What is TAX free retirement in Thailand?
After living in Thailand for six months, you will be required to pay income taxes on both domestic and international income, even if you do not have a work visa. It is recommended to work with a tax accountant to file your taxes since everything is in Thai.
However, Thailand has agreements with several other countries to prevent double taxation on income. Income earned inside Thailand during retirement is the only income subject to tax, while personal income from pension, interest, or other income sources in your home country is not subject to income tax in Thailand. This creates a 100% tax-free retirement in Thailand. If you have rental property within Thailand that generates income, you will be taxed on that income.
Thai personal income tax is significantly lower compared to Western countries, with no income tax on the first THB 150,000. Note that this does not apply to retirees who bring in income from abroad.