Tax and Fee for Buying and Owning Property in Thailand

All of these questions and many more will be answered. Some Taxes that you will come across are –

1) Withholding Tax- This expense must be paid by the dealer of the property for a juristic individual 1% of the aggregate sum must be paid. For an individual 3% to 5% of the aggregate sum must be paid.

2) Transfer Fee- This expense must be paid by the Buyer of the property. It is 2% of evaluated esteem. If you have bought a new property then you won’t have to pay or worry about this Tax.

3) Stamp Duty- This expense is 1 Thai baht of each 200 Thai baht of the worth or 0.5% of the evaluated worth and is to be paid by the Seller.

4) Business Tax- 3% of the surveyed worth and it is to be paid by the dealer. In case you’re the purchaser you’re required to pay around 30,000 baht to 100,000 baht on legitimate charges. A portion of the costs may be negotiable.

5)Property Annual Tax- The Thai government introduced the new Land and Building Tax Act B.E. 2562, which has been in effect since January 1, 2020.The tax rates on properties were previously assessed on an income-based method. The Act replaces this method with an assessment based on the property’s appraised value. For maximum tax rate in Thailand for residential is 0.3%

6)Extra Expenses- Some extra expenses that you might have to pay are the registration cost which will be paid by the seller of the property. The registration cost is around 2% of the total amount. An average extra expense for the buyer is around 2% and for the seller the average is around 9-10%. These are some extra expenses you will have to see through.

These are the Taxes that you will have to pay. Now, you can see how much taxes there are and you can get an estimate of the amount you will need to spend on taxes. The tax paying procedure can also be done by a Real estate attorney which is a suitable and better option as they will know better.

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