Tax guide
Thailand Property Transfer Taxes and Fees (2026)
Quick answer
Land Department charges on a transfer, as of Q3 2026, are the 2 percent transfer fee, 3.3 percent specific business tax or 0.5 percent stamp duty, and withholding tax, calculated on the appraised value. Appraised value is typically 60 to 80 percent of the transaction price. A lawyer's fee is separate. Most lawyers work to a flat rate of 50,000 to 100,000 THB.
Key facts
| Item | Value |
|---|---|
| Land Department transfer fee | 2 percent of appraised value |
| Specific Business Tax (SBT) | 3.3 percent, seller holding under 5 years |
| Stamp duty where SBT does not apply | 0.5 percent |
| Withholding tax, individual seller | 1 to 35 percent sliding scale |
| Withholding tax, corporate seller | 20 percent of net profit |
| Lawyer fee | Usually a flat 50,000 to 100,000 THB |
The Land Department charges, and the lawyer's fee
The Land Department charges are the transfer fee of 2 percent, the Specific Business Tax of 3.3 percent if the seller has held less than five years, stamp duty of 0.5 percent where SBT does not apply, and withholding tax of 1 to 35 percent on a sliding scale for individuals or 20 percent of net profit for corporate sellers. By convention the transfer fee is split equally between buyer and seller and SBT, stamp duty, and withholding tax are borne by the seller, but every line item is negotiable in the contract. A lawyer's fee is separate from those charges. Most lawyers work to a flat rate of 50,000 to 100,000 THB. We do not publish a percentage, because the fee is set by the lawyer.
Appraised value versus transaction price
The Land Department appraised value, used for the tax calculation, is usually 60 to 80 percent of the agreed transaction price. The appraised value is updated periodically and is based on a published reference rate per square wah for land and per square metre for buildings, by road and zone. If the transaction price declared at transfer is more than the appraised value, the tax is paid on the declared price. If the declared price is below the appraised value, the tax is paid on the appraised value.
Specific Business Tax and the five year rule
Specific Business Tax of 3.3 percent of the appraised value applies where the seller has held the property for less than five years and the property is not the seller's primary residence registered for at least one year. A seller who has held for more than five years, or who has used the property as a primary residence, pays stamp duty of 0.5 percent instead. This creates a material incentive to hold for the full five year period before selling, and affects the timing of any resale.
Withholding tax calculation for individuals
Withholding tax on an individual seller is not a flat rate. It is calculated by taking half of the appraised value after deducting the standard allowance, dividing by the number of years of ownership, and applying the personal income tax progressive bands to that annualised amount. The result is then multiplied back by the years of ownership. The effective rate is in the range of 1 to 5 percent for most transactions in Hua Hin, because the annualised amount falls in the lower bands. A corporate seller pays flat 20 percent of net profit and the calculation is different.
Legal fees and who actually does the conveyancing
Thai conveyancing does not require a licensed solicitor, but a foreign buyer should use a Thai-qualified conveyancer for title verification, contract drafting, and Land Department representation. Most lawyers work to a flat rate of 50,000 to 100,000 THB. We do not publish a percentage, because the fee is set by the lawyer. Never use the seller's or developer's lawyer; the conflict is real and unmanageable.
A worked example
A 12 million THB villa held by a seller for three years, with an appraised value of 9 million THB, would attract a 180,000 THB transfer fee, 297,000 THB Specific Business Tax, and approximately 45,000 THB withholding tax. Those Land Department charges come to 522,000 THB. The same transaction with the seller having held more than five years pays stamp duty of 45,000 THB instead of Specific Business Tax, so the Land Department total is 270,000 THB. A lawyer's flat fee of 50,000 to 100,000 THB sits on top of either total and is not included in it.
This guide is published as of the updated date shown above and reflects Thai land and tax rules current at that time. It is general information and not specific legal or tax advice. For a transaction, instruct a Thai-qualified lawyer or accountant.
Frequently asked questions
Who pays the transfer fee on a Thai property sale?
By convention, the 2 percent Land Department transfer fee is split equally between buyer and seller, but every line item is negotiable and the market convention varies by region and by deal size. The contract specifies who pays what.
What is Specific Business Tax in Thailand?
Specific Business Tax is 3.3 percent of the appraised value, payable by the seller where the property has been held for less than five years and is not the seller's registered primary residence for at least one year. Where SBT does not apply, stamp duty of 0.5 percent applies instead.
Is the withholding tax a fixed 1 percent in Thailand?
For individuals, no. Withholding tax on an individual seller is calculated on a sliding scale after annualising the gain over the period of ownership. The effective rate is typically 1 to 5 percent. For corporate sellers, withholding tax is 20 percent of net profit.
Why is my appraised value lower than the price I agreed?
The Land Department appraised value is a reference rate per square metre, updated periodically. It typically runs 60 to 80 percent of the market price. Tax is paid on the higher of the appraised value and the declared transaction price, so the appraised value sets a floor on the tax base.
Is the 2 percent transfer fee ever reduced?
Yes, periodically. The Thai government reduced the transfer fee to 0.01 percent on residential property under 5 million THB from 2021 to 2024 as a stimulus measure, then restored to 2 percent. No reduced rate is in force as of Q3 2026. Always check the current rate before budgeting.
Can I reduce my tax bill by declaring a lower price?
You cannot. Tax is paid on the higher of the appraised value and the declared price. A declaration below appraised value triggers the appraised value as the tax base, and a declaration materially below market can attract scrutiny from the Revenue Department.
Do leasehold registrations have the same fees?
No. A leasehold registration attracts 1 percent of the lease value, paid once. There is no SBT on the lease creation. This is a material difference from freehold. A lawyer's fee for drafting the lease is separate, and most lawyers work to a flat rate of 50,000 to 100,000 THB.
How much should I budget for legal fees?
Most lawyers work to a flat rate of 50,000 to 100,000 THB. We do not publish a percentage, because the fee is set by the lawyer. Conveyancing that is rushed is the source of most post-transfer title defects in Thailand.