Foreign expats in Thailand will now be expected to file income tax for the year 2024 by the end of March 2025. The new tax regime could mean a minimum of 71,000 Thai Baht tax return for some retired expats in Thailand.
The new regulation is an effort of the Thai tax authorities to widen the kingdom’s tax base in order to address the growing older population. The tax will be based on the base income level specified by the Immigration Bureau.
Foreigners are encouraged to seek advice to understand the different agreements regarding double-taxation of their respective home countries. The new rule applies to all income from 1 January 2024. Norway, Sweden, Denmark and Finland all have tax treaties with Finland.
In October 2023 PM Srettha Thravisin announced the new regime and said, that the taxation was aimed at reducing inequality and strengthen the country economically to prepare for future challenges.
The new rule was introduced after a legal loophole was abolished in September 2023, which had allowed expats to not pay income tax in Thailand since 1985. If the foreigner declared, that the income was not earned in the same year, the income was tax-free.
Source: thaiexaminer.com
