Suvarnabhumi's new no-stamp immigration shouldn't be taxing
The newly installed automated immigration gates for both departure and arrival checks at Suvarnabhumi Airport will be a familiar sight to frequent flyers as several countries have implemented similar systems. But they will be a new experience for many Tha
Using the new automated gate is simple and faster than the normal immigration procedure, which requires travellers to present themselves in front of an officer. The new system takes less than a minute to process each flyer. You simply listen to the instructions, open your passport at the photo page, place it on the scanner, then have your thumbprint scanned, and look into the camera – one ... two ... three.
It’s all over quickly. You pass through the gate and collect your baggage – but don’t forget to retrieve your passport! Take a look … it’s clean; there’s no date stamp, arrival or departure stamp, or immigration officer’s initials in it.
What does this mean for you?
Most frequent flyers prefer this system, since it saves time and reduces the inconvenience and expense involved in renewing their passport every time it fills up with stamps. On the downside, the official record of your arrival and departure dates used for tax-management purposes is no longer in your passport. If you are a frequent flyer and work in other countries for protracted periods, you might be subject to tax on the income earned in those countries. As a Thai, you may be subject to Thai tax on income from the same source, so double taxation arises! Your travel records are needed when making a claim for double tax relief.
How to claim double tax relief: First, you must ascertain whether or not Thailand has a tax treaty with the country where you are subject to tax. Second, you must prove that you are a tax resident in Thailand. Finally, all the relevant conditions of the tax treaty must be fulfilled. Some countries need an application to be filed to claim treaty protection. It sounds simple, but could be administratively burdensome. Don’t give up, it works in many locations. Nevertheless, income could be regarded as sourced in two locations, thus double-taxed. In this case, the resident country needs to give foreign tax credit. Although obtaining foreign tax credit in Thailand is not as easy as you might think, neither is it too difficult.
How to prove your tax resident status: To qualify as a tax resident of Thailand, you have to remain in the country for 180 days or more in a calendar year. Under the usual (non-automated) immigration process, a photocopy of your passport showing the date stamps and a tally of your number of days in-country are required. Such a document is accepted by the Thai tax authority to prove tax resident status in normal cases of tax refund claims. However, an official confirmation document is required if you are claiming foreign tax credit.
How to deal with the clean passport resulting from using the auto-gate immigration check: The lack of any record of travel in the passport is not an issue. You can still prove your tax residency by requesting the data and an official confirmation from the immigration office at Suan Plu. They keep all the records and are ready to support anyone who requests this information.
What if you have a mix of immigration checks, both auto-gate and manual? This will present no problem at all. The official confirmation will show all arrival and departure dates within the requested period. This is a good system and is very helpful.
Nice to know: The Immigration Bureau keeps records for a certain period, say 10 years. A person who has lost his/her passport may request such information – it’s not difficult. Foreigners who currently reside outside Thailand can also request the information or confirmation via a duly authorised attorney. An application and supporting documents are required.
Should you use the auto-gate? Yes, of course, if you are going to a country that accepts this approach, or a passport without any exit stamps. It should not cause you any problems and you should not be rejected by such a country. We have so far heard of only one case of rejection. That person had to fly back to Thailand, as he was not allowed to pass through the immigration check at the destination. But if you don’t need any evidence or record of your arrival and departure dates to present to an immigration official during the trip, give it a try.
Jiraporn Chongkamanont is a director and Prapasiri Kositthanakorn is a partner at PricewaterhouseCoopers International Assignment Services (Thailand).
