This article covers the taxes and fees an individual owner pays when selling a condominium in Thailand, how each one is calculated, and a worked example in baht. It is part of the Zagdim Thailand property series and is written for overseas owners preparing to sell. For the whole selling process, see the main article “Selling Property in Thailand as a Foreigner: Buyers, Process, Taxes and Moving the Money Out”.
Why Are Thai Property Sale Taxes Easy to Get Wrong?
Thai property sale taxes are not one rate multiplied by the sale price. The four charges use different bases: some use the official appraised value, some use the higher of the contract price and the appraised value. Holding periods are also counted differently, by exact days for one test and by calendar years for another.
Two things circulating online are wrong. The figure “1% withholding for individual sellers” applies only to corporate sellers. Older guides that say specific business tax applies to sales within 3 years are also out of date: the correct period is 5 years.
Which Taxes and Fees Do You Pay? The Short Answer
An individual seller pays the following in one go at the Land Department (กรมที่ดิน) on the day of transfer:
- Transfer registration fee: 2% of the official appraised value, reduced to 0.01% when the buyer is a Thai-national individual who meets the conditions.
- Specific business tax (ภาษีธุรกิจเฉพาะ) or stamp duty (อากรแสตมป์), one or the other: a sale less than 5 years after acquisition pays specific business tax of 3.3%; from 5 years onward, stamp duty of 0.5% applies instead. Both are calculated on the higher of the contract price and the official appraised value.
- Withholding income tax (ภาษีเงินได้หัก ณ ที่จ่าย): based on the official appraised value and calculated according to the number of years held.
Thai law does not say who must pay which item. By custom the transfer fee is split equally, while specific business tax or stamp duty and withholding income tax fall on the seller, but the sale and purchase agreement governs. The sources reviewed show no separate capital gains tax in Thailand; tax on the gain from selling a home is collected through the withholding income tax.
How Is the Transfer Registration Fee Calculated, and When Does It Drop to 0.01%?
The standard rate is 2% of the official appraised value (ราคาประเมินทุนทรัพย์), not of the contract price.
A Ministry of Interior announcement reduces the transfer registration fee, and the mortgage registration fee registered at the same time, to 0.01% when all of these conditions are met:
- The condominium is in a building with a registered condominium juristic person.
- The contract price and the official appraised value are both no more than THB 7 million, and any mortgage is also no more than THB 7 million.
- The buyer is a Thai-national individual.
The announcement was published in the Royal Gazette (ราชกิจจานุเบกษา) on July 1, 2026, and applies until June 30, 2027. It does not apply to foreign buyers, who pay the full 2%.
The announcement’s conditions concern the buyer and the price. They do not restrict the seller’s nationality. It follows that a foreign seller who sells a qualifying unit to a qualifying Thai buyer could also benefit from the 0.01% rate. This is an inference and still needs confirmation from the Land Department office handling the transfer. Whether the reduction is extended after it expires depends on a future decision.
Specific Business Tax or Stamp Duty: How Does the 5-Year Test Work?
A sale less than 5 years after acquisition pays specific business tax; from 5 years onward, stamp duty applies instead. Only one of the two is paid.
- Specific business tax: 3% of the tax base, plus a local tax of 10% of the tax amount, for a total of 3.3%. The base is the higher of the contract price and the official appraised value recorded on the Land Department’s tax statement (ท.ด.16), with no deductions. If the property is mortgaged, the mortgage burden is added to the proceeds.
- Stamp duty: THB 1 per THB 200, which is 0.5%. For an individual seller it is also calculated on the higher of the contract price and the official appraised value.
The 5 years are counted day to day, from the acquisition date to the transfer date. This differs from the withholding tax in the next section, which counts years by calendar year. For example, if you bought in August 2022 and sell in October 2026, the sale spans five calendar years, but on a day-to-day count it is still short of 5 years, so specific business tax is payable.
Exemptions within the 5 years include compulsory acquisition by law, inheritance, and a home used as the main residence where the seller’s name has been on the house registration book (ทะเบียนบ้าน, Tabien Baan) for at least 1 year. There are other exemptions as well. The 1 year of registration may be accumulated in separate periods. Co-owners are tested individually, and the person liable for the tax must personally have been registered for 1 year. For community property between spouses, 1 year of registration by either spouse is enough.
Whether the yellow house registration book (the “yellow book”) that foreigners hold qualifies for this 1-year exemption is not stated in the current law and needs confirmation. The Revenue Department’s condition is that the name is registered in a house registration book under the Civil Registration Act. The sources reviewed show no Revenue Department interpretation for foreigners, and industry commentary contradicts itself. A seller who never lived in the condominium and never registered a yellow book is not affected by this point.
If both specific business tax and stamp duty have been paid, the stamp duty can be refunded by applying to the district revenue office on form ค.10 within 10 years of the date the stamp duty was paid.
How Is Withholding Income Tax Calculated?
When an individual sells a home that was purchased (not inherited or received as a gift), withholding income tax is calculated in five steps:
- Use the official appraised value as the “sale price.” This is the appraised value used for Land Department registration charges on the transfer day, regardless of the actual contract price.
- Deduct a flat expense allowance under Royal Decree No. 165 (พระราชกฤษฎีกา ฉบับที่ 165), based on the number of years held. The remainder is the net income.
- Divide by the number of years held.
- Apply the progressive personal income tax rates.
- Multiply back by the number of years held. The result is the tax due.
| Years held | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 or more |
|---|---|---|---|---|---|---|---|---|
| Deduction | 92% | 84% | 77% | 71% | 65% | 60% | 55% | 50% |
If the seller can prove higher actual expenses, the actual necessary expenses can be deducted instead.
Years held are counted by calendar year: from the year of acquisition to the year of transfer. Part of a year counts as a full year, and anything above 10 years is counted as 10.
Current progressive rates (from tax year 2017): net income of THB 150,000 to 300,000 at 5%, 300,000 to 500,000 at 10%, 500,000 to 750,000 at 15%, 750,000 to 1,000,000 at 20%, 1,000,000 to 2,000,000 at 25%, 2,000,000 to 5,000,000 at 30%, and above 5,000,000 at 35%. The first bracket, THB 0 to 150,000, is marked exempt on the rate table, based on Royal Decree No. 470.
Whether the first THB 0 to 150,000 bracket is taxed in a property sale withholding is not stated in the current law and needs confirmation. An older Revenue Department calculation example states that withholding tax on a property sale does not get the first-bracket exemption (the first bracket was then THB 100,000). Industry articles differ: some apply 5% from the first baht, others apply 0%. The worked example below shows both readings. For the actual amount, use the Revenue Department’s calculator or ask the Land Department office handling the transfer for an estimate.
The 20% cap: for a home not acquired for profit, the calculated withholding tax cannot exceed 20% of the “sale price.” Whether that “sale price” means the official appraised value or the contract price is not stated in the current law and needs confirmation.
Withholding can be the final tax. For a home not acquired for profit, the seller can choose not to include the sale in the annual tax return. A seller who sold within 5 years and already paid specific business tax also does not need to include it, as long as they do not claim a refund or tax credit. Non-residents are taxed only on Thai-source income, and the sale of Thai property counts as Thai-source.
When the seller is a company, the calculation is different: the buyer withholds 1% of the higher of the contract price and the official appraised value.
Worked Example: Selling a Bangkok Condominium
The following is a hypothetical example, not any actual case. The actual tax is whatever the Land Department calculates on the day of transfer.
Assumptions: a condominium unit in Bangkok, bought in August 2022 and sold in October 2026. Contract price THB 6 million; official appraised value THB 4.5 million. The seller is an individual non-resident who has never registered a house registration book, and acquired the unit by purchase, not by inheritance or gift.
| Item | Calculation | THB |
|---|---|---|
| Years held for withholding tax | Calendar years 2022 to 2026 | 5 years |
| 5 years reached (day to day)? | August 2022 to October 2026, not reached | Specific business tax applies |
| Specific business tax | 3.3% × 6,000,000 (higher value) | 198,000 |
| Stamp duty | Specific business tax already charged | 0 |
| Withholding tax: net income after deduction | 4,500,000 × (1 − 65%) | 1,575,000 |
| Withholding tax: annual average | 1,575,000 ÷ 5 | 315,000 |
| Withholding tax: annual tax (first bracket not exempt) | 300,000 × 5% + 15,000 × 10% | 16,500 |
| Withholding tax | 16,500 × 5 | 82,500 |
| Withholding tax (if the first THB 150,000 is exempt) | (150,000 × 5% + 15,000 × 10%) × 5 | 45,000 |
| Transfer fee (buyer is a foreigner) | 2% × 4,500,000 | 90,000 (45,000 each if split equally) |
| Transfer fee (buyer is a qualifying Thai-national individual) | 0.01% × 4,500,000 | 450 |
The 20% cap is THB 1.2 million (THB 900,000 if measured on the appraised value). Both exceed the calculated tax, so the cap has no effect here.
If the seller bears specific business tax, withholding tax and half of the transfer fee, as is customary, the total is about THB 325,500 when selling to a foreigner and about THB 280,725 when selling to a qualifying Thai-national individual. Neither figure includes agent fees, and both use the reading where the first bracket is not exempt. If the first THB 150,000 is exempt, withholding tax is THB 37,500 lower. Whether the first bracket is taxed is not stated in the current law and needs confirmation.
Two variations:
- Bought in 2019 (8 calendar years, more than 5 years day to day): specific business tax of THB 198,000 becomes stamp duty of THB 30,000. Withholding tax becomes 4,500,000 × 50% = 2,250,000, ÷ 8 = 281,250, × 5% = 14,062.5, × 8 = THB 112,500 (THB 52,500 if the first THB 150,000 is exempt). Withholding tax is higher, but the specific business tax saved is larger.
- Bought and sold in the same calendar year (1 year): withholding tax = 4,500,000 × 8% = 360,000; 300,000 × 5% + 60,000 × 10% = THB 21,000 (THB 13,500 if the first THB 150,000 is exempt). Specific business tax of THB 198,000 is still payable.
In this example, specific business tax is the largest single item. Whether the 5 years have been reached must be confirmed by comparing the acquisition date with the transfer date, day to day.
What applies to you depends on your acquisition date, whether you ever registered a house registration book, and who the buyer is. If you are not sure which case you fall into, you can describe your situation to Ask Zagdim.
What Other Taxes and Fees Should You Watch For?
- Land and building tax: an annual holding tax in force since 2020. Any arrears should be settled before transfer, and the sale agreement should state how the two sides share it.
- Tax treaties: the Hong Kong and Thailand double taxation agreement provides that income from transferring real property located in Thailand may be taxed in Thailand. Taiwan and Thailand also have a double taxation agreement, but its clause on gains from real property transfers has not been read in the original text and needs confirmation. Sellers from other countries should check the treaty between Thailand and their own country.
- Leasehold interests: if you hold a leasehold rather than ownership, how specific business tax, withholding tax and registration fees apply to a transfer is not stated in the current material and needs confirmation.
- Changes in 2026: the Revenue Department material reviewed shows no 2026 change to how these taxes are calculated. What changed is the expiry date of the transfer fee reduction.
For the other steps of a sale, such as finding a buyer, signing the contract and sending the money out, see the main article “Selling Property in Thailand as a Foreigner: Buyers, Process, Taxes and Moving the Money Out”. For how selling to a Thai or foreign buyer affects the transfer fee, see “Selling a Thai Condo to a Thai or a Foreigner? The 49% Quota, Buyer FET and the Effect on Price”.
Thailand Property Sale Tax FAQ
Is withholding tax 1% when an individual sells property in Thailand?
No. The 1% applies only to corporate sellers. Individual sellers pay withholding tax based on the official appraised value: a deduction by years held, an annual average, progressive rates, and then multiplication back by the years.
Which tax do you save by holding a Thai property for 5 years before selling?
After 5 years counted day to day, you no longer pay specific business tax of 3.3% and pay stamp duty of 0.5% instead. Withholding income tax is still payable, and the more years you hold, the lower the deduction percentage.
Can a foreigner selling to a Thai buyer use the 0.01% transfer fee?
The announcement’s conditions look only at the buyer and the price, so it appears so: the buyer must be a Thai-national individual, and both the contract price and the appraised value must be no more than THB 7 million. This is an inference and needs confirmation from the Land Department.
Glossary
- Official appraised value (ราคาประเมินทุนทรัพย์): the official price the Land Department uses to charge registration fees and calculate withholding tax.
- Specific business tax (ภาษีธุรกิจเฉพาะ): the tax charged when a property is sold less than 5 years after acquisition, 3.3% in total.
- Stamp duty (อากรแสตมป์): the tax charged instead of specific business tax, at 0.5%.
- Withholding income tax (ภาษีเงินได้หัก ณ ที่จ่าย): the income tax on the sale, collected in advance at the Land Department at transfer.
- Tax statement (ท.ด.16): the Land Department form that records the sale price and serves as the tax basis.
- House registration book (ทะเบียนบ้าน, Tabien Baan): the household registration record; the one issued to foreigners has a yellow cover and is known as the yellow book.
- Royal Gazette (ราชกิจจานุเบกษา): the official gazette in which Thai laws and announcements are published.
Data Note
This article is Zagdim research. The statutory points were checked against the legal text (Verified by Zagdim), and market practice is labeled separately. The data was checked on October 8, 2026. Specific business tax, stamp duty and withholding tax follow the Thai-language originals on the Revenue Department (กรมสรรพากร) website and Departmental Instruction No. ป.100/2543; the 0.01% transfer fee follows the Ministry of Interior announcement as reproduced in full by the media and as explained by a law firm. The following conclusions are not stated directly in the legal text and are drawn from the research, and all are listed as needing confirmation: whether the first withholding bracket is taxed, the basis for the 20% cap, whether the yellow book qualifies for the 1-year exemption, whether the 0.01% transfer fee applies to a foreign seller, the taxes and fees on a leasehold transfer, and the real property clause of the Taiwan-Thailand treaty. “No separate capital gains tax found” and “no 2026 change found” are conclusions from searches that returned nothing. The worked example is a hypothetical calculation by Zagdim based on the rules above. The custom of splitting the transfer fee is an industry-compiled practice (Zagdim practice note).
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Sources
- Thai Revenue Department, Withholding income tax on sale of non-inherited real property: https://rd.go.th/63769.html
- Thai Revenue Department, Specific business tax calculation on sale of real property: https://rd.go.th/63775.html
- Thai Revenue Department, Stamp duty calculation: https://rd.go.th/63777.html
- Thai Revenue Department, Departmental Instruction No. ป.100/2543: https://www.rd.go.th/3554.html
- Thai Revenue Department, Royal Decree No. 165: https://rd.go.th/2386.html
- Thai Revenue Department, Personal income tax progressive rate table: https://rd.go.th/59670.html
- Thai Revenue Department, Real property sale tax calculation examples: https://rd.go.th/63765.html
- Thai Revenue Department, Withholding income tax on sale of real property by a juristic person: https://rd.go.th/63773.html
- Thai Revenue Department, Personal Income Tax: https://www.rd.go.th/english/6045.html
- Bangkok Biz News, Ministry of Interior announcement reducing registration fees published in the Royal Gazette: https://www.bangkokbiznews.com/news/news-update/1241132
- Tilleke & Gibbins, Thailand Extends Reduced Property Transfer and Mortgage Registration Fees: https://www.tilleke.com/insights/thailand-extends-reduced-property-transfer-and-mortgage-registration-fees/32/
- Hong Kong Inland Revenue Department, Comprehensive double taxation agreement between Hong Kong and Thailand: https://www.ird.gov.hk/chi/pdf/thailand.pdf
- Taiwan Ministry of Economic Affairs, InvestTaiwan, New Southbound countries investment environment (Thailand): https://investtaiwan.nat.gov.tw/doisNewSouthward?country=TH
- PropertySights, Property Withholding Tax: https://propertysights.com/articles/legal-matters/property-withholding-tax/
- The Thaiger, Foreigner’s guide to selling property in Thailand: https://thethaiger.com/legal/property-services/guides/foreigners-guide-to-selling-property-in-thailand/
Important Notice
This article is general information and is not individual legal or tax advice. The worked example only illustrates the method. Tax rates and reductions may change; the current announcements of the Thai authorities and the calculation made by the Land Department on the day of transfer prevail.
