New Law For Transfer Fee ?

[importford]

I have some legal problems with the new law:

4. Fee reduction to 0.01% for the transfer (previously 2%) and mortgage (previously 1 %) of property and condominiums, residences and commercial buildings in accordance with 3 Notices of the Ministry of Interior dated 24 March B.E.2551.

But my accountant told me that this translation is not accurate.

He told me that the fee reduction for the transfer of land (from 2% to 0.01%) is only valid if there is a private residence built on the land.

Only companies that are registered real estate companies can have the tax reduction to 0.01%

If your company is not a real estate company (we have an export company);

we can only enjoy the tax reduction to 0.01% IF THERE IS A residence house build on the land.

Is this true??????

He told me that in the law they are talking about : " Tee Yoo ASAI "

According to him this means that there has to be a residence built on the land included with house book and house number.

Is this possible?

Because we have land on the name of the company of my wife.

She wants to transfer the land from the company to her private name.

There is nothing built on the land (1Rai).

According to my wife and our accountant, we will have to pay 2% and NOT 0.01 % transfer fee because there is NO residence address on the land (no house book, no house number). Even more, the land is empty.

Can somebody check the translation with the original law, because this will make a big difference for us. Thanks guys...

[quiksilva]

Yes that's correct it does not apply to vacant land.

[importford]

Yes that's correct it does not apply to vacant land.

So will it be sufficient that I have house plans accepted and stamped by the townhouse so that I can demand a house number and house book ?

Or does the building on the land has to be finished in order to apply for the new law?

[quiksilva]

I'm not sure but I'll look into it. I suspect that it'll have to be built.

The LD usually require to see a copy of the building permit at transfer, if you need a quick answer its probably best to check with your lawyer.

[MrIrrisistable]

To get house registration the house has to be 80% complete.

[importford]

It seems to be "Thai System" all over again.

Some Land Departments will accept a stamped copy of the building permit.

Other officials will want to check the building and other officials want it to be finished for at least 80%.

The interpretation of the law is again at the will of the officials of the Land Department.

The only thing we want is to enjoy the profits of this new law. And we know we can't do this with a vacant land.

So we will try it first with a stamped copy of the building permit.

If this is refused, we will built quickly a small building on the land.

I think there is nothing else we can do.

Again, thanks for the info.