In light of the COVID-19 situation, the Thai government has cut the tax of land and buildings by 90% for the taxes due in the tax year 2020. This is to relieve the burden on taxpayers.
The Thai government would also help local administrative organisations financially as well. These local administrative organisations rely on the collection of land and building taxes for their own expenses.
For most overseas property investors, you will not be affected by the Land and Building Tax Act. Under the existing law, first-home owners are already tax-exempted for the value of land and buildings up to 50 million baht, and 10 million baht if they only own the structures but not the land. Thus for condominiums, if you own one property and if that property is less than 10 million baht, you will not be taxed. If the value is higher than 10 million baht, then the tax rate will be 0.02%.
For example, if your property is 15 million baht, the tax payable will be 0.02% x 15 million = 3000 baht.
With the 90% cut, you will pay 300 baht.
Hope this is clear to everyone.
For an in-depth article of the Land and Building Tax Act, you can refer to this article:
The team at Invest Bangkok Property
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