Thailand new change - world wide income at Thai tax levels to be taxed

[TheCryptoAnt]

I disagree with you. If Thailand implements new rules & laws you have to respect (we all have to respect), obay or go. I personally decided the third option (go). I am an admirer of Andrew Henderson and "Go where you are treated best", so I already believe I am spending &have spent a fortune in Thailand and whilst I'd like to relax, I always find something to worry. So, better for my self just to move out and do everything by the book and legally 10000%.

HAHAHAHAAHAAHAHAHAHAAHAHAHAHAHAHHHAHAHAAHHAHAHAAHAH LMAO

 

[ecool]

if they give tax excemptions

Malaysia just announced new MM2H visa rules which give exemption for all remitted foreign sourced income, making it again 100% territorial taxation for MM2H holders

 

[wellington]

so you mean if you get dividends, from your company to your name, and you invest them personally they are not getting taxed??? Strange

No, for example.

You are x Shareholder in a company which operates overseas and has a Director.

Instead of forcing said company to liquidate its positions you await until they liquidate their positions / revenues / treasury / investments / profits, this usually occurs in a 5/10 yr cycle.

Therefore you are 'deferred' any compensation in the form of 'dividends'.

Then on the year you get dividends you float around to ensure you have no tax liability (previously could remain in country, be paid in Nov and then remit in Jan tax free) - Now you have to f**k around and ensure you don't spend more than 180+ days in the country or any country in that year.

Then you get the funds remit to Thailand and then can return to Thailand tax free for the amount you've remitted, keeping the bulk offshore, but having enough onshore for 5-10 yrs.

Now a UK Citizen can do this, i am unsure about EU, US, Cad, Aus etc as they have pretty restrictive laws around what they can tax.

I've often pointed out, if such were to change for UK Citizens i'd simply renounce the citizenship as I have:
:- No medical right
:- No Pension right
:- Since recently can vote but vote for what? who?
:- No right for my wife to move
:- No interest in the UK
:- Never visit the UK

Again this is a UK perspective... can't speak for other nationalities.

I thought they will start taxing worldwide income even if not remitted from 2025.

It hasn't been made law, and it's easy to overcome, you don't take income, you defer it (as dividends) and in the year you need to replenish capital onshore you spend 180+ days outside and turn on the pipes, and then return for x amount of years.

This "REALLY" only works for those that have dividends in the higher 6 figs above to millions.

Those living hand to mouth via onshore-offshore company operations will have difficulty as they are not able to set aside enough to cover them for years, therefore would recommend a different approach.

But for the HNWI's its still game on with a minor reorganisation for structuring.

I disagree with you. If Thailand implements new rules & laws you have to respect (we all have to respect), obay or go. I personally decided the third option (go). I am an admirer of Andrew Henderson and "Go where you are treated best", so I already believe I am spending &have spent a fortune in Thailand and whilst I'd like to relax, I always find something to worry. So, better for my self just to move out and do everything by the book and legally 10000%.

You do respect the laws you just meander around the gate posts within the confines of the law -> the details above by me are 'legal' come from one of the top tax advising companies in the World, HLB International, and confirmed in person with the Thai Revenue Department.

------

FYI was talking to my fish supplier yesterday as replenished the pond with 800 fish.

He was on a 100 year blacklist from Thailand over lobsters and competition from a local, was deported and blacklisted god knows how many years ago - was a sad period because i could no longer stock my marine tank once he went.

Anyway I was surprised last week when i walked into a new fish store and he was in there (10 yrs i think we worked out the difference) anyway he was telling me that in Phuket immigration have him as blacklisted for 100 yrs and in Bangkok he isn't listed as blacklisted so goes to show some of the fuckery in the systems, obviously it was a backhander that caused his blacklisting in the first place, and also Central destroyed the locals when they decided to import the canadian lobsters themselves.

Anyway we got talking about Cambodia (where he had been) - it's always perked my interest and i'd like to get a place there and spend some time in the country a year, he was telling me, he was making so much money pre-covid from the Chinese casinos, 100$ an hour cleaning their tanks (obviously had staff doing this) and it was completely cash related enterprises (duffle bags of cash) going into the banks.

I've never actually been there, but there's always this idea in the back of my mind that it would be an ideal fox hole for a few months a year to unwind, also one where there is evidently a lot of opportunity for wealth accumulation.

Obviously Covid is over now -> so business will begin to flourish again -> potentially opportunities for the strapping young lads here that want to make bank over a few years -> Go East Young Boy!

 

[JackieTsan]

Malaysia just announced new MM2H visa rules which give exemption for all remitted foreign sourced income, making it again 100% territorial taxation for MM2H holders

Thank you! can you provide any details please and how one can get it ? Any related post?

No, for example.

You are x Shareholder in a company which operates overseas and has a Director.

Instead of forcing said company to liquidate its positions you await until they liquidate their positions / revenues / treasury / investments / profits, this usually occurs in a 5/10 yr cycle.

Therefore you are 'deferred' any compensation in the form of 'dividends'.

Then on the year you get dividends you float around to ensure you have no tax liability (previously could remain in country, be paid in Nov and then remit in Jan tax free) - Now you have to f**k around and ensure you don't spend more than 180+ days in the country or any country in that year.

Then you get the funds remit to Thailand and then can return to Thailand tax free for the amount you've remitted, keeping the bulk offshore, but having enough onshore for 5-10 yrs.

Now a UK Citizen can do this, i am unsure about EU, US, Cad, Aus etc as they have pretty restrictive laws around what they can tax.

I've often pointed out, if such were to change for UK Citizens i'd simply renounce the citizenship as I have:
:- No medical right
:- No Pension right
:- Since recently can vote but vote for what? who?
:- No right for my wife to move
:- No interest in the UK
:- Never visit the UK

Again this is a UK perspective... can't speak for other nationalities.



It hasn't been made law, and it's easy to overcome, you don't take income, you defer it (as dividends) and in the year you need to replenish capital onshore you spend 180+ days outside and turn on the pipes, and then return for x amount of years.

This "REALLY" only works for those that have dividends in the higher 6 figs above to millions.

Those living hand to mouth via onshore-offshore company operations will have difficulty as they are not able to set aside enough to cover them for years, therefore would recommend a different approach.

But for the HNWI's its still game on with a minor reorganisation for structuring.


You do respect the laws you just meander around the gate posts within the confines of the law -> the details above by me are 'legal' come from one of the top tax advising companies in the World, HLB International, and confirmed in person with the Thai Revenue Department.

------

FYI was talking to my fish supplier yesterday as replenished the pond with 800 fish.

He was on a 100 year blacklist from Thailand over lobsters and competition from a local, was deported and blacklisted god knows how many years ago - was a sad period because i could no longer stock my marine tank once he went.

Anyway I was surprised last week when i walked into a new fish store and he was in there (10 yrs i think we worked out the difference) anyway he was telling me that in Phuket immigration have him as blacklisted for 100 yrs and in Bangkok he isn't listed as blacklisted so goes to show some of the fuckery in the systems, obviously it was a backhander that caused his blacklisting in the first place, and also Central destroyed the locals when they decided to import the canadian lobsters themselves.

Anyway we got talking about Cambodia (where he had been) - it's always perked my interest and i'd like to get a place there and spend some time in the country a year, he was telling me, he was making so much money pre-covid from the Chinese casinos, 100$ an hour cleaning their tanks (obviously had staff doing this) and it was completely cash related enterprises (duffle bags of cash) going into the banks.

I've never actually been there, but there's always this idea in the back of my mind that it would be an ideal fox hole for a few months a year to unwind, also one where there is evidently a lot of opportunity for wealth accumulation.

Obviously Covid is over now -> so business will begin to flourish again -> potentially opportunities for the strapping young lads here that want to make bank over a few years -> Go East Young Boy!

Thank you for your response! To summarize, you are telling that the only way is to be in Th for less than 180 days, correct? I'll definetely do it if they official announce this law and I'm looking for any region around that provides tax excemptions for worldwide income and remited income. Any suggestion of a country that has this when you're becoming a tax resident? besides Malaysia?

 

[ecool]

Thank you! can you provide any details please and how one can get it ? Any related post?

You can search for MM2H on Google. New requirements were announced this week so they are all over the internet and a lot of discussions going on. I’ll not share here to not go offtopic

 

[D0naldDuck]

You are wrong, there is full wordlwide income tax in Phils today; and no tax exemptions, unless you know something that I don't know

Corporate:
"A domestic corporation is subject to tax on its worldwide income. On the other hand, a foreign corporation is subject to tax only on income from Philippine sources."
Source: Philippines - Corporate - Taxes on corporate income

Individual:
"The Philippines taxes its resident citizens on their worldwide income. Non-resident citizens and aliens, whether or not resident in the Philippines, are taxed only on income from sources within the Philippines."
Source: Philippines - Individual - Taxes on personal income

 

[JackieTsan]

Corporate:
"A domestic corporation is subject to tax on its worldwide income. On the other hand, a foreign corporation is subject to tax only on income from Philippine sources."
Source: Philippines - Corporate - Taxes on corporate income

Individual:
"The Philippines taxes its resident citizens on their worldwide income. Non-resident citizens and aliens, whether or not resident in the Philippines, are taxed only on income from sources within the Philippines."
Source: Philippines - Individual - Taxes on personal income

The first one is obvious! A foreign corporation (generic?!) sure will not pay tax if no income inside Phils... nothing to do with tax residents.

For Individual, yes, no tax exepmt so Phils is NOT an option moving out from Th. Need to find a region that does NOT tax ww income; therefore Malaysia at the moment.. (should want to stay around).. Correct?

 

[D0naldDuck]

The first one is obvious! A foreign corporation (generic?!) sure will not pay tax if no income inside Phils... nothing to do with tax residents.

For Individual, yes, no tax exepmt so Phils is NOT an option moving out from Th. Need to find a region that does NOT tax ww income; therefore Malaysia at the moment.. (should want to stay around).. Correct?

Bro aliens, whether or not resident in the Philippines, are taxed only on income from sources within the Philippines.

Are you Filipino? If not, you are an alien. If you are an alien, whether or not resident in the Philippines, you are taxed only on income from sources within the Philippines

 

[Mercury]

Bro aliens, whether or not resident in the Philippines, are taxed only on income from sources within the Philippines.

Are you Filipino? If not, you are an alien. If you are an alien, whether or not resident in the Philippines, you are taxed only on income from sources within the Philippines

@JackieTsan point of view makes sense, he's not an Alien.

 

[JackieTsan]

Bro aliens, whether or not resident in the Philippines, are taxed only on income from sources within the Philippines.

Are you Filipino? If not, you are an alien. If you are an alien, whether or not resident in the Philippines, you are taxed only on income from sources within the Philippines

It's amazing but where it's written?!?!?!

 

[scooterguy]

Bro aliens, whether or not resident in the Philippines, are taxed only on income from sources within the Philippines.

Are you Filipino? If not, you are an alien. If you are an alien, whether or not resident in the Philippines, you are taxed only on income from sources within the Philippines

Do you know if this also applies to foreign investment income?

 

[JackAlabama]

Do you know if this also applies to foreign investment income?

yah phillies also applies this for retirement too. Its more fun in the Philippines for old Jack

 

[JustAnotherNomad]

Malaysia just announced new MM2H visa rules which give exemption for all remitted foreign sourced income, making it again 100% territorial taxation for MM2H holders

The question here is how strict they will be about managing your "foreign" company from Malaysia. MM2H holders aren't allowed to work at all, by the way.
I know people with transparent US LLCs in Malaysia who don't pay tax since it's "foreign" income - which doesn't make any sense.
I have also heard about people on digital nomad visas who have to pay tax, as it's earned in country. Even if the payment is made by a foreign corporation.

 

[JackAlabama]

The question here is how strict they will be about managing your "foreign" company from Malaysia. MM2H holders aren't allowed to work at all, by the way.
I know people with transparent US LLCs in Malaysia who don't pay tax since it's "foreign" income - which doesn't make any sense.

it makes sense. The income comes from outside Malaysia

 

[JustAnotherNomad]

it makes sense. The income comes from outside Malaysia

It doesn't make sense when they simultaneously tax remote workers.
Or, I mean, I get it, you are a remote worker vs. an owner of a foreign business. But the "foreign business owner" could just be a freelancer billing through a US LLC, it's really the same situation as with an employee working for a US employer.

 

[JackAlabama]

It doesn't make sense when they simultaneously tax remote workers.
Or, I mean, I get it, you are a remote worker vs. an owner of a foreign business. But the "foreign business owner" could just be a freelancer billing through a US LLC, it's really the same situation as with an employee working for a US employer.

thats how things work
Malaysia admin is even more in the gutters than Thailand, plus having a weak and very badly run currency on top of all the "normal" mismanagement. (Thb is not "such" a bad fiat currency in the region, especially compared to myr which is pretty much an achievement as Malaysia has Labuan).

 

[wellington]

Update this morning: Navigating new foreign income rules

 

[JackAlabama]

Update this morning: Navigating new foreign income rules

old Jack coming back for vacation soon and enjoying the extra cheap thb thanks to this theater.

 

[A2934]

Malaysia just announced new MM2H visa rules which give exemption for all remitted foreign sourced income, making it again 100% territorial taxation for MM2H holders

But you need to 1) make a huge low-interest bank deposit, 2) are required to purchase real estate (which you are then morevoer not allowed to dispose over the next 10 years) and 3) have to stay at least 90 days per year in Malaysia

Required bank deposit: 150k USD - 1 MM USD (depending on desired via length)
Required property purchase: 600k MYR - 2 MM MYR (depending on desired via length)
Required minimum stay in Malaysia: at least 90 days

(MM2H 3.0 – Here to Stay! | Skrine - Advocates & Solicitors)

 

[ecool]

But you need to make a huge bank deposit, are required to purchase real estate which you are then morevoer not allowed to dispose over the next 10 years and have to stay at least 90 days per year in Malaysia

50% of bank deposit can be withdrawn after MM2H approval for stuff like the property purchase

And yes there are some conditions, but in exchange, you keep living in a territorial tax country. Meaning no tax on foreign sourced income