The Revenue Department in Thailand has introduced a new policy that will impose personal income tax on residents who earn overseas income if they spend up to 180 days a year in the country. The objective of this policy is to close existing loopholes and generate additional revenue.
It specifically targets residents involved in foreign stock market trading, cryptocurrency trading, and those taking advantage of a loophole allowing tax-free transfer of foreign earnings. While the policy is intended to increase revenue, concerns have been raised regarding its impact on private bankers, financial institutions, income inequality, and the overall economic and social fabric of Thailand.
The policy seeks to address loopholes that previously enabled individuals to bring foreign earnings into Thailand without taxation. Its targets include residents engaged in foreign stock market trading, cryptocurrency trading, and those exploiting offshore accounts.
However, enforcing transparency regarding offshore income presents challenges, particularly in relation to cryptocurrency transactions. Furthermore, many taxpayers may be unwilling to fully disclose their foreign earnings, and the broad scope of the new rule raises questions about its potential negative effect on foreign investment.
READ MORE: https://bangkokone.news
