Thailand tax update 20/11/23

[Amandograde]

Try 1ok imo; most Thais don't pay taxes or get paid too little so their tax obligation is low.

Want me to pay taxes? Eliminate the two-tier payment system and let me use public services. Additionally, make Elite holders elegible for citizenship instead of forever tourists.

yah that sounds reasonable.

 

[pomo]

If income is taxable even on elite, does it make sense to pass it through an umbrella corp on a work visa instead? The tax rate would be the same and it would allow you to apply for PR after three years (and access to social security whatever it's worth).

 

[wellington]

Will foreign investors still be wooed?

This is my last article for 2023. Appropriately, I should write about the 2024 economic outlook but I have decided to postpone that to be the first article of 2024 as the analysis might be too unpleasant to digest right now. However, I will leave a

www.bangkokpost.com

Thailand and Foreign Investment -> As Thailand is on the 'older' side of the monsoon region demographics this makes sense, but i'd hazard it's more to do with Thailand warming to the US, and China's slow-down.

If income is taxable even on elite, does it make sense to pass it through an umbrella corp on a work visa instead? The tax rate would be the same and it would allow you to apply for PR after three years (and access to social security whatever it's worth).

Moment you stop paying Social Security, you are not entitled to the perks as a foreigner.

That's my understanding, it's kinda like Dubai in respect, come, pay in, then leave.

I know i still have a TIN from 2012 (i give it to anyone that asks) but i don't believe i am entitled to any form of social security.

yah that sounds reasonable.

Something like 4% pay taxes, the rest is earned from vat, import taxes, etc.

Ultimately the middle class, and the wealthy class pay taxes.

I was speaking with a Friend Fiiday night.

Villas/condos have been sitting empty (Russian's bought en-mass but couldn't rent out and their prices are too high for the market demand).

In addition a few local businesses (expats) who referred to September being busier than December, in addition, lots of tourists walking around but not spending.

 

[pomo]

Moment you stop paying Social Security, you are not entitled to the perks as a foreigner.

That's my understanding, it's kinda like Dubai in respect, come, pay in, then leave.

I know i still have a TIN from 2012 (i give it to anyone that asks) but i don't believe i am entitled to any form of social security.

If you have been paying in to SS for one year you can continue as a member even if you leave your employment.
Granted, you still have to pay the ~500 thb per month but it shouldn't matter what visa type you have.
That gives you access to public healthcare, for what it's worth. Maybe a decent fallback for a retiree once private insurance becomes unaffordable.

 

[Frank in Bangkok]

If there's one thing I've learned about this country it's that it's very mismanaged ... so most folks might be able to finesse it without much issue.

I'm in Thailand 20 years ... I agree with @TheCryptoAnt.
Small and personal matters; no one seems to notice or to care.
Big amounts likely a different story, but I have no experience.

Lawyers mostly worthless; trained only to fill in forms.
I don't depend on them for any advice.

Lots of chatter from my fellow expats about bribes.
I don't subscribe to that method of getting things done.
Prepare forms correctly, be patient sitting and waiting for your number to be called (I bring a book to read), and that's all it takes.

Am I missing something?
On this topic, why is nobody talking about gift cards from crypto in Thailand??

I've never used them, but they are available for supermarkets, meal deliveries from restaurants, department stores, computers and mobile phones, and much more. Even the Thailand version of Amazon (called "Shoppee" here) accepts gift cards.

Here's a link: Bitrefill in Thailand

And as "e" cards in a mobile phone app, so convenient.

As tax laws are imposed -- assuming the laws will be enforced -- will gift cards become the "new cash" for expats living in Thailand?

 

[Why]

If you have been paying in to SS for one year you can continue as a member even if you leave your employment.
Granted, you still have to pay the ~500 thb per month but it shouldn't matter what visa type you have.
That gives you access to public healthcare, for what it's worth. Maybe a decent fallback for a retiree once private insurance becomes unaffordable.

Interesting fact, I wasn't aware of that.
Alternatively, would there be a way to register even as not employed and make a voluntary contribution?

 

[pomo]

Interesting fact, I wasn't aware of that.
Alternatively, would there be a way to register even as not employed and make a voluntary contribution?

Not as far as I know. Only workaround I can think of would be to "work" for one of those umbrella corporations for a year, but the overhead will be significant (cost of Non-B visa, their fee and tax on minimum salary), most likely 500-600 USD per month.

 

[Why]

Not as far as I know. Only workaround I can think of would be to "work" for one of those umbrella corporations for a year, but the overhead will be significant (cost of Non-B visa, their fee and tax on minimum salary), most likely 500-600 USD per month.

yeah not worth it. I know one of those who is offering non-B + work permit but they can only onboard (foreign) companies as they need to invoice. They fee is THB 100K for the yearly paperwork (with a cumulative discount each year) + a fixed rate os THB 15K/month. They are a legit BOI service provider.