Question 1

I received a transfer from a family member that was tax paid in the original country. What process should it go through to prove that the tax was paid in the original country?

Chas Begley · Accepted Answer

This may potentially be classed as a gift. If this was a gift and it will not be returned, you need written evidence of this. It is advisable that you get a gift document drawn up to prove that it is a gift that does not need to be returned.

Learn more about Gifts and Taxation in Thailand

Question 2

What is the personal tax allowance in Thailand?

Accepted Answer

In Thailand, the personal tax allowance system incorporates a range of deductions and allowances aimed at reducing taxable income for individuals, including both residents and foreign residents. Standard allowances include personal and spouse allowances of 60,000 Baht each, provided the spouse does not file their own return. Additionally, there is a 30,000 Baht allowance for each child, with an extra 30,000 Baht for the second child born in or after 2018. Deductions for the care of dependent parents or a disabled or incapacitated person offer 30,000 Baht and 60,000 Baht respectively. For employment income, a standard deduction of 50% up to 100,000 Baht is permitted. Other specific deductions cover life and health insurance premiums, contributions to retirement and savings funds, mortgage interest, and charitable contributions, among others. Notably, the system also allows for tax deductions related to health insurance premiums, including premiums for the taxpayer and their parents, with varying limits. The detailed structuring of these allowances and deductions is designed to offer tax relief based on personal circumstances and financial commitments.

Question 3

I have an international medical insurance policy, can I use this a deductible?

Chas Begley · Accepted Answer

No. Only Thai registered medical insurance plans, can be used as a tax deductible.

Question 4

My wife and I are over 65 what is our tax allowance, I read I get a THB190k exemption is that on top of my allowance?

Chas Begley · Accepted Answer

The 190k is on top of the 60k personal allowance.

The spouse allowance is if they are not working and you want to file jointly.

So if you and your wife are over 65

190k
60k
60k

THB310k of assessable income can be remitted before the tax brackets.

Plus any other deductions or allowances (like Thai medical insurance)

Then the first 150k is tax exempt. So you can in effect bring in 460k THB of foreign sourced income or assessable income and not pay tax.

You do have to file if the income is greater than 220k jointly.

Question 5

Paying for International school fees can be costly.... if i remit the funds directly to the school bank account is  that amount part of my taxable income?? As the receiving bank similar to question 1 is not myself (not reflected on statement in Bangkok Bank) but the schools. These are significant amounts with schooling costing 300,000 THB + per child then quickly reaching higher tax brackets, the tax relief per child is tiny as it doesn't factor in those sending funds covering Intl schools!

Chas Begley · Accepted Answer

You get the child allowances already in your tax return. If you remit foreign sourced income to the school for school fees or any other purpose to anyone in Thailand, it is assessable income and potentially taxable, even if you send to a third party.

Question 6

Can I claim allowances for stepchildren on my Thai tax return?

Chas Begley · Accepted Answer

If you are legally married and the biological parent is not claiming the children as dependents, you can claim allowances for up to three stepchildren.

Question 7

Is it true that remittances to Thailand below 220,000 baht annually do not require a tax ID or tax return?

Chas Begley · Accepted Answer

If you are a Thai tax resident, you need to file a tax return only if:

You have domestic income, e.g., rental income or salary.
You remit foreign-sourced income exceeding ฿220,000 (married) or ฿120,000 (single).

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