Summary

A property transfer in Thailand is registered at a Land Office, where the fees and taxes are collected. The standard transfer fee is 2% of the official appraised value and the mortgage registration fee is 1% of the loan, the Department of Lands (DOL) says. Until 30 Jun 2027, both fall to 0.01% when a Thai individual buys a home or condo whose sale price and appraised value are each no more than THB 7 million.

Sellers also face either specific business tax (SBT) or stamp duty, and withholding tax on the income from the sale. SBT is 3% of the sale price or appraised value, whichever is higher, plus a local tax of 10% of the SBT, for an effective 3.3%, the Revenue Department (RD) says.

What this means for Thailand buyers and sellers

The main costs

CostRateBase
Transfer fee2% (0.01% under the current cut)Appraised value
Mortgage registration fee1% (0.01% under the current cut)Loan amount
Specific business tax3% plus 10% local taxHigher of sale price and appraised value
Stamp dutyPayable only when SBT is not—
Withholding tax (individual seller)Progressive income tax scaleAppraised value, less a deduction for years held

Sources: DOL; RD.

When specific business tax applies

An individual who sells within five years of acquiring a property pays SBT, under Royal Decree No. 342 of 1998, unless an exemption applies, the RD says. The main exemptions are:

  • the seller's name has been on the house registration for at least one year, which need not be continuous;
  • the property was inherited; or
  • the sale is a compulsory purchase.

So SBT is not due if the seller has held the property for five years or more, or has been on its house registration for a year. If SBT is paid, stamp duty is not.

Withholding tax for individual sellers

For an individual, the Land Office works out the withholding tax from the appraised value. It deducts a percentage for the years held, which falls from 92% of the income for one year to 50% for eight years or more, divides by the years held, applies the personal income tax scale of 5% to 35%, and multiplies back, according to the DOL's worked examples.

The fee cut for homes up to THB 7 million

The cut applies to detached houses, semi-detached houses, townhouses, shophouses and condominium units, new or second-hand, bought by Thai individuals, the DOL says. The sale price and appraised value must each be THB 7 million or less per contract, and the mortgage must be registered at the same time as the transfer, for a loan of THB 7 million or less. Vacant land does not qualify, and above the limits the full fees apply.

Illustration: a THB 5 million condo

Illustration only. A Thai buyer pays THB 5 million for a condo appraised at THB 5 million and borrows THB 4 million. Under the cut, the transfer fee is THB 500 and the mortgage fee THB 400; at standard rates they would be THB 100,000 and THB 40,000. If the seller had owned it for three years and had not been on the house registration, SBT would be THB 165,000.

FAQ

What is the transfer fee in Thailand? 2% of the appraised value, cut to 0.01% until 30 Jun 2027 for qualifying homes up to THB 7 million bought by Thai individuals. When is specific business tax charged? When an individual sells within five years of acquisition, unless they have been on the house registration for a year or another exemption applies. Do foreign buyers get the fee cut? No. The buyer must be a Thai individual.

Education only — not tax, legal or investment advice. Confirm with a licensed professional.

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