Tax Residency in Thailand: The Basics

The day-count test

Thai tax residency is based principally on how many days you spend in the country during a calendar year. Cross the threshold and you are tax resident for that year, whatever your visa says. Immigration status and tax status are separate questions.

Income brought into Thailand

Historically, a great deal of planning revolved around when foreign income was brought into Thailand. The Revenue Department's interpretation of remitted foreign income has been revised, and the practical effect for retirees living on overseas pensions has been widely discussed since.

Double taxation agreements

Thailand has agreements with the UK, the US and many other countries which determine which country has taxing rights over particular kinds of income. They generally prevent the same income being taxed twice, but they do not automatically mean you owe nothing anywhere.

• Different income types are treated differently — pensions, government pensions, dividends and rental income are not the same.
• US citizens have filing obligations regardless of residency.
• Claiming treaty relief usually requires you to do something, not to sit still.

When to get advice

• Before your first full calendar year in Thailand.
• Before you sell a property or crystallise a large gain.
• Before you start pension drawdown as a non-resident.
• Whenever you hear that the rules have changed — because sometimes they have.