Long-term Land Rental

[simon43]

We are renting 1 rai of land on a 15 year term where we are building a small hotel. The monthly rental is all agreed and we have a contract. But our landlord tells us that he has to pay an annual tax to the government of 1% of the annual rent He is not asking us to pay it! But I want to understand if this is indeed true that an annual tax must be paid on rented land. If so, how is it calculated etc?

Thanks!

Simon

[Dragonman]

We are renting 1 rai of land on a 15 year term where we are building a small hotel. The monthly rental is all agreed and we have a contract. But our landlord tells us that he has to pay an annual tax to the government of 1% of the annual rent He is not asking us to pay it! But I want to understand if this is indeed true that an annual tax must be paid on rented land. If so, how is it calculated etc?

Thanks!

Simon

1% is the lease register fee, payable on the total assessed rental income over the term of the lease.

Normally paid by the lessee. He would be liable to 12.5% House and Land Tax! Keep quiet about everything.