Paper is based completely on my thesis, but I'm mentioned in the acknowledgements only, not as a co-author, what should I do?
I will try to give my perspective, on both sides if possible. In many countries, most incentive professors have for supervising undergraduate or MSc theses, is that some of them (or all if possible) may actually lead to a publication. There is a problem though: Most of the time undergraduate or MSc students leave the university and the paper usually can only be prepared after the student graduates. Unfortunately, at that time the student has already left academia and has really no interest in publishing, since he has more important things to do (like finding a job). This is quite the setting that the OP describes. 

Still in your case, your supervisor of the thesis has started writing the paper himself and he needs your help. Initially you provided the help needed but you became frustrated because it was more work than you wanted / expected to do, because (let's face it) the paper really does not make a huge difference to you. On the other hand, you want to stop him from publishing it solo. So, both parties are partially right to be angry at each other. You do not want to take orders from him and he does not want to be treated like an idiot (who calls his questions silly) from his former student. 

So, how can you fix this? For me, writing emails back and forth is not the way to discuss details for a paper. Why don't you use a better mean of communication such as skype, face-to-face meeting, phone call etc. You can there discuss all the details and your problem will be resolved. Of course he writes the paper and he will be the first author. But you get a publication and everyone is happy. And who knows? In the future you may collaborate further.