Sorry, I thought I might be able to answer a few q's having just joined, but some of you are so well informed, I'm afraid I have a few q's of my own.
Does anyone know what the official rule is on tax liability for income received from renting out your own house or condo. I'm not talking about been ultra honest here and declaring cash received for short term rentals but if someone pays you directly to your thai bank a/c, what powers do the taxmen have here. anyone have experience or paying tax ?. if the answer is just stay quiet, then great to hear that also.
thx
bamber
Tax liability
Hello Paul,
I'm not that well informed on it but have been told by an accountant that Inland Revenue here, never look at your bank account, business or personal. Maybe because a lot of businesss is done cash here.
Please check that, it may be wrong.
Also tax in Thailand is 'self-assessment', you need to submit the forms yourself/with your accountant.
This website is useful:
http://www.rd.go.th/publish/6045.0.html
If you are renting out a house via a Limited Company it would be classed as Corporation Tax (as the house is a company asset), this means different forms etc from personal tax.
Check with the solicitor who is a sponsor on this site, he has accountants etc.
Burger
I'm not that well informed on it but have been told by an accountant that Inland Revenue here, never look at your bank account, business or personal. Maybe because a lot of businesss is done cash here.
Please check that, it may be wrong.
Also tax in Thailand is 'self-assessment', you need to submit the forms yourself/with your accountant.
This website is useful:
http://www.rd.go.th/publish/6045.0.html
If you are renting out a house via a Limited Company it would be classed as Corporation Tax (as the house is a company asset), this means different forms etc from personal tax.
Check with the solicitor who is a sponsor on this site, he has accountants etc.
Burger
Just to expand a little and this is only relevant if you're a Brit, but I recently read that the British IR were going to get tough with nationals who rented accommodation out abroad. They want to get their sticky fingers on some tax as well. Apparantly, they're talking about an amnesty for a few months and those who come forward will only have to pay, say, 10% of their back tax liability. After that, it's the full whack.
I don't know how they intend to track you down and I should emphasise that the tax only applies to those domiciled in Britian. If you're a Brit and live here (you're allowed either 90 or 120 days a year in the UK to classify yourself as non-resident) then you're not liable for any tax.
If you're interested, I'll try and dig the article out of archives.
I don't know how they intend to track you down and I should emphasise that the tax only applies to those domiciled in Britian. If you're a Brit and live here (you're allowed either 90 or 120 days a year in the UK to classify yourself as non-resident) then you're not liable for any tax.
If you're interested, I'll try and dig the article out of archives.
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bambergasgoigne
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- Joined: Tue Apr 24, 2007 5:13 am
Thx so far.
It would appear then that the norm is not to self declare any income. (on this sort of personal part-time ad-hoc basis). To do so, would only bring attention to myself by the sound of it. The money going into the bank gets spent by me here anyhow, and I could always claim it was spent renovating the property (although I wouldnt have any receipts to prove it). Im not too worried about what revenue at home try to do, as I can't see them coming across a Thai Bank a/c. (but who knows - maybe in a few years with technology - they will).
Bamber
(whose Paul, Burger ?)
It would appear then that the norm is not to self declare any income. (on this sort of personal part-time ad-hoc basis). To do so, would only bring attention to myself by the sound of it. The money going into the bank gets spent by me here anyhow, and I could always claim it was spent renovating the property (although I wouldnt have any receipts to prove it). Im not too worried about what revenue at home try to do, as I can't see them coming across a Thai Bank a/c. (but who knows - maybe in a few years with technology - they will).
Bamber
(whose Paul, Burger ?)
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bambergasgoigne
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- Joined: Tue Apr 24, 2007 5:13 am
Burger, just read info from your tax link. Info is exactly what I was looking for. Thats great, thx.
It would appear that the official liability is 30% less some deductions and allowances. If anyone ever came knocking on the door, it might be nice to say that you had paid some taxes, so Im changing my position and going to discuss with an accountant what is the best proposal.
If anyone else who has just picked up this topic, thinks Im been far too European and careful, pls tell me, and I might revert to keeping my head down and saying nothing.
Bamber
It would appear that the official liability is 30% less some deductions and allowances. If anyone ever came knocking on the door, it might be nice to say that you had paid some taxes, so Im changing my position and going to discuss with an accountant what is the best proposal.
If anyone else who has just picked up this topic, thinks Im been far too European and careful, pls tell me, and I might revert to keeping my head down and saying nothing.
Bamber
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appleman_thai
- Amateur
- Posts: 48
- Joined: Tue Jul 26, 2005 8:26 pm
- Location: Dublin, Ireland
Tax
I opened a recent discussion on this before.
Your answer is here!
http://www.huahinafterdark.com/forum/vi ... php?t=5880
I am renting out my condo in Cha-am and the agent actually starting paying the tax himself - before I was even consulted.
It was explained to me that the Thai revenue were chasing them to pay tax on behalf of their clients!!!
Your answer is here!
http://www.huahinafterdark.com/forum/vi ... php?t=5880
I am renting out my condo in Cha-am and the agent actually starting paying the tax himself - before I was even consulted.
It was explained to me that the Thai revenue were chasing them to pay tax on behalf of their clients!!!
www.geroreilly.com
Former Expat in Cha-am - now back in Ireland!
Former Expat in Cha-am - now back in Ireland!
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bambergasgoigne
- Member
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- Joined: Tue Apr 24, 2007 5:13 am
Appleman
thx for link to your thread. do you believe your agent, or he is just taking a bit more off the top from you. ?. Will you get to see his tax returns for your Villa!!!.
What sort of return are u getting 4 your Villa in Cha am.
and what is so wrong with Ireland on your return. I thought it was supposed to be a warm and welcolming country for everyone. Remember you will never survive it if you compare costs and lifestyle to Thailand. You have to let Thailand go if you have any chance of settling back into a country like Ireland. And don't expect 'les femme' to be as warm and smiley smiley as you might have got used to. Look at the bright side. Theres always my good ole broadcasting friend - Gay Byrne !.
Bamber
thx for link to your thread. do you believe your agent, or he is just taking a bit more off the top from you. ?. Will you get to see his tax returns for your Villa!!!.
What sort of return are u getting 4 your Villa in Cha am.
and what is so wrong with Ireland on your return. I thought it was supposed to be a warm and welcolming country for everyone. Remember you will never survive it if you compare costs and lifestyle to Thailand. You have to let Thailand go if you have any chance of settling back into a country like Ireland. And don't expect 'les femme' to be as warm and smiley smiley as you might have got used to. Look at the bright side. Theres always my good ole broadcasting friend - Gay Byrne !.
Bamber
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appleman_thai
- Amateur
- Posts: 48
- Joined: Tue Jul 26, 2005 8:26 pm
- Location: Dublin, Ireland
tax
Bamber,
Yes, he is filling out the tax forms and will provide me with the proof. I dont really trust him at all but I dont have much choice at the moment. ANyway, he seems to be doing a decent enough job.
Returns are fairly crap to be honest. Nothing like what was promised. Expecially considering the risks involved etc.
However, I knew what I was getting into so i cant really complain too much.
It will make a nice place to retire to!.
Since I have been home I havent settled at all. But I will. I suppose posting on here doesnt help at all. But I need to start working first!
Fingers crossed something will come up soon!
PS - do you really know Uncle Gaybo?
Yes, he is filling out the tax forms and will provide me with the proof. I dont really trust him at all but I dont have much choice at the moment. ANyway, he seems to be doing a decent enough job.
Returns are fairly crap to be honest. Nothing like what was promised. Expecially considering the risks involved etc.
However, I knew what I was getting into so i cant really complain too much.
It will make a nice place to retire to!.
Since I have been home I havent settled at all. But I will. I suppose posting on here doesnt help at all. But I need to start working first!
Fingers crossed something will come up soon!
PS - do you really know Uncle Gaybo?
www.geroreilly.com
Former Expat in Cha-am - now back in Ireland!
Former Expat in Cha-am - now back in Ireland!
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migrant
- Addict
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- Joined: Tue Aug 08, 2006 6:15 am
- Location: California is now in the past hello Thailand!!
I'm a CPA here in California, and the analogy I like to give my clients is "pigs get fed, hogs get slaughtered"bambergasgoigne wrote: If anyone ever came knocking on the door, it might be nice to say that you had paid some taxes, so Im changing my position and going to discuss with an accountant what is the best proposal.
Bamber
I've argued many times on behalf of clients against the IRS here. I've no experience in Thailand, but would imagine the mindset can't be too far off.
It's always easier to argue grey than black and white. "Yes I received a little rent, couldn't collect more" goes a lot better than "Yes it's a rental, but no one rented it at all despite my advertising"
OK guys, I think I'm missing something here and need a little help.
I'm seeing a difference between personal income from a personal condo and business income from letting a company owned villa. All the previous calculations and allowances have been based on personal income. I am assuming that this doesn't apply to rentals from a company owned villa, and that with all the expenses I/my company incurs I can argue that I don't cover my rental income?
Help please.
Thanks
Jim
I'm seeing a difference between personal income from a personal condo and business income from letting a company owned villa. All the previous calculations and allowances have been based on personal income. I am assuming that this doesn't apply to rentals from a company owned villa, and that with all the expenses I/my company incurs I can argue that I don't cover my rental income?
Help please.
Thanks
Jim
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