Starting in 2024, Thailand requires foreign retirees who are tax residents (those staying more than 179 days in a year) to pay taxes on foreign-earned income remitted to Thailand, with rates ranging from 0% to 35% based on the progressive personal income tax scale. This change, which includes pensions, may see taxes levied on these incomes, although Double Taxation Agreements (DTAs) between Thailand and many countries can mitigate this, potentially meaning any tax already paid can be credited against any income tax due. Notably, income accumulated in savings in the bank before moving to Thailand won’t be taxed if it was before the individual became a tax resident. Given the complexity of these new regulations, it’s advisable for foreign retirees to consult with tax professionals to navigate these changes efficiently and ensure compliance with Thai tax laws.
You can find out more about Thailand’s tax rates, allowances and deductions here or if you prefer to listen to a short podcast here
