Post
Topic
Board Economics
Re: Thailand to start taxing overseas income next year, including from crypto
by
Zlantann
on 19/09/2023, 18:28:41 UTC
Thailand is known for its tourism, and it is true that some foreigners live in their exploding tax loopholes. But this policy can create a negative impact on foreign investment and tourism. Many foreigners were happy about their low tax rates, which made them an attractive place for many expats. Most of these expats were already paying tax in their home country; now if they need to pay a high tax in Thailand as well, this will force them to leave the country.
180 days is approximately six months and that's too much for tourism. If you are spending more than six months in a country it will be proper to pay tax. Those public facilities you are enjoying are from tax, so you need to contribute if you are staying that long. But the tax shouldn't be high and there should be a mechanism to check double taxation.

I wish Indonesia will follow Thailand in creating this kind of rules, I am from Indonesia by the way. There has been to many foreigners exploiting tax rules, they use Indonesian facility, but they don't pay taxes. Not to mention that they come with more powerful currency and gentrified the location that they live in, pushing the local away. Don't get me wrong I am not against foreigner coming to cheaper country, but at least they should contribute.

Such a policy might add to the revenue of Indonesia but it also has other disadvantages. Don't forget that these foreigners also contribute to the economy of your country in areas like the hospitality sector. It could also discourage investors from coming to your country because foreigners will be scared of double taxation. The policy might not also be effective because these foreigners will devise means to invade this tax.