Bank Account TAX?

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RLTrader
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Bank Account TAX?

Post by RLTrader » July 4, 2019, 1:31 pm

Hmm, updated my bank books today and noticed on 6/28 I received interest and a Tax Charge.

Wife says something new she saw on TV, but really knows nothing more than that.

Any One know more? Monthly? Yearly? % on Balance?

Sure glad I don't have 800K, bet the tax is around 4,000฿
:shock: :cry:



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Lone Star
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Re: Bank Account TAX?

Post by Lone Star » July 4, 2019, 1:43 pm

Well over 800,000.

Tax isn't even half of 1% . . . 0.0034%
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joepai
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Re: Bank Account TAX?

Post by joepai » July 4, 2019, 2:31 pm

Just the tax deducted on the interest earned - if you are not working claim it back from the Revenue Office - your wife can explain what to do.
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RLTrader
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Re: Bank Account TAX?

Post by RLTrader » July 4, 2019, 4:30 pm

joepai wrote:
July 4, 2019, 2:31 pm
Just the tax deducted on the interest earned - if you are not working claim it back from the Revenue Office - your wife can explain what to do.
:lol:

So it is a tax on interest earned? So twice a year?

More trouble & cost than I think it is worth, and bet the Gov. is banking on it!

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Re: Bank Account TAX?

Post by RLTrader » July 4, 2019, 4:35 pm

joepai wrote:
July 4, 2019, 2:31 pm
Just the tax deducted on the interest earned - if you are not working claim it back from the Revenue Office - your wife can explain what to do.
:lol:

So it is a tax on interest earned? So twice a year?

So, if on interest earned looks more like 1.5%
More trouble & cost than I think it is worth, and bet the Gov. is banking on it!

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sometimewoodworker
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Re: Bank Account TAX?

Post by sometimewoodworker » July 4, 2019, 4:55 pm

RLTrader wrote:
July 4, 2019, 1:31 pm
Hmm, updated my bank books today and noticed on 6/28 I received interest and a Tax Charge.

Wife says something new she saw on TV, but really knows nothing more than that.

Any One know more? Monthly? Yearly? % on Balance?

Sure glad I don't have 800K, bet the tax is around 4,000฿
:shock: :cry:
You are taxed on every interest payment at about 15%.

Thai people are only taxed on interest if they exceed ฿20,000 in interest in a tax year.

I get interest payments monthly and so tax is deducted monthly.
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sometimewoodworker
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Re: Bank Account TAX?

Post by sometimewoodworker » July 4, 2019, 4:56 pm

Duplicate post
Last edited by sometimewoodworker on July 5, 2019, 1:09 pm, edited 1 time in total.
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tomboy
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Re: Bank Account TAX?

Post by tomboy » July 5, 2019, 10:46 am

I have 800k deposited at Krungsri bank which pays 1.30% interest and TAX FREE.

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newtovillagelife
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Re: Bank Account TAX?

Post by newtovillagelife » July 5, 2019, 11:21 am

Lone Star wrote:
July 4, 2019, 1:43 pm
Well over 800,000.

Tax isn't even half of 1% . . . 0.0034%
Trust LS to brag about having "well over" 800,000, and the withholding tax on interest paid is 15%.

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newtovillagelife
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Re: Bank Account TAX?

Post by newtovillagelife » July 5, 2019, 11:23 am

tomboy wrote:
July 5, 2019, 10:46 am
I have 800k deposited at Krungsri bank which pays 1.30% interest and TAX FREE.
Really aren't you special, you must be the only one. I would check again the next time you receive interest, I heard Krungsri Bank was late to the party.

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sometimewoodworker
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Re: Bank Account TAX?

Post by sometimewoodworker » July 5, 2019, 11:32 am

tomboy wrote:
July 5, 2019, 10:46 am
I have 800k deposited at Krungsri bank which pays 1.30% interest and TAX FREE.
That is supposed to be for Thai citizens only. Have you checked as your interest is paid monthly.
Here is mine from Krungsri bank.
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newtovillagelife
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Re: Bank Account TAX?

Post by newtovillagelife » July 5, 2019, 11:41 am

joepai wrote:
July 4, 2019, 2:31 pm
Just the tax deducted on the interest earned - if you are not working claim it back from the Revenue Office - your wife can explain what to do.
If she is educated, and not from the village...otherwise your're on your own.

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newtovillagelife
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Re: Bank Account TAX?

Post by newtovillagelife » July 5, 2019, 11:42 am

sometimewoodworker wrote:
July 5, 2019, 11:32 am
tomboy wrote:
July 5, 2019, 10:46 am
I have 800k deposited at Krungsri bank which pays 1.30% interest and TAX FREE.
That is supposed to be for Thai citizens only. Have you checked as your interest is paid monthly.
Here is mine from Krungsri bank.
I rest my case.

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JimboPSM
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Re: Bank Account TAX?

Post by JimboPSM » July 5, 2019, 1:54 pm

Withholding tax on gross bank interest is just one on the many measures that have been (and continue to be) adopted by countries across the world in their increasing fight against money laundering and the black economy.

These measures often cause collateral damage to ordinary expats (and local citizens) who have no involvement with money laundering and/or the black economy in those countries.

This is further exacerbated for many expats due to a lack of contact and/or confirmation with the tax authorities in those countries of their exact status regarding residence and domicile for tax purposes.

As the amounts involved are (in the current low interest environment) generally relatively small for ordinary expats, few will go to the trouble (and expense) of obtaining appropriate professional advice and registering themselves with the tax authorities to (potentially) reclaim the withholding tax.

While a case could be made for tax authorities to incorporate a “De Minimis” amount in their rules before withholding tax would be applied, it is not uncommon for tax authorities to choose not to do so as it becomes a source of easy additional tax revenue.

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RLTrader
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Re: Bank Account TAX?

Post by RLTrader » July 5, 2019, 2:36 pm

JimboPSM wrote:
July 5, 2019, 1:54 pm
Withholding tax on gross bank interest is just one on the many measures that have been (and continue to be) adopted by countries across the world in their increasing fight against money laundering and the black economy.

These measures often cause collateral damage to ordinary expats (and local citizens) who have no involvement with money laundering and/or the black economy in those countries.

This is further exacerbated for many expats due to a lack of contact and/or confirmation with the tax authorities in those countries of their exact status regarding residence and domicile for tax purposes.

As the amounts involved are (in the current low interest environment) generally relatively small for ordinary expats, few will go to the trouble (and expense) of obtaining appropriate professional advice and registering themselves with the tax authorities to (potentially) reclaim the withholding tax.

While a case could be made for tax authorities to incorporate a “De Minimis” amount in their rules before withholding tax would be applied, it is not uncommon for tax authorities to choose not to do so as it becomes a source of easy additional tax revenue.

.
RLTrader wrote:
July 4, 2019, 4:35 pm

More trouble & cost than I think it is worth, and bet the Gov. is banking on it!

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Lone Star
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Re: Bank Account TAX?

Post by Lone Star » July 5, 2019, 4:02 pm

RLTrader wrote:
July 5, 2019, 2:36 pm
More trouble & cost than I think it is worth, and bet the Gov. is banking on it!
Where do you think taxes go if not to the government?

It's such a pittance. Hardly worth complaining about, but you're certainly within your rights to do so.
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sometimewoodworker
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Re: Bank Account TAX?

Post by sometimewoodworker » July 5, 2019, 5:33 pm

JimboPSM wrote:
July 5, 2019, 1:54 pm
As the amounts involved are (in the current low interest environment) generally relatively small for ordinary expats, few will go to the trouble (and expense) of obtaining appropriate professional advice and registering themselves with the tax authorities to (potentially) reclaim the withholding tax.
There is no professional advice needed, I registered a few months ago, I have my Tax ID and will be able to make a return next year, as many others are doing to reclaim all the tax paid.
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