Transfer Tax
Thailand’s current residential property transfer tax is 2% of the total price, which is generally shared by both buyers and sellers 50/50.
Special Business Tax
The special business tax is 3.3%. Those who have owned the property for more than 5 years, or whose account has been on the property for more than 1 year, can be exempted from the special business tax.
Stamp Duty
The stamp duty is 0.5%. If the special business tax is paid, there is no need to pay stamp duty. If it is not paid, it will be 0.5% of the total price.
Income Tax From Sale
The proceeds from the sale will vary depending on whether the holder is an individual or a company. If the holder is a company, then the personal income tax is fixed at 1% of the registered income or the assessed value (whichever is higher). If the holder is an individual, the personal income tax is calculated based on the value of the property assessment using the rate of advancement.
In general, the total amount of taxes and fees generated by the purchase of Thai real estate is usually 6.3%, which is shared among buyers and sellers, and each developer uses different methods in dividing taxes. Usually, when buying a new property, the buyer pays only 1%, that of the transfer fee, and the remaining 5.3% of the tax is borne by the developer. If the house has been transferred to the owner from the developer and the owner resells it again, then the 6.3% tax will be negotiated between the buyer and the seller, usually split evenly.
Taxes and fees are estimates, and are payable only when the real estate is officially registered and transferred.
