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Tax analysis

Thailand

LTR Visa 17% flat HSP. General brackets 0-35%. 2024 remittance basis: you only tax what you bring.

Last updated:

Income tax
0–35%
VAT
7%
Corporate
20%
Dividends
10%
Capital gains
15%
Wealth
—
Residency
180d
Days/year required
180
Visa types
LTR Visa, Elite Visa, DTV (Destination Thailand)
Difficulty
Medium
Paperwork
~12 wk
From Spain
Double-taxation treaty
Yes (1997)
Modelo 720
Yes
Exit tax
>€4.0M
Risk level
Low

Why Thailand?

Thailand has shifted from "backpacker destination" to serious nomad hub in 2023-2024 thanks to three changes: the LTR Visa (10 years), the new DTV (Destination Thailand Visa, 2024, 5-year multi-entry), and the 2024 tax change that maintains the remittance basis — you only tax foreign income you physically bring to the country. Cost of living in Bangkok/Chiang Mai: ~$1,500/month comfortable life.

LTR Visa (Long-Term Resident, 10 years)

BOI (Board of Investment) program launched 2022. 4 categories:

CategoryMain requirement
Wealthy Global Citizen$1M assets + $80K income/year
Wealthy Pensioner$80K income/year (50+)
Work-from-Thailand Professional$80K income/year + employed by $150M+ revenue company
Highly Skilled Professional (HSP)$80K income/year + STEM/healthcare/etc.

LTR benefits:

  • 17% flat tax for HSP (vs up to 35% general regime).
  • 10-year renewable visa.
  • Unlimited multi-entry, immigration fast-track.
  • Work allowed without additional work permit.

DTV (Destination Thailand Visa, launched 2024)

More accessible than LTR:

  • 5 years multi-entry, up to 180 days per entry.
  • Requires $14,000 USD in bank account.
  • Applicable to freelancers, workation, "soft power" (cooking, muay thai, etc.).
  • Does NOT grant automatic tax residency (caution).

2024 tax change (remittance basis)

Before 2024: foreign income taxable only if brought in the same fiscal year (historical loophole).

From 2024: foreign income taxable if remitted to Thailand at any later time. The key remains: what you don't remit isn't taxed in Thailand.

Practical implication for EU freelancers:

  • You have a US LLC or European company.
  • Profits stay in EU/US accounts.
  • You only transfer to Thailand what you need to live (~$30-50K/year).
  • Only that portion is taxed, at general progressive brackets (5-25% effective).

Spain-Thailand treaty (1997)

  • Covers employment income, dividends, interest, royalties.
  • Standard tie-breaker rules (permanent home, center of interests).
  • Both countries must apply the treaty if you certify Thai residency.

Implications from Spain (low risk)

  • Thailand Tax Residency Certificate obtained after 180+ days of presence or with LTR Visa.
  • Modelo 720 required if you keep Spanish assets.
  • Low risk with LTR Visa: solid tax certificate + verifiable physical presence.
  • Medium risk with DTV: technically you're not automatically a Thai tax resident; you also need to pass the 180-day test.

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Official sources