Jump to content

Tax on sold company house.


Recommended Posts

I have a question about the amount (%)of tax to be paid on the profit when you sell a property(land and house)

in a company.

I have heard very different amounts and would like to know just to be able to draw future plans.

Any information from some one who knows is welcome.

 

Link to comment
Share on other sites

  • 1 month later...

Article found on Internet : 

 

Property Transfer Taxes

Thailand Property

Example Of How To Calculate Taxes And Costs:

§  Suppose that the government assessed price is 50,000 Baht per square meter

§  All areas are 100 square meter

§  The total assessed price is 5,000,000 Baht

§  Actual selling price is 6,000,000 Baht

§  The Seller possessed this property for 3 year

Withholding Taxes

The government assessed price = 5,000,000 Baht
Deduction with the expense of possession for 3 years for 77% = 3,850,000

Balance = 1,150,000 (5,000,000 - 3,850,000)
Divided by the 3 year of possession
Balance = 383,333.33 (1,150,000/3)

Taxation on progression rate
1 to 80,000 = exempt
80,001 - 100,000 = 5% (1,000)
100,001 383,333.33 = 10% (28,333.23)
Total = 29,333.23 (1,000 + 28,333.23)

Multiply by the year of possession = 87,999.69 (29,333.23 x 3)

In this case withholding tax is 87,999.69 Baht (A)

Government Fee For Transfer

2% is based on the government assessed price so 5,000,000 x 2% Balance = 100,000

Transfer fee is 100,000 Baht (B)

Stamp Duty

In this case is exempt. This is because transaction is subject to the specific Business Tax (possession of less than 5 year before sale).

Specific Business Tax

3.3% for Specific Business Tax based on the government assessed price or sale whichever is higher. In this case sale price is higher than government so 6,000,000 x 3.3% = 198,000.

Specific business tax is 198,000 Baht (C)

 

TOTAL EXPENSES ARE: 385,999.69 BAHT (A+B+C)

  • Like 2
Link to comment
Share on other sites

The above applies if the company is selling a house that it owns. But if you wish to sell a house that is owned by a company (and that is all the company is used for), then there is just a transfer of shareholders from you and the other directors to the directors nominated by the buyer. There are some small transfer fees involved, but no tax on the sale because the house is not actually being sold; just a change of shareholders in the company.

  • Like 1
Link to comment
Share on other sites

On 01/03/2018 at 5:09 PM, Delight said:

 Just inputted the data as per Star Jedi example -I get a different result using the calculator

 

Specific Business Tax  198000  -same  as Star Jedi

 

Transfer fee -100,000 -same as Star Jedi

 

Withholding tax is 87,999.69 Baht   as per Star Jedi.       85000  Baht as per calculator.


 

Only 3000 Baht difference

 

Suggest use calculator as a guide

 

 

 

 

Edited by Delight
Added more text
  • Like 1
Link to comment
Share on other sites

  • 4 weeks later...

Many are reluctant to buy a property via transfer of shares.

 

I think what the OP is saying is that when selling a property owned by a company to an individual person,  after paying the transfer fee, would the tax department come after him for any appreciation of the companies assets (the property) if the company is then terminated.

Link to comment
Share on other sites

2 hours ago, THAIJAMES said:

Many are reluctant to buy a property via transfer of shares.

 

I think what the OP is saying is that when selling a property owned by a company to an individual person,  after paying the transfer fee, would the tax department come after him for any appreciation of the companies assets (the property) if the company is then terminated.

Yes that i would like to know also.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Recently Browsing   0 members

    • No registered users viewing this page.








  • Topics

  • Latest posts...

    1. 0

      Rotterdam Stabbing Rampage Knifeman shouted "Allahu Akbar"

    2. 0

      More Than 70,000 Soldiers Fighting for Russia Have Now Been Killed

    3. 0

      Former C.I.A. Officer Sentenced to 30 Years for Sexual Assault and Drugging Women

    4. 0

      Ukraine’s Right to Strike America Should Allow Missiles to Hit Military Targets in Russia

    5. 0

      Chechen Leader Accuses Elon Musk of Disabling Cybertruck

    6. 0

      Labour Councillor’s Controversial Past Resurfaces After Promotion to Leadership

    7. 0

      Taylor Swift Shines in Poll, Surpassing Expectations Against Trump and Harris

    8. 0

      Shocking Revelations at Sean Diddy Combs Hamptons Sex Parties

    9. 0

      Italy Advances Proposal for Chemical Castration of Rapists and Pedophiles

    10. 0

      Harris-Walz Campaign Opts for Media Silence as Election Nears

    11. 0

      Starmer Asserts Control Amid Internal Turmoil Over Sue Gray’s Salary Dispute

    12. 18

      High cholesterol as a pre-existing condition?

    13. 2

      Extension longer than visa validity.

    14. 46

      Why do some Farang worry so much about Thailand being too =hot=?

×
×
  • Create New...
""