A Guide to Understanding Assessable Foreign-Sourced Income in Thailand

Understanding How Thailand Taxes Foreign-Sourced Income

Thailand’s rules on foreign-sourced income changed after the Revenue Department issued a new interpretation on 15 September 2023. The change applies to income brought into Thailand from 1 January 2024. It affects expatriates, retirees, long-term residents and Thai nationals who earn, save or invest overseas.

This guide explains how the rules work in practice. It sets out what counts as foreign-sourced income, when it becomes taxable and how the timing of remittances shapes your position. It also explains the rule that protects income earned before 1 January 2024.

Foreign-sourced income is often misunderstood. Many people are unsure when income becomes taxable, how remittances are treated and whether the 2024 changes affect them. This guide helps you understand what is taxable, what is exempt and how to plan remittances safely.

For the official rule changes and Revenue Department announcements you can read our summary of the Thailand Revenue Department’s foreign-sourced income update. To understand how Thailand determines who is a tax resident see our guide to Thailand’s tax residency rules.

Key Takeaways

• Thailand taxes foreign-sourced income only when two conditions are met. The income must relate to a year when you were a Thai tax resident and the money must enter Thailand.
• Income earned before 1 January 2024 is protected by the Revenue Department’s clarification and can be remitted into Thailand without Thai tax.
• Income earned in a non-resident year is not taxed when remitted because the residency condition was not met.
• The source of income depends on where the work, activity or asset is located, not where the payment goes.
• ATM withdrawals and foreign card spending in Thailand may be treated as remittances and should be handled with care.
• Clear records for each year of income help prevent accidental mixing and reduce the risk of misunderstanding during a review.
• Double tax agreements may reduce the Thai tax payable when foreign tax has already been paid, provided you keep the correct evidence.

How Thailand Taxes Foreign-Sourced Income

Thailand now taxes foreign-sourced income when it is remitted into the country by anyone who is a Thai tax resident. The rules apply to income earned from 1 January 2024. Income earned before this date is not assessable income when remitted.

The following points explain how the system works in practice.

Thai tax residency is based on spending 180 days or more in Thailand in a calendar year, as explained in detail below.

Foreign income becomes taxable only when it is remitted and it relates to a year when the person was a Thai tax resident, as explained in the remittance section below.

The source of income depends on where the work, activity or asset is located, not where the payment goes. A full explanation of what counts as foreign-sourced income is set out below.

Income Earned Before 1 January 2024

The Revenue Department has confirmed that the new interpretation applies only to income earned from 1 January 2024. Any income earned before this date remains exempt when remitted to Thailand. This protection applies to expatriates and Thai nationals.

Foreign Income for Non-Residents

A person who is not a Thai tax resident is not taxed in Thailand on foreign income. This remains the case even if the money is remitted into Thailand. Foreign income from non-resident years can therefore be remitted without Thai tax.

Double Tax Agreements and Foreign Tax Credits

Thailand has double tax agreements with many countries. These agreements allow foreign tax paid to be credited against Thai tax. Clear evidence of foreign tax paid is required to claim the credit. Our full list of treaties is available on our DTA download page.

Why Timing Matters

The timing of remittances shapes the final tax position. A person can hold foreign income offshore without Thai tax. Tax arises only when the money enters Thailand and the income relates to a tax-resident year.

Careful planning of when income arises and when money is moved can make a significant difference to the outcome.

Who Counts as a Thai Tax Resident

A person’s tax position depends on whether they are treated as a Thai tax resident for the year in question. The rules on foreign-sourced income apply only when the residency test is met, so it is essential to understand how this test works.

How Thailand Determines Tax Residency

A person is a Thai tax resident if they spend 180 days or more in Thailand during a calendar year. The days do not need to be consecutive. The test is based on physical presence in the country. 

Why Tax Residency Matters for Foreign Income

Tax residency determines whether foreign income may be taxed when it enters Thailand. Only income earned in a year when a person is a tax resident can be taxed on remittance. Income earned in a non-resident year is not taxed when brought into the country. 

Mixed Year Situations

Many people move to Thailand part way through a year or split time between countries. Income earned in a Thai tax year is assessable income if remitted.

Residency Is Assessed Each Year

The test resets on 1 January each year. A person may be a tax resident one year and a non-resident the next. Each year is assessed on its own.

Learn More About Residency Rules

For a full explanation of the residency rules and how they apply in different situations see our detailed guide here:

What Counts as Foreign-Sourced Income Under Thai Law

Foreign-sourced income is any income that arises outside Thailand. The rules apply to people with overseas earnings, overseas assets or financial interests held abroad. A clear understanding of the definition is essential because only foreign-sourced income can be taxed on remittance.

Types of Foreign-Sourced Income that May Be Taxed in Thailand

The Legal Principle

Thai tax law treats foreign-sourced income as income that comes from work, business, property, investments or assets located outside Thailand. This includes income from intellectual property held or created abroad. The definition is set out in Section 41 of the Revenue Code and supported by the income categories listed in Section 40.

The source of income depends on where the work, activity or asset is located, not where the payment goes.

Types of Income Treated as Foreign-Sourced

Foreign-sourced income can come from many different activities. The following are the most common examples for people who live in Thailand. 

Employment Income Earned Overseas

This includes salary, freelance income, consultancy fees and director’s fees from work carried out abroad. Income is treated as foreign-sourced if the duties are performed outside Thailand. 

Overseas Business and Self-Employment Income

This includes profits from a business located outside Thailand. It also covers self-employment and contract work where the commercial activity takes place overseas. 

Overseas Rental Income

Rental income from property located outside Thailand is foreign-sourced. This includes houses, flats and commercial units in any other country. 

Investment Returns From Overseas Assets

Investment income from overseas is treated as foreign-sourced. This includes:

• dividends
• interest
• gains on the sale of shares, bonds or funds
• returns from structured products held abroad 

Pensions and Annuities From Abroad

Most foreign pensions are foreign-sourced income. This includes government pensions, occupational pensions and private retirement plans. Annuity payments from overseas sources also fall into this category.

Some pensions receive special treatment under double tax agreements. Government service pensions are often taxed only in the country that pays them. In these cases the pension is not taxed in Thailand when remitted. The rule depends on the treaty that applies to your country of origin. 

Intellectual Property Income From Overseas Sources

Income from intellectual property held outside Thailand is foreign-sourced. This includes royalties, copyright payments, patent income, trademark income and goodwill received from overseas. 

Distributions from Overseas Trusts

Payments from a trust located outside Thailand are foreign-sourced if the trust assets and income arise abroad. 

Digital Asset Income Held Overseas

Income from crypto and digital assets held abroad is foreign-sourced. This includes gains on disposal, staking rewards, mining income and income from platforms or digital assets located outside Thailand.

Income From Online Platforms Based Overseas

Income earned through platforms based abroad is foreign-sourced. This can include advertising revenue, creator payments, digital course sales and other online earnings. 

Transfers That  Fall Outside the Remittance Rule

Some amounts remitted into Thailand do not create a tax charge even though they may be foreign-sourced. These include:

• income earned before 1 January 2024, which is permanently exempt when remitted
• certain government service pensions taxed only in the paying country under double tax agreements
• inheritances and gifts below the relevant thresholds
• personal transfers that do not represent income

These amounts fall outside the remittance rule and do not create a tax liability when transferred to Thailand. 

Why Classification Matters

Foreign-sourced income is taxed only when it is remitted and only if the income was earned in a year when the person was a Thai tax resident. Income that does not meet this definition does not create a tax liability under the remittance rule. Correct classification is essential when planning how and when to move money into Thailand.

How Thailand’s Foreign Income Remittance Rule Works

Thailand taxes foreign-sourced income only when the money enters the country and the income relates to a year in which the person was a Thai tax resident. This is known as the remittance rule.

The principle is simple, yet different types of transfers can trigger tax in different ways. A clear understanding of the rule helps you plan how and when to move money into Thailand. 

In practice, the Revenue Department expects year-by-year tracing showing how income moves from earning → holding account → remittance into Thailand.

The Two Conditions for Tax on Foreign Income

Foreign income becomes taxable only when both of the following are true:

• the income was earned in a year when the person was a Thai tax resident
• the money enters Thailand in the same year or in a later year

If either condition is not met the income is not taxed in Thailand.

Income earned in a non-resident year does not create a tax charge when remitted. 

What Counts as a Remittance

A remittance is any movement of money from outside Thailand to inside Thailand. It does not need to be a formal transfer. Several everyday actions may be treated as remitting income. 

Bank Transfers

A transfer from an overseas bank account into a Thai account is the clearest form of remittance. This includes SWIFT transfers, payments made through online banking and transfers made through payment platforms linked to foreign accounts.

Foreign Debit or Credit Card Spending in Thailand

Using a foreign card in Thailand may be viewed as a remittance because it brings foreign funds into Thailand for spending. The Revenue Department has not issued final guidance on this point, yet the risk increases when spending is large or frequent. A cautious approach is recommended, as under audit this is likely to be deemed remittance.

ATM Withdrawals in Thailand

Withdrawing money from a foreign bank account at an ATM in Thailand is commonly treated as a remittance in practice, as the funds are brought into Thailand for use here.

Cash Brought into Thailand

Carrying cash into Thailand may also count as a remittance if the cash represents income that would otherwise be taxable. Cash is difficult to trace, yet it remains within the scope of the rule.

Crypto and Digital Asset Remittances

Moving crypto between wallets is generally not treated as a remittance by itself; tax risk more often arises when crypto is converted into fiat and the proceeds enter Thailand.

If crypto is transferred to a Thai exchange and sold in Thailand the sale is treated as a realisation in Thailand. The proceeds then count as money remitted into the country and may be taxable if the income relates to a tax-resident year.

Crypto-to-crypto remittances do not create a tax charge unless the crypto is converted into usable funds in Thailand.

Mixed Remittances

A single remittance may include pre-2024 income and income earned after 1 January 2024. This creates a mixedremittance. Clear evidence of the source and timing of each part of the funds is essential.

Without evidence the Revenue Department may treat the entire remittance as taxable. The first in first out (FIFO) analysis may apply when records are unclear.

How the Remittance Rule Affects Your Tax Position

The remittance rule gives people control over when they become liable for Thai tax. Income can be held offshore without Thai tax. Tax arises only when the money enters Thailand and the income relates to a tax-resident year. Careful planning helps avoid accidental remittances and supports clear compliance with the rules.

Real Examples of How Remittance Timing Affects Tax

Clear examples help show how the timing of income and the timing of a remittaance shape the final tax position.

Example 1: Income Earned in a Non-Resident Year

A person worked overseas in 2023 and moved to Thailand in mid-2024. The 2023 income was earned in a year when the person was not a Thai tax resident. The money can be remitted to Thailand at any time without Thai tax.

Example 2: Income Earned in a Thai tax year

A person moved to Thailand in February 2024 and reached 180 days in late July. Salary earned in all of 2024 is treated as income earned in a tax-resident year. If this money enters Thailand, it may be taxed. This example assumes the individual meets the 180-day tax residency threshold for the year; Thailand does not prorate tax residency by partial year.

Example 3: Income Earned as a Tax Resident but Not Remitted

A person lived in Thailand throughout 2024 and earned dividends in an overseas account. The dividends remained offshore. No Thai tax arises because the money did not enter Thailand.

Example 4: Gain Realised Offshore, Later Remittance

A person sold shares in an overseas account in 2024 while a Thai tax resident. The proceeds remained abroad until 2026. When the money enters Thailand in 2026 the gain may be taxed because the income arose in a tax-resident year. 

Example 5: Mixed Income in One Remittance

A person held cash savings from before 2024 and also earned new income in 2024. The person transferred a single amount to Thailand in 2025. The pre-2024 funds are exempt. The 2024 income may be taxed. Clear records are needed to show the source of each part of the remittance. 

Example 6: Crypto Sold Offshore, Proceeds Remitted

A person sold crypto on an offshore exchange in 2024 while a Thai tax resident. The fiat proceeds remained abroad until later in the year. When the proceeds enter Thailand the gain may be taxed because the income arose in a tax-resident year.

Pre-2024 and Post-2024 Income: The Critical Distinction

The most important part of the current rules is the distinction between income earned before 1 January 2024 and income earned after this date. The Revenue Department confirmed this position in its announcements issued in September 2023 and updated throughout 2024. This distinction determines whether foreign income becomes taxable when the money enters Thailand.

Income Earned Before 1 January 2024

Income earned before 1 January 2024 is exempt when remitted to Thailand. The Revenue Department has confirmed that the change in interpretation does not apply to earlier years.

This protection covers salary, investment income, pensions, rental income, business profits, trust income and gains on overseas assets realised before 2024 and in a cash account.

To rely on this exemption a person must be able to show clear evidence of when the income arose.

Useful forms of evidence include:

• overseas bank statements showing the date the money was received
• payslips, dividend vouchers or tax statements
• sale contracts for assets sold before 2024
• investment platform statements
• pension statements confirming payment dates

Without evidence the Revenue Department may treat the remittance as taxable. 

Income Earned From 1 January 2024 Onwards

Income earned from 1 January 2024 onwards may be taxed in Thailand when it enters the country. The tax applies only if the income was earned in a year when the person was a Thai tax resident.

Foreign income earned in a tax-resident year and later remitted creates a tax charge.

Foreign income earned in a non-resident year remains outside the scope of Thai tax even if remitteded later.

Timeline Examples

• A person earned dividends in 2024 while a tax resident. The dividends remained offshore until 2026. The dividends may be taxed in 2026 when the money enters Thailand.
• A person worked overseas in early 2024 and moved to Thailand in August. Income earned in that whole tax year, if remitted, is assessable income.
• A person sold overseas shares in March 2025 while a tax resident. The person remitted the proceeds to Thailand later in the year. The gain may be taxed in the year of the remittance. 

Moving to Thailand in 2024 or Later

People who moved to Thailand after the rule change need to plan their remittances carefully to avoid accidental tax charges. 

How to Handle Savings

Savings from before 2024 can be remitted to Thailand without Thai tax. Clear evidence of the dates and sources of these savings is essential. Keeping pre-2024 savings in a separate account makes this easier to demonstrate. Mixing older savings with new income should be avoided because clean accounts lead to cleaner outcomes.

Structuring Remittances

A person who expects to become a Thai tax resident should plan the timing of remittances. Useful steps include:

• checking the date income arises
• delaying transfers if the income relates to a tax-resident year
• keeping funds in separate accounts by year
• remitting pre-2024 savings first

This approach reduces the risk of creating a taxable remittance once tax residency is reached. 

Avoiding Accidental Mixing

Mixed remittances create practical problems. When older savings and new income sit in the same account it may be difficult to show which part of a transfer relates to each period.

If exact tracing is not possible the analysis may follow a first in first out approach:

• older funds are treated as being withdrawn first
• newer income is treated as remaining in the account

Thailand has not issued detailed rules on this point, yet FIFO is a reasonable and widely recognised method of analysing mixed accounts.

Official TRD Clarifications You Should Know

The Revenue Department has issued several announcements and explanatory notes that define how foreign-sourced income is taxed. These documents confirm the timing rules, the treatment of pre-2024 income and the approach to income remitted into Thailand. They form the official basis for the current interpretation of Section 41 of the Revenue Code.

Order Por.161/2566

Order Por.161/2566 introduced the revised interpretation of Section 41. It confirmed that foreign income earned in a year when a person is a Thai tax resident becomes taxable once the money enters Thailand.

This marked a significant shift from the older approach, which focused on whether the income was earned in the previous year. The announcement established the framework for the current remittance rule.

Order Por.162/2566

Order Por.162/2566 confirmed that the revised interpretation does not apply to income earned before 1 January 2024. This point is critical because it protects all pre-2024 income from tax when remitted to Thailand.

The Revenue Department stated that it did not intend the change to apply retrospectively and issued Por.162 to remove any uncertainty about earlier years.

TRD Guidance Issued in 2024

Throughout 2024 the Revenue Department issued additional guidance to clarify practical issues. One of the most useful documents was How Do Foreigners Pay Tax.

This guidance confirmed:

• the definition of a Thai tax resident
• the scope of foreign-sourced income
• the protection for income earned before 1 January 2024
• the role of double tax agreements
• the requirement to declare assessable income that enters Thailand

The Revenue Department has not yet issued detailed guidance on foreign card spending or ATM withdrawals. These actions may be viewed as bringing foreign income into Thailand, so the risk remains until further clarification is provided. 

Where To Find a Full Explanation

For a complete breakdown of the announcements, including translations and examples, see our detailed article on the Thailand Revenue Department’s foreign-sourced income update. It explains how each announcement applies in practice and provides the legal context behind the current rules.

Practical Tax Scenarios for Foreign-Sourced Income

These simple examples show how the remittance rule applies in everyday situations. Each scenario highlights the importance of timing and residency.

Scenario A: Returning Thai National with Overseas Savings

A Thai national worked overseas and built savings before 2024. These savings can be remitted into Thailand without Thai tax. The Revenue Department has confirmed that income earned before 1 January 2024 falls outside the scope of the rule change. Bank statements and payslips that show when the money was earned help support this position.

Scenario B: Returning Thai National with Foreign Pension Income

A Thai national returns to Thailand and begins receiving a pension from overseas employment. The pension is foreign-sourced income and may be taxed in Thailand when the money enters the country if the payments relate to a tax-resident year.

Some pensions receive special treatment under double tax agreements. Government service pensions are often taxed only in the country that pays them. A returning Thai national should check whether a treaty rule applies before remitting the income.

Scenario C: UK Retiree with Pensions and Investments

A UK retiree receives a UK State Pension, a private pension and dividends from an overseas portfolio. The UK State Pension is foreign-sourced income and may be taxed in Thailand when the money enters the country. A UK government service pension is treated differently and is taxed only in the UK under the tax treaty.

A private pension may be taxed when remitted. Dividends and other investment income may also be taxed if the income arose in a tax-resident year. UK tax withheld on investment income can be credited against Thai tax if the retiree keeps the relevant documents. Foreign income from these types of sources can be held overseas without Thai tax until the money is remitted to Thailand.

Scenario D: Digital Nomad Working Remotely in Thailand

A digital nomad living in Thailand may have income from different types of work. Income from work carried out in Thailand is Thai-sourced and must be declared in Thailand even if it is paid into an overseas account. Income from work carried out outside Thailand is foreign-sourced. It becomes taxable only when the money enters Thailand and the income relates to a tax-resident year.

A digital nomad must avoid a common mistake: working in Thailand while being paid overseas and assuming that this income is foreign-sourced. The source depends on where the work is performed. Clear records of the location of work help support the correct treatment.

Scenario E: Investor With Overseas Property and Dividends

An investor owns a rental property and a share portfolio outside Thailand. Income received before the investor becomes a Thai tax resident can be remitted into Thailand without Thai tax. Income received in a year the investor reaches the 180 day threshold may be taxed when the money enters Thailand. Foreign tax paid on rental income or dividends can be credited against Thai tax if the investor keeps the relevant certificates.

Scenario F: Crypto Holder Remitting Fiat to Thailand

A person holds crypto in an offshore wallet. The crypto is sold on an overseas exchange in a year when the person is a Thai tax resident. The fiat proceeds may be taxed when the money enters Thailand. If the person transfers the crypto to a Thai exchange and sells it in Thailand the tax charge arises at the point of sale. Moving crypto between wallets does not create a tax charge. The charge arises when crypto is converted into usable funds in Thailand.

Double Tax Agreements and Foreign Tax Credits

Thailand has double tax agreements with many countries. These agreements help prevent the same income from being taxed twice. They are essential for anyone who earns income overseas and later brings that income into Thailand.

Why DTAs Matter

A double tax agreement sets out which country has the right to tax a specific type of income. It also explains how foreign tax already paid can be credited against Thai tax. This protects people from paying tax twice on the same income.

DTAs are especially important for pensions, dividends, interest and rental income.

Readers can view all of Thailand’s double tax agreements here.

Our video guide explains how DTAs work and how they help reduce double taxation.

We also provide DTA summaries for specific countries for readers who need country-level detail. You can find the full index here.

When You Can Claim Foreign Tax Credits

A foreign tax credit is available when foreign income has already been taxed overseas and the same income becomes taxable in Thailand when remitted. The credit reduces the Thai tax charge by the amount of foreign tax paid, subject to the limits set by the relevant treaty.

Examples

• United Kingdom
  UK withholding tax on dividends can be credited against Thai tax. A UK government service pension is taxed only in the UK under the tax treaty and is not taxed in Thailand.
• United States
  US tax paid on dividends or certain investment gains may be credited if the income is taxed in Thailand on remittance.
• European countries
  Many EU countries apply withholding tax to dividends and rental income. Thai taxpayers can claim a credit when these amounts later enter Thailand, provided the income is taxable on remittance.

The foreign tax credit applies only when the same income is taxed in both countries. Clear evidence of foreign tax paid is essential.

Documents You Need to Claim a Foreign Tax Credit

A person must keep evidence of tax paid overseas to claim a credit in Thailand. Helpful documents include:

• tax payment certificates
• investment platform statements showing withholding
• brokerage summaries
• dividend vouchers
• pension payment statements
• rental tax assessments issued by overseas authorities

These documents must match the amounts declared in Thailand when the income is remitted.

Special Regimes and Exemptions

Certain visa categories and incentive programmes provide special tax treatment for foreign-sourced income. These regimes do not remove all tax obligations but can reduce or limit tax on specific types of income. The rules vary by category, so each programme must be reviewed carefully. 

LTR Visa Rules

The Long-Term Resident (LTR) visa offers special benefits for qualifying individuals. Some LTR categories give favourable treatment for foreign-sourced income. The exemption applies only to categories where the person has qualifying overseas income and meets all LTR conditions.

This is not a blanket exemption for every LTR holder. Each category has its own qualifying criteria, evidence requirements and scope of coverage.

LTR holders should review the conditions for their specific category to understand which types of income are covered and when the exemption applies.

Thailand Privilege Membership

Thailand Privilege membership does not change the rules on foreign-sourced income. Members remain subject to the standard tax rules. Foreign income earned in a tax-resident year may be taxed when it enters Thailand unless a specific exemption applies under another regime.

Thailand Privilege benefits relate to lifestyle, immigration convenience and long-term entry rather than tax treatment.

BOI and Other Incentive Programmes

Some Board of Investment (BOI) packages offer tax incentives for qualifying business activities. These incentives normally apply to income earned from approved operations in Thailand. They do not usually change the treatment of foreign-sourced income.

Other special programmes may give exemptions for specific activities or sectors, yet these exemptions are limited and should not be relied on without detailed advice.

Record Keeping, Evidence and Audit Protection

Good record keeping is essential for anyone who brings foreign income into Thailand. The Revenue Department expects taxpayers to show when income arose, where it came from and how each remittance was made. Clear evidence makes it easier to apply the rules and reduces the risk of errors during a review or audit. You may find our guide on record keeping helpful.

Why Evidence Matters

Thailand taxes foreign-sourced income only when specific conditions are met. A person must therefore be able to show:

• when the income was earned
• whether the income arose in a tax-resident year
• when the money entered Thailand
• whether the income qualifies as pre-2024 income

Weak or incomplete records can lead the Revenue Department to treat a remittance as taxable when it may not be. Strong evidence supports the correct outcome.

Best Practices for Bank Remittances

Bank remittances are the most common way money enters Thailand.

A person should keep:

• overseas bank statements showing when income was received
• Thai bank statements showing when the money arrived
• SWIFT confirmations
• transfer receipts
• screenshots from banking apps
• statements showing currency conversion rates

Keeping these records in a secure folder or digital archive makes future reference easy and supports clear compliance. 

Evidence for Pre-2024 Income

Income earned before 1 January 2024 is exempt when remitted. Clear evidence is important because the Revenue Department may view a remittance as taxable if the person cannot show that the funds came from this earlier period.

Useful evidence includes:

• payslips
• dividend vouchers
• tax returns
• investment statements
• sale contracts for assets sold before 2024

A separate bank account for older savings makes the exemption easier to demonstrate. 

Segregating Funds to Avoid Mixing

Keeping different years of income in separate accounts reduces the risk of mixed remittances. Mixed accounts are harder to explain. When older funds and newer income sit together a person may need to rely on first in first out analysis. This method treats older funds as being withdrawn first when traceability is unclear. Using separate accounts for each year remains the safest approach. 

Audit Red Flags

Some patterns attract closer attention from the Revenue Department.

These include:

• large unexplained remittances
• frequent remittnances from overseas accounts
• repeated use of foreign cards in Thailand
• ATM withdrawals that do not match declared income
• gaps between declared income and lifestyle spending
• large crypto cash outs or fiat transfers from exchanges

Good records help address these red flags and support the correct tax treatment.

Secure Storage of Important Documents

All evidence should be stored securely. Our encrypted client portal provides a safe place to upload bank statements, tax documents and financial records. Keeping everything in one protected location prevents loss and helps ensure smooth filing in future years.

Myths and Common Mistakes

Many people misunderstand how Thailand taxes foreign-sourced income. These four points clear up the mistakes we see most often.

Myth 1: ‘Foreign Income Is Untaxed If I Keep It Abroad’

Foreign income is not taxed in Thailand while it is kept offshore. The tax arises only when the money enters Thailand. The common mistake is assuming the income will stay tax-free even if it is later remitted. If the income was earned in a tax-resident year it may become taxable the moment it is transferred to Thailand. 

Myth 2: ‘ATM Withdrawals and Foreign Card Spending Are Safe’

Withdrawing money from an overseas account in Thailand or spending on a foreign card brings foreign funds into the country. These actions may be treated as remittances. The Revenue Department has not issued final guidance, so these methods remain risk areas and should be approached with caution. 

Myth 3: ‘Paying Tax Overseas Removes All Thai Tax’

Foreign tax paid abroad may reduce Thai tax but does not remove it unless the double tax agreement gives exclusive taxing rights to the other country. A foreign tax credit is available only when the same income is taxed twice. Clear evidence of tax paid is required before a credit can be claimed.

Myth 4: ‘Crypto Cannot Be Taxed Because It Is Hard to Trace’

Crypto is taxed when it is converted into usable funds. The tax trigger arises when crypto is sold for fiat or when the proceeds enter Thailand. Moving crypto between wallets does not create a tax charge. Selling crypto on a Thai exchange creates a taxable event at the point of sale.

Get Support from Expat Tax Thailand

Understanding how foreign-sourced income is taxed can feel complex, especially when the rules depend on timing, residency and the movement of funds. Our team is here to guide you through each step and help you apply the rules to your own situation with confidence.

If you would like help with your tax position you can book a free consultation with one of our advisors. We will explain how the rules apply to your income, what evidence you need and how to plan future transfers.

If you want clarity, reassurance or practical help, our team is ready to support you. A short call is often enough to confirm whether your transfers are taxable or exempt.