The crackdown on tourists vainly trying to open Thai bank accounts has resulted in a surge of applications for the Destination Thailand Visa. That’s according to visa officers in Thai embassies, especially in nearby countries such as Laos and the Philippines. Although no regular government figures are published, over 120,000 DTVs have been issued by about 70 Thai diplomatic posts abroad in the first year of operation.
A key attraction of DTV is that applicants do not need a Thai bank account to show the liquid asset bond of 500,000 baht (US$ 16,000) since financial institutions abroad are acceptable depositaries. That’s in stark contrast to the annual extension of stay based on retirement or marriage to a Thai national which insists on the 800,000/400,000 baht bond being lodged specifically in a Thai bank. It is currently virtually impossible for tourists to open a Thai bank account as the major institutions try to clean out improper or mule accounts.
Thai immigration lawyer Jessataporn Bunnag said, “The scope of DTV is broad enough to include many who find the retirement visa rules too difficult. Apart from remote workers or digital nomads working for overseas companies, DTV also encompasses expats with families, adult learners and even medical tourists.” He explained that, contrary to popular belief, most DTV holders are not digital nomads, but now include large numbers of retirees and independent travellers who fit into another category.
An attraction of DTV is that medical insurance is not required for registration. Some (not all) retiree or similar visas need inpatient cover of varying amounts from specified Thai companies. Charles Weston, manager of Welcome to Thailand, said that the five-years multi-entry DTV did not require annual re-registration and awarded a maximum of 180 days per visit. “You don’t have to worry about re-entry permits or even having to show your bank account every year,” he concluded.
Immigration gurus do admit there are a few downsides to DTV. Tourist visa holders don’t get five years when they renew their driving licences and will have to be content with 24 months. They may be refused a traditional Thai bank account on a continuing basis and will need alternative international routes to fund themselves. The visa can be obtained only at a Thai embassy abroad (not at Thai immigration) and the waiting time can be a few days or a few weeks. It’s best to find out the required documentation well in advance and to choose your destination with care.
There was concern earlier this year that the DTV may entrap holders into paying personal income tax if they remained here more than 180 days in a calendar year. However, the Thai finance ministry recently claimed that income transmitted to Thailand would be tax-free if sent in the same, or next, tax year in which it was earned. However, such a decision requires ratification from the Cabinet and the Council of State, whilst avoiding the need for routine parliamentary approval. The hope is that any amendment to financial regulations would be back-dated.
DTV is an activity-based visa so applicants need to have a framework reason. But it is essentially a tourist visa and virtually all the documentary scrutiny is at the application stage abroad. Most holders report on Facebook chats that, as long as they leave the country within the 180 days limit, the return will be trouble-free at immigration check points. It’s surely a good deal.
