Property taxes in Thailand for foreign buyers

When you buy a condo from a developer in Thailand, you pay your agreed share of the 2 % transfer fee, calculated on the Land Department's appraised value; the developer pays the seller's taxes. While you own it, there is a yearly land and building tax (from 0.02 % of the appraised value for a foreigner's condo), building fees and utilities. Rent is taxed in Thailand at progressive rates up to 35 %. At home, Germany, France and the Netherlands exempt Thai property income, while the US, the UK, Canada, Australia, Sweden and Denmark tax it with a credit for Thai tax.

"What taxes will I pay?" really means three questions: how much at purchase, how much every year, and what happens when I rent out or sell. We answer them in order, and then come to the part that depends on your passport and your home tax office.

The rates below come from the Thai Revenue Code, Thai law firms and the texts of the tax treaties, checked on 8 November 2026. This is not tax advice: before the deal, check your situation with a lawyer in Thailand and a tax adviser in your home country.

Taxes and fees when buying property in Thailand

All payments for the transfer are calculated and paid at the Land Office on the day of registration.

Buying from a developer. The developer pays the 3.3 % specific business tax and the 1 % withholding tax; stamp duty is not charged in that case. You pay your share of the transfer fee and the one-off building payments. Example (illustrative): if the appraised value is 3,000,000 baht, the transfer fee is 60,000 baht, and with a 50/50 split your share is 30,000 baht.

Two things to remember. The fee is calculated on the appraised value, not on your price. And the reduced 0.01 % fee in force until 30 June 2027 does not apply to foreigners: it is only for Thai citizens buying property up to 7 million baht.

Buying a resale unit. Which taxes the seller pays depends on how long they owned the unit: within five years – 3.3 % specific business tax, after five years – 0.5 % stamp duty, plus withholding tax. By law these are the seller's taxes, but the contract can split them differently, so always ask for a line-by-line estimate.

Who pays the transfer fee, we write in the listing straight away so there are no surprises. Very often it is 50/50 between buyer and seller. At Lumina Pool Villa in Pattaya, for example, the buyer and the developer split it equally. Keep every Land Office receipt: you will need them when you sell and take the money out of Thailand.

Yearly costs of owning a condo

Land and building tax. In force since 2020 and paid by whoever is the owner on 1 January. A condo let by the night is taxed at the commercial rate, from 0.3 % instead of 0.02 %. A foreigner's condo is usually treated as a "second home", and the 2026 yearly rates on the appraised value are:

So a condo valued at 3 million baht pays about 600 baht a year.

Building fees. The monthly common area fee and the one-off sinking fund are set by the developer and the juristic person of the condominium; there are no legal standard rates. From our catalogue: the common area fee at The Title Sierra is 2,272 baht a month per unit; the sinking fund at City Garden Tower is about 600 baht per m², at Lumina Pool Villa 1,500 baht per m².

Utilities. Deposits for water and electricity when you take over the unit, then monthly bills.

Rental income tax in Thailand

Rent from a Thai property is Thai income, and a non-resident must pay Thai tax on it too. The Revenue Department applies one progressive scale to all individuals: up to 150,000 baht a year is tax-free, then rates rise from 5 % to 35 %. If the tenant is a company, it withholds 5 %. The return is due by the end of March of the following year. A standard 30 % deduction for rental expenses is mentioned by advisers; check the conditions with an accountant.

If you spend 180 days or more a year in Thailand, you are a Thai tax resident, and foreign income earned since 2024 and brought into Thailand can also be taxed here. LTR visa holders are exempt.

Count rental income on a monthly basis: renting out a condo for less than 30 days without a hotel licence is illegal – see Risks.

Taxes when you sell

The seller pays at the Land Office on the day of transfer: 3.3 % specific business tax or 0.5 % stamp duty, depending on how long they owned the property, plus withholding tax. Keep the receipts together with your bank confirmation of foreign currency from the purchase – the bank will ask for them when you transfer the money out of Thailand.

Tax at home: what the treaties say

We checked the texts of ten tax treaties. Under all of them, Thailand may tax rent from property in Thailand. What differs is how your home country deals with it.

US citizens. Under the US–Thailand treaty, gains on selling property are not allocated to Thailand: each country taxes them under its own law, and the US taxes its citizens as if the treaty did not exist, with a credit for Thai tax. A condo you own directly does not go on FBAR or Form 8938, but a Thai bank account does once your foreign accounts exceed 10,000 dollars.

UK residents. Thai rent and gains go into your Self Assessment. Since 6 April 2025 there is a 4-year foreign income and gains regime for people who become UK resident after at least 10 years abroad.

Canada. Residents report specified foreign property costing more than 100,000 Canadian dollars on form T1135; property for personal use is excluded.

Spain and France. Spanish tax residents declare foreign property over 50,000 euros on Modelo 720. French residents with net real estate over 1.3 million euros pay the IFI wealth tax on property worldwide.

These are outlines only. Your adviser at home will tell you what applies to you.

Inheritance tax

Thailand. Each heir pays tax on what they receive from one deceased person above 100 million baht: 10 %, or 5 % for parents and descendants; a spouse is exempt. A foreigner without a domicile in Thailand pays only on property in Thailand. The return is due within 150 days.

United States. US citizens and residents pay estate tax on property worldwide, including a Thai condo. The basic exemption for 2026 is 15 million dollars.

United Kingdom. Since 6 April 2025, foreign property is within UK inheritance tax if the person was UK resident for at least 10 of the previous 20 tax years.

What to calculate before you reserve

• A line-by-line estimate: your share of the transfer fee, who pays the seller's taxes, legal fees.
• The appraised value – the transfer fee is calculated on it.
• The common area fee and sinking fund from recent receipts of the building management.
• For a resale unit – any debts to the building and unpaid land and building tax.
• If you plan to rent out – Thai tax on rent and how your home country treats it.

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