!
Rok ********
Also remember the Thai taxation remains on remittance basis not worldwide income.
Anonymous ******************
@Rok *******
Thailand has recently changed its taxation rules regarding foreign-sourced income. Previously, Thailand operated on a remittance basis, taxing foreign income only if it was brought into the country within the same calendar year it was earned. However, starting January 1, 2024, the Thai Revenue Department has revised its interpretation. Now, foreign-sourced income earned by Thai tax residents is subject to Thai income tax when brought into Thailand, regardless of the year it was earned
Rok ********
Anonymous participant 635 yes. Thankfully still remittance basis only but probably not for long. All countries are moving to worldwide income including assets for wealth tax.
Nick *******
You will be able to offset any tax liability in Thailand, against taxes you have paid in the UK. If there is a balance (i.e. Thai liability greater than UK) you will have to pay the difference. I did this when working in Spain for 5 years and it was pretty straightforward but I would suggest you get an accountant in Thailand to help you with that side of it.
Will ************
Tax credit in one country offsetting tax due in another. You pay the difference
Ronnie ***********
ORIGINAL POSTER
@Will ***********
i pay 40% in the UK, and the Thai equivalent for my salary is 30%. So i guess im in the clear