House Sale Property Taxes

[Forza2002]

I am planning to sell my house (Wife's Name) privately (no agents) and want to know what the current various property tax % are. Also who (buyer/seller) is responsible for payment or is it normally split 50/50?

 

I believe that because of CV19 some tax concessions have been granted by the Govt. I found the following on a website but have no idea if the information is up to date?

1) Transfer Fee  - 2% - Buyer?

2) Stamp Duty  - 0.5%  - Seller?    

3) Withholding Tax - 1% - Seller?

4) Business Tax - 3.3% - Seller?

 

The property value is ~7M and I have held it for 6 years. There is an outstanding mortgage on the property of 2.5M so not sure if this complicates matters.

 

Having never sold a house here in Thailand, any 1st hand information about the whole process would be grateful as I'm not planning on using an agent.

 

Thanks in advance...

 

 

 

 

 

     

 

[Peterw42]

You appear to have found the correct figures.

Withholding tax is dependant on on other income the seller may have and Business tax is dependant on if the seller lived in the house or owned it for longer than 5 years (not payable in your case). The fees are usually split 50/50 but can be paid by either party, often negotiated as part of the overall price, you may offer to pay all the fees to make the property more attractive.

You may have penalties for paying out the mortgage early

 

[Forza2002]

55 minutes ago, Peterw42 said:

You appear to have found the correct figures.

Withholding tax is dependant on on other income the seller may have and Business tax is dependant on if the seller lived in the house or owned it for longer than 5 years (not payable in your case). The fees are usually split 50/50 but can be paid by either party, often negotiated as part of the overall price, you may offer to pay all the fees to make the property more attractive.

You may have penalties for paying out the mortgage early

 

Thanks Peter. My Bank mortgage has no redemption penalties after 3 years.. 

[baansgr]

It's what the land office valuations are...rule of thumb if Thai to Thai approx 5%...and norm is 50/50 split but that can be discussed either way. You will need the bank rep present at transfer to remove the mortgage befor transfer

[Duke007]

I just sold a property today and the land office charged 2% withholding for income tax. Does this vary by location?

[Peterw42]

On 6/10/2021 at 8:09 PM, Duke007 said:

I just sold a property today and the land office charged 2% withholding for income tax. Does this vary by location?

i think you will find the 2% is the normal transfer tax, not withholding tax, withholding tax is 1% not 2%.

The fees and taxes are the same all over Thailand

[khunPer]

On 6/8/2021 at 2:25 AM, Forza2002 said:

The property value is ~7M and I have held it for 6 years. There is an outstanding mortgage on the property of 2.5M so not sure if this complicates matters.

You can use the tax-calculator HERE.

 

Mortgage need to be paid (or cleared) before transfer can be done.

 

Based on price of 7 million baht (whatever is highest. sales price or appraised price) and 6 years ownership (I used 1st Jan. 2015 to 1st Jan. 2021 as example), and registered for private home with personal ownership, your tax could be 385,000 baht; however test yourself.

Quote

Transfer fee (2%)  (calculated from appraisal price)	140,000	THB
* Business Tax ()  (calculated from higher figure)		THB
* Stamp Duty (0.5%)  (calculated from higher figure)	35,000      occupied 6 year(s)	THB
* Withholding Tax  (calculated from appraisal price)	210,000      occupied 7 year(s)	THB
TOTAL 385,000 THB

 

[Forza2002]

On 6/12/2021 at 12:29 PM, khunPer said:

You can use the tax-calculator HERE.

 

Mortgage need to be paid (or cleared) before transfer can be done.

 

Based on price of 7 million baht (whatever is highest. sales price or appraised price) and 6 years ownership (I used 1st Jan. 2015 to 1st Jan. 2021 as example), and registered for private home with personal ownership, your tax could be 385,000 baht; however test yourself.

 

Thanks Per...

[Yellowtail]

On 6/8/2021 at 7:25 AM, Forza2002 said:

I am planning to sell my house (Wife's Name) privately

 

Where is it?