OneZero Posted June 22, 2018 Share Posted June 22, 2018 (edited) I'm not sure if it varies from one location to another, but this question pertains to purchase of condo in Jomtien (Pattaya land office). Assuming a condo has been owned for at least 5 years, what are the various % Pattaya land office charges to transfer title (as a percentage of at least the land offices minimum evaluation of a particular condo bldg)? Specifics: I am buying a Jomtien condo that has been owned by seller far longer than 5 years I'm told that the land office has a minimum valuation for this bldg of 40,000 thb / square meter (m2). Seller & I will split land office charges 50/50. I have long been under the assumption that the various % charges the Pattaya land office makes will sum up to a bit over 3% of evaluation (assuming it has been owned longer that 5 years). Real estate agent says I don't need to go to land office if I give power of attorney. Real estate agent also says that in the case described (seller has owned at least 5 years) the charges will be closer to 7% rather than the 3+% that I was assuming. My suspicions have been raised. Can anyone provide advice? Edited June 22, 2018 by OneZero Link to comment Share on other sites More sharing options...
thaitero Posted June 22, 2018 Share Posted June 22, 2018 I think this 5 years or more reduction applies only if seller is selling his own home and have been properly registered to that address so not for farang owners.. Not sure though about this,,, Link to comment Share on other sites More sharing options...
KittenKong Posted June 22, 2018 Share Posted June 22, 2018 You sent me a PM about this, to which I replied. I will also post the content of my reply here as it may benefit others: This explains it fairly well and 7% is not so far off the mark. https://www.samuiforsale.com/real-estate/condominium-transfer-tax-and-fees.html As always in Thailand, there are no hard and fast rules and everything can change according to what people have for breakfast. I would never give power of attorney to anyone in Thailand, regardless of skin colour. Far too many cheats here for that. Link to comment Share on other sites More sharing options...
OneZero Posted June 22, 2018 Author Share Posted June 22, 2018 Thanks for replies. I will certainly go to the land office. Link to comment Share on other sites More sharing options...
Pattaya46 Posted June 22, 2018 Share Posted June 22, 2018 (edited) Hi Unsure where your 7% come from... ?? I sold last month a condo I owned in South Pattaya for nearly 10 years. The total of taxes at the Land office (buyer + seller) was about 2.7% of declared price and nothing more to pay that these official taxes for which you get a receipt. Edited June 22, 2018 by Pattaya46 Link to comment Share on other sites More sharing options...
OneZero Posted June 23, 2018 Author Share Posted June 23, 2018 In the sales & purchase contract I have agreed to pay 50% of All closing costs at land office. My mistake. One of the closing costs is "Income Tax", which should be solely a sellers responsibility if one looks at it from a moral responsibility only. The calculation of this sellers "Income Tax" is rather convoluted based partly upon years of ownership & what all else I'm not sure (The seller happens to be a Maj General & is quite rich, but I'm not sure of that impact). In any event this sellers "Income Tax" alone has added 200,000 thb alone to the land office costs, of which I have to pay half. The 2% transfer tax on the 5 million thb condo is 100,000 thb. Transfer tax (100,000 thb) + income tax (200,000 thb) = 300,000 thb so I'll be paying approx 150,000 thb. It's the "Income Tax" variable which in some cases can make the land office cost very expensive, even if one is not obligated to pay the "Business Tax" (for a sale prior to 5 years ownership). Live & learn. Link to comment Share on other sites More sharing options...
ballbreaker Posted June 23, 2018 Share Posted June 23, 2018 Try link to transfer cost calculator and see what it generates for your purchase. http://www.acuterealty.com/calculator.asp Link to comment Share on other sites More sharing options...
OneZero Posted June 23, 2018 Author Share Posted June 23, 2018 Owner is Person Company Selling Price: baht Land Dpt. Appraizal Price: baht Occupied Date: -- 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 -- January February March April May June July August September October November December -- 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Transfer Date: 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 January February March April May June July August September October November December 2018 2019 2020 2021 Owner has registered its name in a House Registration Book (Blue Book) totally more than 1 year Owner has never registered or registered its name in a House Registration Book (Blue Book) less than 1 year Condominium or Property in Project Private property, not in project Person Owner has registered its name in a House Registration Book (Blue Book) totally more than 1 year Condominium or Property in Project Expenses Detail Transfer fee (2%) = 100,000 * Business Tax (3.3%) = * Stamp Duty (0.5%) = 25,000 occupied 12 year(s) * Withholding Tax = 125,000 occupied 10year(s) Total= 250,000 baht *** Link to comment Share on other sites More sharing options...
OneZero Posted June 23, 2018 Author Share Posted June 23, 2018 Don't know how all that other data got in the input data. Anyway, the owner has actually owned it more like 20 yrs since 1998 (but the calculator only went back to 2006), so instead of 125,000 income tax it will be more like 200,000. In actuality income tax is a sellers responsibility morally, but it is all part of the negotiation. My ignorance of the income tax aspect and agreeing to pay half of everything (therefore including sellers income tax) was where I erorred in the negotiation. However, the seller did not really want to sell at the agreed price, so he was probably aware of snaring me into paying half of his "income tax". Win some, lose some. Link to comment Share on other sites More sharing options...
topt Posted June 25, 2018 Share Posted June 25, 2018 On 6/23/2018 at 6:54 PM, OneZero said: However, the seller did not really want to sell at the agreed price Curious so any idea what forced his hand as earlier you said? On 6/23/2018 at 1:12 PM, OneZero said: The seller happens to be a Maj General & is quite rich, Link to comment Share on other sites More sharing options...
OneZero Posted June 26, 2018 Author Share Posted June 26, 2018 We're not close but We've known each other for about 20 years. When he was a lower rank I was an advisor to RTA & we crossed paths. Link to comment Share on other sites More sharing options...
starway Posted July 3, 2018 Share Posted July 3, 2018 hello If I transferred money direct to developer about the first down payment who generate for me the FET? Link to comment Share on other sites More sharing options...
KittenKong Posted July 4, 2018 Share Posted July 4, 2018 It is inadvisable to do this. Set up your own bank account here, transfer your money to it from abroad, then send the correct amount of Thai Baht to the developer's account using internet banking. That way you will have a proper trace of everything sent, and you will also have the FET form. 1 Link to comment Share on other sites More sharing options...
Alan1203 Posted July 17, 2018 Share Posted July 17, 2018 Would a photocopy of the FETF from the developer's bank suffice? And what happens if you can't obtain a copy of an FETF (from the developer) because the initial booking/deposit is less than 50,000 USD? Does that initial amount face issues when transferring money back overseas if/when the condo is sold? Link to comment Share on other sites More sharing options...
KittenKong Posted July 18, 2018 Share Posted July 18, 2018 Banks will always issue a suitable form indicating the details of a forex transfer, regardless of the amount. Some people do make transfers to the developer's account, and the developers do seem to get suitable documents issued to allow for the chanote to be issued, but it is not the way I would do it under any circumstances. Open an account here and just do all your transfers and payments through it, with no exceptions. That way there should be no problems with the money side now or ever, and you will have the full paper trail for when you want to export the money again. Anything else may cause problems. Link to comment Share on other sites More sharing options...
Alan1203 Posted July 18, 2018 Share Posted July 18, 2018 I thought foreigners can't open an account without any reason/ties to the country. Only after purchasing a condo would it warrant a reason to open an account. Anyhow, I do have an account now, and I am trying to make a deposit from overseas. If I transfer money to my Thai account now, can I walk in and ask for my FETF in about 5 months time (December, when I visit again)? Link to comment Share on other sites More sharing options...
KittenKong Posted July 19, 2018 Share Posted July 19, 2018 5 hours ago, Alan1203 said: If I transfer money to my Thai account now, can I walk in and ask for my FETF in about 5 months time (December, when I visit again)? Yes, though bear in mind that some Thai banks dont process an incoming transfer without first getting you to accept the rate, so make sure your phone number is valid. This is an opportunity to negotiate that rate. Link to comment Share on other sites More sharing options...
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