Revised Tax Rules on Overseas Income

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Under the proposed changes, foreign income remitted to Thailand will be exempt from tax if it is transferred within the year it was earned or the following year.

For instance, income earned in 2025 and remitted in 2025 or 2026 would not be taxed. If the remittance occurs after that period, normal tax obligations would apply.

The new guidelines are designed to accelerate the repatriation of foreign earnings, with the expectation that it will support domestic economic growth.

Mr. Panuwat acknowledged that the current rules have discouraged Thai investors abroad from repatriating funds, prompting the need for reform.

A source from the Finance Ministry, speaking on condition of anonymity, said the taxation of foreign income is based on the residency principle.

Individuals who reside in Thailand for 180 days or more are required to pay tax on global income. This approach, the source added, aligns with international standards set by the Organisation for Economic Co-operation and Development (OECD).

See the full story here https://www.globe.co.th/news/thailand/revenue-department-to-revise-tax-rules-on-overseas-income/

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Revised Tax Rules on Overseas Income