{"id":1437,"date":"2020-07-20T20:12:23","date_gmt":"2020-07-20T13:12:23","guid":{"rendered":"http:\/\/christweten.com\/?p=1437"},"modified":"2020-09-16T10:24:38","modified_gmt":"2020-09-16T03:24:38","slug":"digital-nomad-taxes-in-thailand","status":"publish","type":"post","link":"https:\/\/christweten.com\/digital-nomad-taxes-in-thailand\/","title":{"rendered":"Digital Nomad Taxes in Thailand: 7% VAT Imposed on Foreign Talent"},"content":{"rendered":"\n

Thailand Introduces 7% VAT on Digital Service Providers<\/h1>\n\n\n\n
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So long and farewell to the digital nomad scene of Thailand! If coronavirus hadn\u2019t already thrown the Thai economy for a loop, this new tax bill is sure to do the trick. Although the days of coworking in Thailand<\/a> have already been dwindling, this recently passed legislation to secure tax revenue from foreign tech companies will only add to this trend.<\/p>\n\n\n\n

Thailand Digital Nomad Tax Explained<\/h2>\n\n\n\n

For the sake of simplicity, I\u2019m just going to call it the digital nomad tax<\/em>. The true purpose is to secure tax revenue from foreign tech companies. But that doesn\u2019t mean it isn\u2019t relevant to nomads! We should all be well aware of new tax laws as we live in the gray while abroad. It\u2019s a growing trend in the SEA region and will potentially impact other digital nomad haven countries like Estonia and Hungary, after all.<\/p>\n\n\n\n

Thailand passed amendments to the Thai Revenue Code on June 9th, 2020, imposing a 7% value-added tax (VAT) on foreign digital service providers as well as digital sales. Yes, this includes all forms of digital marketing. Yes, this includes ecommerce (and dropshipping). Yes, this includes applications.<\/p>\n\n\n\n

While I haven\u2019t received confirmation from my source in the Thai Revenue Department, I believe this can also be applied to influencers who are selling sponsored posts as well.<\/p>\n\n\n\n

Before you freak out and ditch your plans to visit (or return) to Thailand once borders are reopened, let\u2019s just set the facts straight. This will not<\/em> impact the average digital nomad. Why? The majority of digital nomads don\u2019t even make enough money to enter this tax bracket!<\/p>\n\n\n\n

Let\u2019s make things simple and just get the cold, hard facts out of the way before we get into its implications and what it really<\/em> means for digital nomads. Credit to ASEAN Briefing<\/a> by Dezan Shira & Associates for these quick tidbits that summarize the new legislation quite well:<\/p>\n\n\n\n