2023-09-26T17:02:38

Taxes

Local Thai Tax

Income received from overseas investments include: Profits from trading securities (Capital Gain) and/or dividends. If this income is received in Thailand in the same tax year (calendar year), the client is obligated to include it in the tax income with the Revenue Department for tax purposes.

Example

If the money deposited abroad is 1,000,000 baht in 2022.
And the shares are sold in 2022 with a capital gain of 500,000 baht.
Then the total comes to 1,500,000.

  1. If it is decided to withdraw 900,000 baht back to Thailand in 2022:
    • There will be no tax reduction as the principal amount brought back results in a balance of 600,000 baht.
    • (Principal amount 100,000 baht with profit of 500,000 baht)
  2. If it is decided to withdraw a further 100,000 baht back to Thailand in 2022:
    • There will be no tax reduction as the principal amount brought back results in a balance of 500,000 baht.
    • (Principal amount 0 baht with profit of 500,000 baht)
  3. If it is decided to withdraw the whole 1,500,000 baht back to Thailand in 2022:
    • There is a tax that must be paid because of the 500,000 baht income that is brought back to Thailand. The tax must be combined with personal income tax for the Revenue Department.

The income that is received as Capital Gain/Dividend/ Interest Rate in the same calendar year, must be included in personal income tax for the Revenue Department (from the date of transaction).

*In the case of complications regarding income tax payments, please consult with a dedicated tax professional.

Foreign Tax

For income received from overseas investments as capital gains and/or dividends, if this income is received in Thailand in the same tax year (calendar year), client is obligated to include it in the tax income with the Revenue Department for tax purposes.

For income through Capital Gain:

  • Capital Gains are not subject to tax.

For income through Dividends:

  • Dividend tax rates will differ depending on the country. Most will range between 0-37%.

Services for dividend tax filing for US stock exchanges

U.S. Relief at Source is a tax reduction service for dividends that are from U.S. securities and the U.S. Tax report is for reporting income and to provide tax information to the U.S. Internal Revenue Service (IRS). The mentioned services are available to customers who have foreign accounts and are interested in filing tax information for receiving dividends from U.S. securities throughout the year.