The latest Thai government free medical insurance scheme is limited in scope.
The Thai government's 50 million baht coverage for foreign visitors applies specifically to "tourists" who have been admitted with a visa-exempt stamp or a 60 days tourist visa awarded by an embassy. The scheme does not cover holders of current non-immigrant visas or extensions or longstay permits.
Tourism and sports minister Sudawan Wangsuphakijkosol said the government wanted to provide a safety net where tourists who die on vacation here might be covered for one million baht on a case by case basis. Accidents which cause permanent organ loss or blindness or permanent disability might merit 300,000 baht compensation plus 500,000 baht for medical treatment. However, carelessness or risky or illegal behaviour by the visitor will invalidate any claim.
The ministry is stressing that long stay and business travellers are not covered by the insurance programme which covers the year 2024 until August 31. Spokesman Mongkon Wimonrat said most group travel visitors buy pre-holiday insurance which is required by the tourism business and guide act of 2008. Independent travellers should make their own insurance arrangements.
Expats, who are exempted from the scheme, are not normally required to have insurance unless they hold an O/A retirement visa or extension of stay, originally issued by a Thai embassy abroad, or a 10-year Long Term Residence as well as foreigners working with an employment permit covered by other regulations. Embassies are continually warning uninsured foreign visitors and residents that inpatient costs in Thailand are very expensive, for example running into millions of baht following serious road accidents.
UK visa specialist Peter Clarke said, "The government insurance for tourists is designed to hand out cash after tragedies such as major traffic pileups or boats sinking. But 500,000 baht won't cover most operations requiring significant surgery and excludes expats in any case." He added that, while the scheme was useful in context, all foreigners in Thailand should purchase comprehensive medical insurance or self-insure with at least 3 million baht or US$100,000 in reserve.
In the past 18 years, over 110,000 Thai workersembarked on a gruelling journey to Europe, enticed by the promise of lucrative pay in berry fields, yet behind the allure lies a sinister reality of exploitation, debtbondage, and shattered dreams.
From the rural heartlands of Thailand's northeast, hopeful farmers borrowed staggering sums from banks and illegal lenders to finance their passage to the Nordic countries. What awaited them was not the prosperity they envisioned but a relentless cycle of debt and hardship.
Labour activist Junya Yimprasert revealed a shocking truth: over a decade and a half, a staggering 10 billion baht has been drawn from impoverished Thai workers to enrich the forest berry industries of Sweden and Finland, a loss swept under the rug of international commerce.
The berry companies, adept at preying on vulnerable populations, shifted their focus to workers from China and Vietnam in 2019, only to face uproar and swift repatriation due to abysmal working conditions. Threats of blacklisting and visa manipulation kept Thai workers silent, trapping them in a vicious cycle of debt and exploitation.
Promised substantial earnings, workers found themselves ensnared in a web of deceit. Middlemen, enticing them with visions of wealth, deducted exorbitant expenses, leaving many in deeper debt than before. With assets on the line and families torn apart, justice remains elusive for those like Praisanti Jumangwa, still awaiting recompense a decade later, reported The Nation.
Their daily toil, from dawn till midnight, yielded meagre returns. Denied fair wages, deprived of basic comforts, and forced to navigate treacherous forests, Thai workers endured a nightmare far from home. Even mealtimes offered no respite, with exorbitant charges for meagre sustenance in cramped quarters.
The once-promising venture turned into a nightmare as old, dilapidated vehicles stranded workers in remote locations, their dreams of prosperity dashed against the harsh reality of exploitation. Praisanti's plea for governmental intervention resonates loud and clear, urging protection for workers and an end to the cycle of exploitation.
Thailand wants to make sure foreign tourists feel safe when they visit. The government has set aside money to help tourists who are hurt or who die in accidents while visiting the country.
Why is this important?
Thailand gets a lot of money from tourists. The government wants to protect them so they keep coming back. In the past, there was a special fund to help tourists, but it ended.
How much help can tourists get?
If a tourist dies in an accident, their family can get up to 1 million baht (around $30,000 USD). For serious injuries, they can get up to 300,000 baht ($9,000 USD). The insurance also covers medical bills up to 500,000 baht ($15,000 USD).
Important rules to remember:
This insurance won't help if the accident was the tourist's fault (like if they were breaking the law).
You have to be in Thailand with a tourist visa to use this plan.
More about the plan:
The government was thinking about charging tourists a special fee to help pay for this insurance, but they've decided to wait a while. For now, they will use government money to help tourists in need.
The government studied how much money they've paid to help tourists in the past. They feel confident that they have enough for now.
Remember, most tourists buy extra insurance
Many tourists already buy their own travel insurance before they come to Thailand. But this plan from the Thai government is an extra layer of protection.
Less than two years after reform, marijuana sales are again under the microscope.
Although Thai authorities are determined to outlaw smoking cannabis for pleasure once and for all, experts say that there is likely to be a long grace or settling-in period. Jessataporn Bunnag, a specialist lawyer, said "A great deal of money was invested prior to decriminalization of the herb in 2022,and it's going to take time for a new legislative process to evolve." Commentator Chokwan Kitty Chopakasai predicted that some shops which had abused the system in the last 18 months – for example opening selling joints, edibles and extracts – would close, but that most would still be able to operate provided they obtained new licences and kept detailed records.
Of course, the draft law is still under consideration for public debate. "They let the genie out of the bottle with descheduling and how they put it back is one of the biggest challenges," he said. Under the draft revisionist cannabis and hemp law, only marijuana for medical purposes will be legal, whilst the police will have expanded powers to investigate the sale of smokable marijuana outside the medical market. There will also be a ban on some commercial imports of the drug.
Future ambiguities in enforcement include how the police will differentiate between medical and pleasure marijuana. Presumably, an insomniac enjoys smoking weed which he believes can help him or her sleep better. Thailand has around 6,500 marijuana stores which aren't necessarily illegal as many operate in a sort-of gray area with cannabis currently delisted as a narcotic. Other shortcomings of the current law include a lack of testing requirements, no seed-to-sale program for marijuana and confusion over taxation issues.
Many commentators believe that, once the new legislation is in place, police will focus on the illicit selling of marijuana online, foreigners and Thais selling hash and concentrates and anyone selling imported cannabis, all of which are expected to be crimes. But a full scale assault is much less likely. Matt, a Pattaya marijuana seller, concluded, "Selective enforcement is part of the Thai system. After all, prostitution has been illegal in Thailand since the 1960s, but you still find traces of it here and there."
Meteorological department predicts higher temperatures this summer
Mae Hong Son, Uttaradit, Sukhothai, Tak and Udon Thani provinces will likely experience temperatures higher than 44 degrees Celsius during the upcoming summer, the Thai Meteorological Department said on Wednesday.
Convicted former prime minister Thaksin Shinawatra is expected to be released this Sunday, as he is on the latest list of 930 prisoners granted parole, according to Justice Minister Tawee Sodsong today.
The minister said he has already approved the list of prisoners who qualify for parole.
"The Corrections Department proposed a list of convicts for me to approve. Of the 945 prisoners named, 930 met the criteria, which include grave illness, being handicapped or being over 70," he said.
Thaksin is 74 and suffers from a 'serious illness', which has enabled him to stay in the Police General Hospital for many months. After being convicted on corruption charges in August last year, he spent only a few hours in prison before being transferred to the hospital.
Thaksin's youngest daughter, Paetongtarn, who is the leader of the ruling Pheu Thai party, said earlier that the family has prepared the Chansongla residence for Thaksin after his release.
Airports of Thailand (AOT) has announced plans to invest 4.4 billion baht in expanding Suvarnabhumi Airport and in the third phase of development at Don Mueang International Airport. AOT Deputy Director Kirati Kitmanawat shared that these enhancements aim to improve service and security standards at Suvarnabhumi Airport, anticipating passenger arrivals to match the pre-pandemic figure of 65 million in 2019.
The organization intends to boost the flight capacity of Suvarnabhumi's satellite terminal 1 (SAT-1) from its current 50 flights per day to 120 within the next two months and further to 400 by year's end. This expansion is expected to offer greater convenience to passengers and attract more commercial vendors to the airport.
AOT is also scheduled to start the East Expansion project for Suvarnabhumi Airport, which involves expanding the passenger building on the east side to handle an additional 15 million passengers annually. The project is earmarked at 8 billion baht, with the bidding process commencing in May.
Further investment includes 36 billion baht allocated for the third phase of Don Mueang International Airport's development. This phase features the construction of a new international passenger terminal and the renovation of passenger building 1, aiming to elevate the airport's capacity from 30 million to 50 million passengers each year.
The bidding for this significant development is scheduled to start later in the year, marking a substantial effort by AOT to enhance Thailand's airport infrastructure and capacity.
A significant overhaul of the Thai tax system, effective January 1st, 2024, has thrown a curveball at the expat community, raising concerns and prompting a scramble for solutions.
This article delves into the intricacies of this new tax tango, offering a roadmap for expats to navigate the complexities and unlock potential strategies to secure their financial future in the Land of Smiles.
Previously a haven for foreign income, Thailand's tax code offered a sweet deal to expats:
Foreign earnings stashed abroad remained blissfully untaxed. However, the new year has ushered in a paradigm shift. Now, all foreign earned income brought into Thailand by tax residents, including expats, is subject to personal income tax. This marks a significant departure from the past, leaving many expats wondering how to navigate this uncharted territory.
Understanding the Old and the New:
To grasp the full impact of the changes, let's rewind to the pre 2024 era. Expats enjoyed the freedom of keeping their foreign income untaxed as long as it remained outside Thailand. Income earned and brought into the country within the same year was subject to tax, but passive income like pensions and investments from abroad existed in a grey area, with no clear guidelines.
Fast forward to 2024, and the landscape has transformed. The new law dictates that all foreign earned income remitted to Thailand by tax residents is subject to personal income tax. The tax rates are progressive, ranging from a comforting 0% for income up to 150,000 baht to a hefty 35% for income exceeding 5 million baht.
Pensions, while taxed in Thailand, may find some relief through double taxation agreements with the home country.
Charting a Course Through the Tax Maze:
With jaws dropped and spreadsheets open, expats are now seeking solutions to minimize the impact of this new tax reality. Fortunately, there are potential pathways to navigate this maze and shield some of that hard earned income.
Gift of the Givers:
Thai tax law offers a generous exemption on gifts between spouses. Up to 20 million baht gifted in a single year escapes the taxman's grasp. This opens a strategic avenue for couples to transfer income and potentially lower their overall tax burden. However, exceeding this threshold incurs a 5% flat tax, so careful planning is crucial.
Royalty with Relief:
For certain expats, Royal Decree No. 743 might be the golden ticket. This decree grants tax exemptions to specific long term visa holders, including wealthy retirees, global citizens, and professionals working remotely from Thailand. These fortunate individuals can potentially shield offshore income brought into the countryfrom the taxman's claws. Additionally, highly skilled professionals in targeted industries can enjoy a reduced flat tax rate of 17% on their employment income, a welcome respite from the standard progressive rates.
The Key to Relief:
But how do expats unlock these potential tax havens? Eligibility for the Decree's benefits hinges on several factors:
Holding a Long Term Resident Visa (LTR): This is the passport to the exclusive club.
Meeting the Thai Board of Investment's criteria: Each visa category has specific qualifications and conditions set by the Board.
(For professionals) Working in a targeted industry: Not all industries qualify, so check the list carefully.
Declaring employment details: Transparency is key to claiming the reduced tax rate.
Filing tax returns on time: Don't miss the deadline or risk losing the benefits.
Diving Deeper into the LTR Visa: Your Key to Tax Relief:
While Royal Decree No. 743 offers a glimmer of hope for tax relief, unlocking its benefits hinges on securing the prized possession: a Long Term Resident Visa (LTR). But this "passport to the exclusive club" isn't a one size fits all ticket. Let's delve into the specific categories and requirements you need to meet to become an LTR holder:
Wealthy Global Citizens:
Minimum annual personal income: US$80,000 for the past two years.
Minimum assets: US$1 million.
Investment requirements: At least US$500,000 in Thai government bonds, foreign direct investment, or Thai property.
Wealthy Pensioners:
Minimum age: 50 years old.
Minimum annual pension or passive income: US$80,000.
Alternative option: If your income falls between US$40,000 and US$80,000, you can compensate with a minimum investment of US$250,000 in Thai government bonds, foreign direct investment, or Thai property.
Work From Thailand Professionals:
Minimum annual personal income: US$80,000 for the past two years.
Employment requirements: Must be employed by a foreign company with a branch office in Thailand or remotely for a foreign company based outside Thailand
Highly Skilled Professionals:
Minimum annual personal income: US$80,000 for the past two years.
Professional qualifications: Must possess specific skills and expertise in targeted industries (e.g., technology, innovation, research).
Employment requirements: Must be employed under a contract with a company operating in a targeted industry.
Additional Requirements for All LTR Applicants:
Valid passport.
Proof of health insurance with coverage exceeding US$50,000.
No criminal record.
Payment of visa fees.
Case Study: Sunisa and John – Adapting to the New Tax Landscape
Sunisa (Thai) and John (British), a couple residing in Chiang Mai for the past five years, found themselves caught in the whirlwind of the new tax regime. Sunisa, a freelance graphic designer earning her income online from international clients, previously enjoyed the tax free haven for her foreign earnings. John, a retired teacher, received his UK pension, which also remained untaxed in Thailand.
With the new regulations in place, Sunisa now faces a 35% tax burden on her income exceeding 5 million baht, significantly impacting her financial security. John's pension, while now subject to tax in Thailand, might find some relief through a double taxation agreement between the UK and Thailand.
Faced with this challenge, Sunisa and John explored their options:
Gift of the Givers: To minimize their overall tax burden, they utilized the spousal gift exemption. Sunisa transferred a portion of her income exceeding 5 million baht to John, who falls under a lower tax bracket due to his pension income. This strategic move helped them reduce their combined tax liability.
Exploring the LTR Visa: While not currently eligible for any LTR visa category based on their income or investment levels, Sunisa and John started researching alternative options. They discovered John could potentially qualify for the "Wealthy Pensioner" category once he reaches 50 years old in a few
years. This could shield some of their offshore income from future tax burdens.
Proactive Planning: Sunisa decided to diversify her income stream by tapping into her design skills to create and sell digital products online. This new income source, falling under the progressive tax system, would be taxed at a lower rate compared to her freelance income exceeding 5 million baht.
Sunisa and John's story exemplifies the challenges and opportunities presented by the new tax landscape. By embracing a proactive approach, exploring strategic solutions like utilizing spousal gifts and considering future LTR visa eligibility, they are adapting to the new realities and securing their financial future in Thailand.The Takeaway for Expats:
While the new tax landscape presents challenges, it's not an insurmountable obstacle. By understanding the changes, exploring strategic options like utilizing gift exemptions or qualifying for Royal Decree benefits, and seeking professional guidance, expats can navigate these complexities and optimize their tax situation in Thailand. Remember, staying informed, being proactive, and consulting with a tax advisor familiar with Thai regulations are crucial steps in securing financial peace of mind in this evolving tax environment.
Beyond the Numbers:
It's important to remember that these changes are not just about numbers on a spreadsheet. They have real world implications for expats' lives in Thailand. For some, it may mean rethinking their financial plans, adjusting investment strategies, or even considering relocation. For others, it may be an opportunity to explore new tax efficient income streams or embrace the challenges of navigating a more complex tax system.
Ultimately, the new tax regime is a reminder that life in Thailand, as in any other country, is a dynamic dance between personal freedom and fiscal responsibility.
A Cloud of Uncertainty:
It's important to acknowledge that while the law is officially in effect, there are still some lingering uncertainties surrounding its practical implementation. Monitoring every single person's foreign income movements is a complex task, and exactly how the Revenue Department will enforce these new regulations remains to be seen. Additionally, despite the initial buzz and concern, there haven't been many concrete reports of the law being actively applied to expats yet. This could suggest a period of adjustment and clarification is underway, or it could point to potential challenges in effectively implementing the law across the board.
Only time will tell how smoothly the new tax regime will be rolled out and enforced. For now, expats are advised to stay informed, maintain meticulous records of their finances, and seek professional guidance to ensure they are compliant with the latest regulations. Remember, proactive planning and careful navigation are key to navigating this evolving tax landscape.
This shift in the landscape invites expats to re-evaluate their financial plans and explore innovative strategies to navigate the complexities of this evolving situation. While concerns and uncertainties linger, it's important to remember that adapting to change is an essential part of living abroad.
This article is for informational purposes only and should not be considered professional financial or tax advice. The information provided is intended to be general in nature and may not apply to every individual's specific circumstances.
Readers are strongly encouraged to consult with a qualified financial advisor or tax professional to discuss their own unique situation and determine the best course of action for their specific financial needs. The author and publisher of this article disclaim any liability for any consequences of actions taken based on the information provided herein.
Hop-on Hop-off Boats to Sightsee in Bangkok along Chao Phraya River
The Tourism Authority of Thailand presents the hop-on hop-off boat service for travelers who want to explore Bangkok along the Chao Phraya River.
The hop-on hop-off boats allow tourists to visit major attractions along the river, such as Bangkok's China Town, Pakklong Talad flower market, the Grand Palace and Wat Phra Kaew, Wang Lang local market, and Khao San Road.
The boats depart every 30 minutes from eleven piers, including Sathorn Pier, ICONSIAM, Ratchawongse, Rajinee, Wat Arun, Tha Tien, Tha Chang, Tha Maharaj, Prannok, and Phra Arthit. In the evening, the route is extended to Asiatique. Travelers may choose either an all-day river pass or single-journey ticket.
The boat service also includes guidebooks, professional guides, a public address system, wi-fi, insurance, CCTV, first-aid kit, life jackets, and stroller/wheelchair access.
For more information, please visit the website: https://www.chaophrayatouristboat.com.
DE FACTO PHEU THAI BOSS-cum-convict at large Thaksin Shinawatra is expected to be given further privileges even after he has been released on parole later this month, according to a former lawmaker.
Ex-Democrat MP Thepthai Senapong today (Feb.8) posted on his Facebook page to say the authorities might probably allegedly look to sustain double-standard favours for the de facto Pheu Thai boss to the extent that no ankle bracelet be attached as otherwise enforced upon others on parole.
Thepthai was apparently referring to government officials dutifully taking care of the "sickly, untouchable" convict, ranging from those of the Corrections Department and Police Hospital to the Probation Department.
The billionaire, politically powerful Thaksin, speculated to be released on parole as soon as Feb.18, would likely return to his Chan Song Lah residence without an ankle bracelet since he has been virtually treated as an "angel convict" by the authorities so far, Thepthai said.
According to the ex-MP who himself is literally wearing an ankle bracelet on parole following his two-year jail sentence for electoral rigging charges, it remains to be seen whether the Probation Department will literally put an ankle bracelet on the de facto Pheu Thai boss-cum-convict on parole like others.
Thepthai called on the agency to immediately remove his ankle bracelet if Thaksin will ever do without one.
The deposed prime minister has been invariably accused of flouting the country's judicial process, promoting double standards and enjoying undue privileges unprovided for other convicts after he had returned from self-exile abroad last August and been provided a tight-security private ward at Police Hospital to undergo medical care for undisclosed "illnesses" since.
He has never spent a single day behind bars at Bangkok Remand Prison and is largely speculated to be released on parole after spending roughly half of his curtailed, one-year jail sentence at the hospital.
Justice Minister Thawee Sodsong has recently commented that Thaksin's prolonged stay at the hospital has been officially calculated as a period during which he has served his jail term, albeit outside of the prison.
CAPTION:
Top and Front Page: De facto Pheu Thai boss Thaksin Shinawatra, left in above photo and right in Front Page photo, and ex-Democrat MP Thepthai Senapong. Both photos: Thai Rath
Over the past few days announcements have come out that appear to have driven sheer terror in some Thai expats, with the Thai Government saying this year's Songkran will be the biggest one ever.
Specifically, the statement that the event would be celebrated from April 1st to the 21st across Thailand caused a lot of panic and a lot of confusion. This was mostly because many feared this meant 21 days of water throwing.
For those not familiar, Songkran is the Thai New Year, also known as the water festival, and Thailand's biggest holiday. It's well known for many different cultural and religious activities and provides Thais with the longest holiday break of the year. For many Thais, especially those working in Bangkok, this is the one time of year they return home to see their families in their home provinces.
Of course, it is also known, especially in tourist zones, for wild water fights, concerts, and parties….even though Thai officials continue to downplay this part. Mostly, anyways.
During the Covid-19 pandemic, the festival was entirely cancelled in 2020 and in 2021 and 2022 water play and throwing was banned and only religious functions were allowed, much to the pleasure of some readers who strongly dislike this portion of the festival (Although it is popular with many tourists, especially social media influencers and younger tourists).
Last year, however, the water play returned and will also be a part of this year's festival, indeed, Thailand is even basically openly promoting it, knowing that it attracts many tourists. To be fair, for those living and working full time, especially in Pattaya where the water play often lasts about a week, it can be a difficult period.
Basically, the 21 days of Songkran is nothing new. Different parts of Thailand have celebrated the festival on different days for various reasons for decades. Pattaya's big day, for example, is April 19th, partly to encourage domestic tourism after the official national days.
The official national days, by the way, will remain April 13th to the 15th, with public holidays running to the 16th. Pattaya, as usual, will likely run from the 12th to about the 19th.
In terms of the 21 days, the thought process behind this is NOT 21 days of water throwing. Instead, it's best to think about it like Christmas, in which decorations, music, cultural presentations, etc. will take place for the entire month. The idea for Songkran is similar, with events proposed across Thailand from April 1st to the 21st, almost all of them focused on religious, cultural, and traditional heritage aspects.
Yes, there will still be water play, but according to Thai officials it will be limited to the official days and not the whole three week period.
So, for now, readers can rest easy that this doesn't mean 21 days of water throwing across Thailand. Regardless, many of our regular readers and expats likely will plan to either stay indoors or even leave Thailand during the festival, while droves of tourists, domestic and foreign, arrive.
Dengue fever has escalated into a significant concern in Thailand, with the Department of Disease Control (DDC) reporting over 8,000 infections and 13 fatalities in January.
DDC Director-General Thongchai Keeratihuttayakorn highlighted a sharp 91.25% increase in cases compared to January of the previous year, where 4,286 individuals were affected, noting as many as 8,197 people have contracted the disease so far.
Dengue fever, a viral infection spread by Aedes mosquitoes, is prevalent in tropical and subtropical regions. Symptoms include high fever, severe headaches, muscle and joint pains, nausea, vomiting, skin rashes, and swollen glands. The disease poses a higher risk to children aged five to 14, with the majority of cases reported in the southern and central parts of Thailand.
The fatalities recorded this year span across 11 provinces, with the oldest victim being 65 years old. To combat the spread, Thongchai advised that hospitals treating dengue patients provide anti-mosquito cream or spray as a preventive measure to others.
The DDC Director-General emphasized that immediate medical attention is a must for anyone experiencing fever, especially those in close proximity to diagnosed patients, to mitigate further spread and protect public health.
On February 6th, 2024, Mr. Prayut Phetkhun, the spokesperson for the Office of the Attorney General, publicly revealed details regarding a legal case involving Mr. Thaksin Shinawatra, on Section 112 of the Criminal Code for alleged offenses against the monarchy, dated back to May 21st, 2015, in Seoul, South Korea.
Following the Thai police investigation, two charges were filed against Thaksin including an offense under Section 112 and a violation of the Computer Crimes Act for disseminating false information.
Despite the offenses occurring outside the Kingdom of Thailand, they fell under Thai jurisdiction, as per the Criminal Procedure Code. Consequently, the Office of the Attorney General was responsible for prosecuting the case.
Due to Thaksin's fugitive status, the Office of the Attorney General instructed investigators to issue an arrest warrant. Subsequently, investigating officers requested the Criminal Court for an arrest warrant, which was issued within the 15-year statute of limitations since the incident on May 21st, 2015. Thaksin's return to Thailand on August 22nd, 2023, led to his detention in connection with other criminal cases.
On January 17th, 2024, Mr. Kunthanit Mongkolsawat, the Director of Public Prosecutions, and relevant agencies informed Thaksin of the allegations. However, Thaksin denied the charges and submitted a letter requesting fairness. Kunthanit forwarded Thaksin's statement to investigating officers for inclusion in the investigation.
Currently, the case is under consideration by the Office of the Attorney General, it will be presented to the Supreme Prosecutors for opinions and further legal actions. This update provides the background of the case, which has drawn attention from various political groups and Thai people. Despite ongoing scrutiny, the legal process continues under Thai law, stated the spokesperson for the Office of the Attorney General.
