Taxes and Fees Payable Upon Property Purchase
Generally speaking, who pays what percentage of the total transfer fees and taxes is negotiated during drafting the purchase contract and varies greatly from the seller paying 100% of the fees and taxes to the buyer covering 100%. Because of the quickly increasing property and housing prices in Chiang Mai, in most cases the assessed value of the house is much lower than the actual purchase price. The values below are levied on the assessed value as determined by the land office.
| Taxes and Fees | Typically Paid By | Rates |
|---|---|---|
| Transfer Fee | Buyer | 2% of the assessed value |
| Stamp Duty | Seller | 0.5% of the registered value |
| Withholding Tax | Seller | 1% of the appraised or registered value (whichever is higher) |
| Business Tax* | Seller | 3.3% of the appraised or registered sale value (whichever is higher) |
Business Tax: This tax is applied on property that has been held less than five years and replaces the Stamp Duty.
The total taxes and fees for transferring ownership of a property varies, but is generally between 7 to 8% of the assessed value of the land and house.