Much has changed over the past 30 or 20 years. Many of the western expats who retired here in the past and married Thai women have now died. Thus we are much more focused these days on wills, probate and overseas pension entitlement (if any) for the widows. Separately, there is less demand for holiday visas for Thai relatives to visit the expat’s home country. The number of annual extensions of stay here in Thailand, based on retirement or marriage, has fallen by around half since around the turn of the century. Gay marriages will be available within the next few months, allowing foreigners may wed their Thai same-sex partners, but the impact is unlikely to be huge.
Thanks to the massive building programs in Pattaya over the same period, there’s a lot more property for sale. Since foreigners can own condominium units but not land, they often establish a company to buy a house. One of the problems here is the use of Thai nominees, (who have no connection with the foreign buyer) who will own at least 51 percent of the shares. When the foreigner dies or wishes to sell the property, the cooperation of the nominees is required by law and they are certain to demand their percentage share. Our general advice, if setting up a company to buy property, is to “keep it in the family” and avoid including strangers. Or take out a lease rather than a purchase.
The customer base for lawyers is changing as more non-traditional markets, especially China and India, expand annually. Apart from tourism, there is currently a lot of interest in long-stay visas such as Elite, Long Term Residence and the new Destination Thailand Visa or DTV. The Elite visa dates from 2002 and was originally designed for westerners, but the largest number of applications in recent years has been from Chinese nationals. The DTV, on the other hand, is mainly aimed at digital nomads working for overseas-based companies. The early signs are that the main market will be Americans and Europeans who are not tied down in their employment to an office or base.
Another growth area will almost certainly be the income tax consequences for tax residents, Thai or foreign, who spend 180 days or more in Thailand over a calendar year and remit cash from abroad. Our understanding is that the Thai Revenue Department will be publishing forms and a commentary later in the year. Hopefully this cover contentious issues such as double taxation treaties and pensioners living here on pre-taxed income. It is worth noting that the submission of a tax form does not automatically mean any tax is due. Moreover, no supporting documentation is required unless the individual is chosen for audit. My personal view is that some Pattaya expats are overreacting to this issue. Attorney and public notary Jessataporn Bunnag can be reached by email at [email protected]
