According to the Thai Enquirer who posted official document describing the change it says: “…those that have earnings from occupation or business abroad or wealth that is located abroad…and has brought these assets into Thailand…must factor this into their personal income tax for the year.” So, it will be taxed only if brought to Thailand regardless in which year they were earned.
That is how it has always been. The new changes proposed is to tax you regardless of whether the money is brought into the country or not. Effectively like most other Western countries tax their own residents.
not sure about that... the way it has been before is that you don't pay tax for foreign income you remit to Thailand as long as this income was made the previous year. some people enjoyed this loophole for many years, "parking" the income in a different country for 1 year and then bringing it in Thailand the following year tax free. THIS is what's changing now. They are scrapping this unique law and now it won't matter anymore when the income was made. but does it mean you'll be taxed for money you don't remit to Thailand? haven't seen (yet) any evidence to support that... @@HyperspaceHoliday
@@HyperspaceHolidayno the change is on the one year rule . Before if you waited a year to bring the funds in , it wouldn’t be tax, now that rule is basically scraped and they will tax any income brought into Thailand , regardless when it was made . But if you keep most of your income outside of Thailand , it’s won’t matter as much , but if you bring in most of your income from overseas it will
can you make a video on what would be next best option if thailand is gone -- for the usa llc + thai plan -- if that's not so good now, what would you recommend? Also, where would be best places to live if you make most of your money in capital gains -- like stock market trading?
Exactly. You can just keep your money in your foreign bank account and withdraw cash from the ATM or pay by card. Use it just like any other account. Why would anyone want to send all their money into a thai bank?
A couple notes here Michael: - if you read the release it specifically says “only funds brought into Thailand”. - LTR seems to be exempt talking to some local lawyers
@@luxuryseaviewvillas6744 There are different types of LTR visas. I have the one for wealthy pensioners that does not require any investment in Thailand.
Very little details on this yet but as of now its only money which you bring into Thailand from abroad, at any time compared to kept out of the country before for one year meant tax free.
I had a chat with my local accountant about it. He said Thai IRS is really incompetent and they don’t even have knowledge about how many bank accounts you have in Thailand. Mine doesn’t even have tax ID added in one of them. I think this is more intended towards Thais with Thai national ID card who launder money that was originally accrued in Thailand.
Ad i f the intention changing anythin about the facts. Being backtaxed for many years because the morrons in the local office do not understand how to advice....Nice....
Like all the people who had their landpapers 'fixed' and taxed with tea money enveloppes under the table decades ago now being enforced eh.....Just push it away and its not there...That will work until it doesn't@@EastAsianExpatRentals
Concerning new Thai tax rules, The recent KPMG update should be reassuring to many expats. It seems to imply that saving earned before January 1, 2024 will not be taxed, when brought into Thailand after January 1, 2024. It remains unclear if or how this should be reported in Thailand for tax purposes. Feedback appreciated.
Hi Michael I think you might be wrong when you state that selling international shares that triggers a CGT event is taxed where you reside, most tax friendly countries territorial and Non dom state that foreign shares and CGT are not taxable, same with dividends. Crypto is a different story
It's very unclear weather or not the personal taxation will be based on remittance. Some of the big 4 offices have analyzed it to still be the case. What's clear is that money remitted in a +1 year will no longer be exempted
This law needs to be as elaborate as 300-400 pages. Before that nothing set in stone, because Thailands track record for tax change announcement and not changing is so bad.
Your businesses will make you rich but your investments will make you wealthy. The future is inevitable. I pray everyone here becomes extremely successful.
Hi, I am an expat and concern about the Thai new tax law. First of all, there are treaties that Thai Government signed with 61 countries that relate to taxation. For an example the treaty between the US and Thai government total of 31 paragraphs, treaty defines US income as the taxable income by the US Federal government except for payment for social benefits (social security payment, railroad retirement payment, and other retirement benefits). This exception is defined in Article 2, Paragraph 1., and sub b and Article 20, paragraph 1. Link to English version of the Treaty. My interpretation of the Treaty is that for retirement income, it is exception from the new “Thai Tax” law because of paragraphs 2 and 20 already make an exception. Yes, I am still liable for the US tax. For other types of income, tax payment is subject to residency testing. From the same link, you can access other Treaties both English version and Thai version.
Then I simply move from Thailand to Malaysia. Easy peacy 😂 (Thailand lose out big time when people like us leave.) Keep most in crypto and stay independent from banks. Spend money through crypto credit cards. Continue to be free and ❤ your life!
@@EastAsianExpatRentals lol it’s not just about being careful about banks, you’ll need to avoid literally every non dodgy bank because of KYC laws, they will want to know that you have a tax ID somewhere. Not good advice
This is not a big deal. These videos that are about tax are just making people scared. Everyone has different taxable situation and this video doesnt give facts just more questions
Please expand on the locally sourced income situation, as it makes little sense to me. I'm with you that the jurisdiction an income is sourced from doesn't automatically tax you -- that's up to the jurisdiction of your tax residency. But when your tax residency specifically excludes non-domestic sources, how does that still end up including non-domestic sources?
The prom queen bait and switch 😂😂😂 Can I interest you in a Thai elite visa?? By the way we actually raw worldwide income now. It's going down the drain and if you compare it to neighbors the country is now meh
According to the Thai Enquirer who posted official document describing the change it says: “…those that have earnings from occupation or business abroad or wealth that is located abroad…and has brought these assets into Thailand…must factor this into their personal income tax for the year.” So, it will be taxed only if brought to Thailand regardless in which year they were earned.
That is how it has always been. The new changes proposed is to tax you regardless of whether the money is brought into the country or not. Effectively like most other Western countries tax their own residents.
not sure about that... the way it has been before is that you don't pay tax for foreign income you remit to Thailand as long as this income was made the previous year.
some people enjoyed this loophole for many years, "parking" the income in a different country for 1 year and then bringing it in Thailand the following year tax free. THIS is what's changing now. They are scrapping this unique law and now it won't matter anymore when the income was made. but does it mean you'll be taxed for money you don't remit to Thailand? haven't seen (yet) any evidence to support that... @@HyperspaceHoliday
Every western country does this, even China taxes worldwide income. Why is this news?
@@HyperspaceHolidayno the change is on the one year rule . Before if you waited a year to bring the funds in , it wouldn’t be tax, now that rule is basically scraped and they will tax any income brought into Thailand , regardless when it was made . But if you keep most of your income outside of Thailand , it’s won’t matter as much , but if you bring in most of your income from overseas it will
@@alexandertraveler510 false statement
can you make a video on what would be next best option if thailand is gone -- for the usa llc + thai plan -- if that's not so good now, what would you recommend?
Also, where would be best places to live if you make most of your money in capital gains -- like stock market trading?
Mike … Wrong , taxing worldwide income only when ‘Remitted to Thailand’
Get details correct before posting.
Exactly. You can just keep your money in your foreign bank account and withdraw cash from the ATM or pay by card. Use it just like any other account.
Why would anyone want to send all their money into a thai bank?
This is already being walked back, and looks like it’s not even going to go through
true
It’s not being talked back .. show your work !
It’s not being walked back at all. The royal decree was slightly updated for more detail.
Pls anyone knows how many are the taxes for capital gain from trading futures or for crypto cashout??
A couple notes here Michael:
- if you read the release it specifically says “only funds brought into Thailand”.
- LTR seems to be exempt talking to some local lawyers
LTR, as in a mil in assets + 500k USD sitting inside Thailand rotting away? alrighty, good look with that
@@luxuryseaviewvillas6744 There are different types of LTR visas. I have the one for wealthy pensioners that does not require any investment in Thailand.
Very little details on this yet but as of now its only money which you bring into Thailand from abroad, at any time compared to kept out of the country before for one year meant tax free.
Rule of "keep out for one year tax free" is nolonger valid for this new tax code.
I had a chat with my local accountant about it. He said Thai IRS is really incompetent and they don’t even have knowledge about how many bank accounts you have in Thailand. Mine doesn’t even have tax ID added in one of them. I think this is more intended towards Thais with Thai national ID card who launder money that was originally accrued in Thailand.
Great idea to play games with the authorities of a country that has the death penalty
that kind of fear mongering is why you have the life you currently do. You have the life you deserve. @@testtestlast4306
Ad i f the intention changing anythin about the facts. Being backtaxed for many years because the morrons in the local office do not understand how to advice....Nice....
Like all the people who had their landpapers 'fixed' and taxed with tea money enveloppes under the table decades ago now being enforced eh.....Just push it away and its not there...That will work until it doesn't@@EastAsianExpatRentals
@@EastAsianExpatRentals well if it's not broken, why fix it. There are enough competent tax agencies in the world.
Concerning new Thai tax rules, The recent KPMG update should be reassuring to many expats. It seems to imply that saving earned before January 1, 2024 will not be taxed, when brought into Thailand after January 1, 2024. It remains unclear if or how this should be reported in Thailand for tax purposes. Feedback appreciated.
Of course you've never been taxable on income remited, it's income earned while being a resident then remited
Very informative video what about The Phillipines ? Is it an interesting destination for 2024
Hi Michael I think you might be wrong when you state that selling international shares that triggers a CGT event is taxed where you reside, most tax friendly countries territorial and Non dom state that foreign shares and CGT are not taxable, same with dividends. Crypto is a different story
how about the those thai elite visa holder, will they be tax on its worldwide income?
It's very unclear weather or not the personal taxation will be based on remittance.
Some of the big 4 offices have analyzed it to still be the case.
What's clear is that money remitted in a +1 year will no longer be exempted
Only money remitted and submitted to Thailand will be taxed😊
Question. If you send money to your wife or girlfriend? Will their have to pay tax on it as an income?
This law needs to be as elaborate as 300-400 pages. Before that nothing set in stone, because Thailands track record for tax change announcement and not changing is so bad.
Whats other territorial tax countries / other alternatives?
Wikipedia has good page with a list. Paraguay is one. Also panama.
Right next door in Malaysia
Your businesses will make you rich but your investments will make you wealthy. The future is inevitable. I pray everyone here becomes extremely successful.
If you are a Thai tax resident and buy something with a foreign credit card in Thailand, do you need to pay tax? 🤔
Is NHR really ending in Portugal?
no is not!
So where now?
@EastAsianExpatRentals thats not a territorial tax system tho, right?
The Moon
It’s better to correct the “remit” part.
If they have no CFC laws, funds can be kept in a foreign corporation forever can’t it? And just leave for a year to repatriate all the funds back?
big brain
Hi, I am an expat and concern about the Thai new tax law. First of all, there are treaties that Thai Government signed with 61 countries that relate to taxation. For an example the treaty between the US and Thai government total of 31 paragraphs, treaty defines US income as the taxable income by the US Federal government except for payment for social benefits (social security payment, railroad retirement payment, and other retirement benefits). This exception is defined in Article 2, Paragraph 1., and sub b and Article 20, paragraph 1. Link to English version of the Treaty.
My interpretation of the Treaty is that for retirement income, it is exception from the new “Thai Tax” law because of paragraphs 2 and 20 already make an exception. Yes, I am still liable for the US tax. For other types of income, tax payment is subject to residency testing.
From the same link, you can access other Treaties both English version and Thai version.
Good point, will the new royal decree overwrite these exemptions?
Just stay there less than 6 months a year and you'll be ok
You need a tax residence somewhere …
@Julian-hp6cb nope u can be nonresident everywhere 😅
@@AusValue Not the case for some citizens. UK for example
Then I simply move from Thailand to Malaysia. Easy peacy 😂 (Thailand lose out big time when people like us leave.)
Keep most in crypto and stay independent from banks. Spend money through crypto credit cards. Continue to be free and ❤ your life!
@@EastAsianExpatRentals lol it’s not just about being careful about banks, you’ll need to avoid literally every non dodgy bank because of KYC laws, they will want to know that you have a tax ID somewhere. Not good advice
Too many farang and yankee retired here have to be taxed heavily with huge landed houses and marry young thais girls in the Kingdom.🎅☻️
tax the farang
Thailand is a cash society when you visit there for holidays
180 days. Make sure you are there for a maximum each year or you will become a tax pumpkin.
This is not a big deal. These videos that are about tax are just making people scared. Everyone has different taxable situation and this video doesnt give facts just more questions
Please expand on the locally sourced income situation, as it makes little sense to me.
I'm with you that the jurisdiction an income is sourced from doesn't automatically tax you -- that's up to the jurisdiction of your tax residency. But when your tax residency specifically excludes non-domestic sources, how does that still end up including non-domestic sources?
😅😅😅 i will just take 20k usd to the airport which is a legal limit
Every country that is not as rich and advancing as Dubai: Let's not do what Dubai does. Let's do the opposite of it!
Why do you think that is?
The prom queen bait and switch 😂😂😂
Can I interest you in a Thai elite visa?? By the way we actually raw worldwide income now.
It's going down the drain and if you compare it to neighbors the country is now meh