What is LTR Visa?
The Long-Term Resident (LTR) visa is a special visa program designed to attract high potential foreigners to live and work in Thailand. It provides a convenient long-term stay solution along with a range of tax and non-tax benefits, making it appealing for skilled professionals, investors, and retirees.
Tax Benefits for LTR Visa Holders
- 17% Personal Income Tax Rate for Highly Skilled Professionals
• Applies to highly skilled professionals holding LTR visa receiving salary type of income under Section 40(1) of the Revenue Code
• The usual progressive tax rates of up to 35% are replaced with a flat 17% rate.
• Filing is done via PND 95 instead of PND 91. - Final Tax Treatment on Certain Passive Income
• Applies to highly skilled professionals holding LTR visa receiving income under Section 40(4) and 40(8) of the Revenue Code that has been subject to withholding tax, such as interest and dividends.
• The taxpayer may choose to apply Section 48(3) and 48(4), treating withholding tax as the final tax meaning no further tax filing on that income is required. - Exemption on Overseas Income for Certain Categories
• Applies to Wealthy Global Citizens, Wealthy Pensioners, and Work-from-Thailand Professionals holding LTR visa
• Overseas income from assets located abroad or business activities conducted abroad (from the previous tax year) that is brought into Thailand in the current year is exempted from personal income tax.
Important: This overseas income exemption does not apply to highly skilled professionals who benefit from the 17% flat tax rate.
Note
- LTR Visa holders’ dependents are not entitled to any tax benefits.
- Non-tax benefits include multiple-entry privileges, renewable 10-year visa, and streamlined work permit processes.
Author: www.aplthailand.com