U.S. Citizens Can Own 1 Rai Of Land?

[DavidMavec]

Hello...

There have been several people in my social circle in Thailand who have made comments to the effect of "Americans can own 1 rai of land" and "the only farangs that can own land are U.S. citizens". I'm trying to get the goods on this. Is this statement just ignorant barroom chatter, is it true, what are the conditions if so, where can I find additional information, etc. Any details appreciated...

Thanks!

[WarpSpeed]

I vaguely remember reading that somewhere but don't remember the source..

[DavidMavec]

Thanks... anyone know more?

[thaiwanderer]

IIRC the treaty benefits americans have do not extend to owning land.

With BOI approval any foreigner may own one rai but the criteria and restrictions make it unattractive.

[talk2sam]

Beer palour gist...

[Soutpeel]

Remember a few years ago reading there is a rule somewhere which would allow this, but the process is so complicated, expensive ?.....not worth the hassle and believe no US citizen has ever managed to do it....so on paper it may look possible, but in practice something completely different..

Actually the rule I am thinking of is this and doesnt only apply to US citizens

1 Rai, 40 million baht

A foreigner may be allowed to own up to 1 rai of land in their own name if they invest 40 million baht in Thailand and receive a “Board of Investment” approval. The land must be used for residential purposes and other conditions apply.

Edited August 5, 2011 by Soutpeel

[stgrhe]

False, there are no current treaty that would allow any foreigner to own one rai of land through a treaty.

This rumor has probably its source from the US – THAI AMITY TREATY FROM THE VIETNAM WAR

"The treaty of amity allows Americans to own 100% of their firms in restricted businesses. However, they are not classed as Thai firms, and thus are still not allowed to purchase land.

There are exceptions to this though when legitimate companies are involved. The Board of Investment will allow qualifying firms to purchase land for the director's residence, head office, and a factory (which is also possible via IEAT).

They can also grant land ownership privileges to qualifying firms who will build and own a hotel so long as it has at least 100 rooms."

This has, however, nothing to do with ownership of land.

[johnnyk]

Americans are just the same as any other falang as far as Thais are concerned. No land ownership.

[farang62]

Take a look at the "Thailand American Treaty of Amity" the only online copy is on the Thailand Embassy web site in Washington D.C., and yes it is still in effect and no plans to cancel it.(read how the treaty can be cancelled)

Read it carefully, the treaty is between His Majesty The King Of Thailand and L.B J. President of the United States. So no government was involved in this treaty!

There are 2 copies English and Thai, both are legal translations for use of the treaty. You can download the copies and get them certified by the U.S. Embassy in Bangkok.

Yes there is a clause about owning,using land for the company, again read it, than read it again.

I own 91% of my company and enjoy many benefits especially from the U.S. in importation of "restricted items". There are people at the Embassy who will help you with the application and it is encouraged for U.S. Citizens.

Again read the treaty, remember the translation is also legal, so don't let anyone tell you otherwise. An added advantage is NO Nominees are needed, if something happens you are completely legal under the treaty.

The funny thing is that most government locations do not you are under the treaty, so bring the Treaty Registration paper with you, they usually will say it's no good or wrong government. A call to the Embassy usually opens the door to rights granted under the treaty.

[thaiwanderer]

Take a look at the "Thailand American Treaty of Amity" the only online copy is on the Thailand Embassy web site in Washington D.C., and yes it is still in effect and no plans to cancel it.(read how the treaty can be cancelled)

Read it carefully, the treaty is between His Majesty The King Of Thailand and L.B J. President of the United States. So no government was involved in this treaty!

There are 2 copies English and Thai, both are legal translations for use of the treaty. You can download the copies and get them certified by the U.S. Embassy in Bangkok.

Yes there is a clause about owning,using land for the company, again read it, than read it again.

I own 91% of my company and enjoy many benefits especially from the U.S. in importation of "restricted items". There are people at the Embassy who will help you with the application and it is encouraged for U.S. Citizens.

Again read the treaty, remember the translation is also legal, so don't let anyone tell you otherwise. An added advantage is NO Nominees are needed, if something happens you are completely legal under the treaty.

The funny thing is that most government locations do not you are under the treaty, so bring the Treaty Registration paper with you, they usually will say it's no good or wrong government. A call to the Embassy usually opens the door to rights granted under the treaty.

So your amity company owns land? The treaty precludes land ownership.

Technically the treaty expired in 2005 (though FTAs in its place are slow coming).

[USExpat]

Technically the treaty expired in 2005 (though FTAs in its place are slow coming).

According to the US State Department the Treaty has not expired and it will continue until the US or Thai governments deside to withdraw from it.

[phuketrichard]

As far as i understand it, Americans can own a company in Thailand 100% (no need for any thai nominees)and then said company can purchase land.

[thaiwanderer]

As I said, it technically expired. But the benefits in reality continue.

Thailand couldn't renew the treaty without extending the benefits to all WTO member states.

The solution, as is often the case, is a grey area.

It allows Americans to majority / totally own and operate companies in Thailand and not be limited by many FBA and other restrictions.

While this puts them on a par in many respects (but not all) with Thai companies they are still 'aliens'.

The treaty does not allow amity treaty companies to own land and if anyone can point out my error I'd more than welcome being corrected.

Edited August 7, 2011 by thaiwanderer

[HAL9000]

Search the news forum. There was an article a few months back featuring an Immigration outreach seminar in Chiang Mai that explained that foreigners can own small pieces of land. I don't know if outright purchase is allowed, or if it is only possible if they are the beneficiary of an inheritance - deceased spouse - or divorce settlement.

[Sunbelt Asia]

The Amity Treaty does not allow US citizens or US companies to own land. Section 86 Land Code Act states: 'Foreigners may acquire land by virtue of the provisions of a treaty giving the right to own immovable properties and subject to the provisions of this Code'. However, the last treaty allowing foreign ownership of land expired in 1970 and the Amity treaty has the following restrictions:

Restricted from owning land; engaging in the business of inland communications; inland transportation; fiduciary functions; banking involving depository functions; engaging in domestic trade in indigenous agricultural products; and exploiting land or other natural resources.

Theoretically, Section 96 of the Land Code Amendment of 1999 allows the purchase of 1 rai for residential purposes through the Board of Investment. This requires a 40 million baht investment into Thailand in specified assets or government bonds beneficial to the Thai economy and approval by the Minister of Interior and only under strict restrictions and to set locations. It is not transferable by inheritance.

Also theoretically, foreigners can inherit and occupy 1 rai of land as statutory heirs but this also must be granted by the Minister of Interior. Generally, the rule is the surviving spouse has one year to dispose of the property.

[sunbelt][/sunbelt]