Editorial
Condo Purchase Tax Breakdown Thailand 2026: Full Cost Guide
By THAI.ESTATE Editorial Team16 min read
When you buy a condominium in Thailand as a foreign national, you pay a predictable set of government fees and taxes at the Land Department office on transfer day. The total transaction cost typically adds 4 to 7 percent on top of the agreed purchase price, depending on how long the seller has owned the unit and whether the property is sold through a company. Understanding each line item before you sign protects your budget and your negotiating position.
This guide breaks down every tax and fee you encounter across the full ownership lifecycle: purchase, annual holding, rental income, and eventual sale. All figures are as of 2026 and are marked as indicative where they depend on individual circumstances.
Quick answer
- Transfer fee: 2% of the registered value (the Land Department's assessed value, which may differ from the contract price)
- Specific Business Tax (SBT): 3.3% of the higher of the registered or contract value, payable if the seller has owned the unit for fewer than 5 years
- Stamp duty: 0.5% of the registered or contract value (whichever is higher), payable only when SBT does not apply
- Withholding tax (WHT): calculated on a graduated scale and deducted from the seller's proceeds; buyers customarily share the transfer fee but WHT is a seller's cost
- Annual land and building tax: 0.02% to 0.1% of the official appraised value for residential property used as a primary home; higher rates apply to rental and vacant units
- Rental income tax for non-residents: withheld at source in Thailand; you likely also have a reporting obligation in your home country
Options and scenarios
What taxes do I pay when buying a condo in Thailand?
At the Land Department office, four potential line items appear on the transfer receipt. Two belong to the seller in law, but Thai market practice often splits some costs between buyer and seller by agreement. Always confirm the split in writing before you sign a sales and purchase agreement.
1. Transfer fee (2%)
The Thai Land Code sets the transfer fee at 2% of the official appraised value of the property. The appraised value is set by the Treasury Department and is often lower than the actual contract price for secondary-market units. For new developer sales, the appraised value and the contract price are frequently close.
By market custom, buyer and seller often split this 50/50 (each pays 1%). Some developers absorb the full 2% as a promotional incentive, particularly in slow markets. Always check your contract.
2. Specific Business Tax (SBT) at 3.3%
SBT applies when the seller has held the unit for fewer than 5 years (counted from the date on the title deed). The rate is 3% SBT plus a 10% local surcharge, producing an effective rate of 3.3% on the higher of the appraised value or the contract price. SBT is legally the seller's liability, but in negotiated deals it is sometimes shared.
SBT replaces stamp duty entirely when it applies. You will never pay both.
3. Stamp duty at 0.5%
If the seller has owned the unit for 5 years or more, no SBT applies and stamp duty of 0.5% is charged instead. Stamp duty is calculated on the higher of the appraised value or the contract price. This is the seller's cost but, again, negotiate who pays it in your contract.
4. Withholding tax (WHT)
WHT is deducted from the seller's proceeds at the Land Department. For individual sellers, the calculation uses the appraised value, the number of years of ownership, and a graduated personal income tax table under the Thai Revenue Code. For corporate sellers, a flat 1% withholding applies. WHT is the seller's tax. As a buyer, you are not responsible for it, but understanding it helps you structure the price negotiation.
Worked numeric example: buying a 5-million-baht condo in 2026
Assume the following (all figures are indicative as of 2026):
- Contract price: THB 5,000,000
- Official appraised value: THB 4,200,000
- Seller's ownership period: 3 years (so SBT applies, not stamp duty)
- Cost-sharing agreement: transfer fee split 50/50; SBT paid by seller; WHT paid by seller
| Fee | Rate | Calculated on | Amount (THB) | Paid by |
|---|---|---|---|---|
| Transfer fee (buyer's half) | 1% | THB 4,200,000 | 42,000 | Buyer |
| Transfer fee (seller's half) | 1% | THB 4,200,000 | 42,000 | Seller |
| Specific Business Tax | 3.3% | THB 5,000,000 | 165,000 | Seller |
| Withholding tax | Graduated | Appraised value | ~55,000 (indicative) | Seller |
| Total buyer outlay at transfer | ~42,000 | |||
| Total seller outlay at transfer | ~262,000 |
In this scenario, the buyer's government cost at transfer is roughly THB 42,000 on a THB 5,000,000 purchase, which is 0.84% of the contract price. If the buyer had agreed to pay SBT as well (a common developer practice on new units), the buyer's total would rise to THB 207,000, or about 4.1%.
Add lawyer's fees (typically THB 30,000 to 80,000 for a standard purchase), due diligence fees (title search, fund transfer documentation), and Foreign Exchange Transaction (FET) documentation costs (explained below) to reach your true all-in acquisition cost.
What is an FET form and why does it matter?
Foreign nationals buying a condo in the foreign quota (the portion of a building allowed to be owned by non-Thais, capped at 49% of the total floor area under the Condominium Act) must bring funds into Thailand from abroad in a foreign currency. The receiving Thai bank issues a Foreign Exchange Transaction (FET) form - sometimes called a Thor Tor 3 form - as proof that foreign currency was converted to Thai baht for the specific purpose of buying property. This document is mandatory at the Land Department and is also your evidence if you later want to repatriate sale proceeds. Keep every FET form permanently.
What annual taxes do I pay while I own the condo?
Thailand introduced a Land and Building Tax in 2020, replacing the old house and land tax system.
Land and Building Tax rates for residential property (as of 2026):
- Owner-occupied primary residence: 0.02% to 0.1% of the official appraised value per year, with an exemption for the first THB 50 million of appraised value for land-plus-building units and the first THB 10 million for condo units where the owner is not the name on the land title (verify current exemption thresholds, as the Revenue Department adjusts these periodically)
- Residential rental or secondary home: 0.02% to 0.1%, no exemption
- Vacant or unused: higher rate, up to 0.3%, doubling every three years of vacancy up to a cap
For most foreign-owned condos with an appraised value under THB 10 million, the annual Land and Building Tax is a small amount - often a few thousand baht per year - and is collected by the local administrative body (municipality or sub-district authority). The practical recurring cost that matters more for most condo owners is the common-area maintenance fee (CAM fee).
CAM fees are charged monthly or quarterly by the juristic person - the legal entity that manages the condo building on behalf of all owners - and cover building insurance, security, cleaning, lifts, pool and gym maintenance, and staff. Rates in 2026 range from roughly THB 35 to THB 100 per square meter per month depending on the building's facilities and location, per market estimates. A 50-square-meter unit in a mid-range building might pay THB 1,750 to THB 3,500 per month, or THB 21,000 to THB 42,000 per year.
At purchase, you will also pay a sinking fund contribution. The sinking fund is a one-time reserve paid by each buyer to cover future major capital repairs (roof, lifts, external facade). Typical rates range from THB 400 to THB 800 per square meter, paid once at transfer.
How is rental income from my Thai condo taxed?
If you rent out your Thai condo, the rental income is taxable in Thailand under the Thai Revenue Code, regardless of whether you live here or abroad.
For non-residents (who spend fewer than 180 days per year in Thailand), rental income paid by a Thai tenant or managed through a Thai company is subject to withholding tax at 5% deducted at source if the payer is a company. If the tenant is an individual and no agent is involved, you are expected to file a personal income tax return in Thailand. Personal income tax rates are graduated from 5% to 35%; rental income after a standard 30% expense deduction (or actual documented expenses, whichever you choose) is added to your Thai taxable income.
Practically, many foreign owners rent through a Thai property management company, which withholds the applicable tax and files on their behalf. Confirm this arrangement in your management contract.
Home-country exposure: most countries require you to declare worldwide income. Double-taxation treaties (DTAs) exist between Thailand and many countries; a DTA generally allows you to offset Thai tax paid against your home-country liability. The specific mechanics depend entirely on your country of residence and tax status. A qualified tax adviser in your home country is mandatory before you begin renting. This guide does not provide country-specific tax advice.
What taxes apply when I sell my condo?
When you sell, the same four line items reappear at the Land Department, but now you are the seller. The costs that previously were the seller's responsibility fall to you:
- Transfer fee: 2% of appraised value (split by negotiation)
- SBT at 3.3% if you sell within 5 years of purchase; stamp duty at 0.5% if you sell after 5 years
- Withholding tax: calculated on a graduated scale based on appraised value and your years of ownership. The Land Department calculates this for you. Higher appraised values and shorter holding periods produce higher WHT amounts.
There is no separate capital gains tax in Thailand at the individual level. The withholding tax calculation serves as the functional equivalent. The Revenue Code calculation uses the appraised value (not the actual contract price), which often understates the real gain. This is a feature of the Thai system, not a loophole, but be aware that your home country may tax the actual capital gain regardless.
Repatriation of sale proceeds: if you want to transfer your sale proceeds abroad, your Thai bank will typically require the original FET forms from when you imported the funds, plus the Land Department transfer documents. You can generally repatriate up to the foreign-currency equivalent of the original import amount. Any excess (the gain, in baht) may require additional Bank of Thailand documentation. Verify current Bank of Thailand rules at the time of sale.
Comparison table
The table below compares the buyer's total government cost stack under three common scenarios for a THB 5,000,000 condo purchase (all figures indicative, as of 2026).
| Cost item | Scenario A: Buyer pays transfer only | Scenario B: Buyer pays transfer + SBT | Scenario C: Buyer pays all (rare) |
|---|---|---|---|
| Transfer fee (buyer's share) | THB 42,000 (1%) | THB 42,000 (1%) | THB 84,000 (2%) |
| Specific Business Tax | THB 0 | THB 165,000 (3.3%) | THB 165,000 (3.3%) |
| Stamp duty (if applicable) | THB 0 | THB 0 | THB 0 (SBT applies here) |
| Withholding tax | THB 0 (seller pays) | THB 0 (seller pays) | ~THB 55,000 (indicative) |
| Sinking fund (one-time) | ~THB 25,000 (50 sqm at THB 500/sqm) | ~THB 25,000 | ~THB 25,000 |
| Legal / due diligence fees | ~THB 50,000 | ~THB 50,000 | ~THB 50,000 |
| Total buyer outlay | ~THB 117,000 (2.3%) | ~THB 282,000 (5.6%) | ~THB 379,000 (7.6%) |
Scenario A reflects a common resale transaction where buyer and seller share the transfer fee only. Scenario B is typical for new developer sales where the developer passes SBT to the buyer. Scenario C is unusual but occurs in some off-market deals.
Risks and mistakes
1. Signing a contract before confirming the cost-sharing split Many sales and purchase agreements drafted by developers or sellers leave the tax split ambiguous or default to 'buyer pays all'. Read every line about fees before you sign. A lawyer review of the SPA before signing costs far less than a disputed THB 165,000 SBT bill.
2. Ignoring the difference between appraised value and contract price SBT and stamp duty are calculated on the higher of the two values. If the seller wants to declare a lower price to save tax, you could face liability for underreporting. Declare the real contract price.
3. Sending funds from a joint or third-party bank account Your FET form must show your name as the account holder sending foreign currency. Funds sent from a joint account or a company account not registered in your name create complications at the Land Department and when repatriating proceeds. Send from a personal account in your own name.
4. Missing the 49% foreign quota The Condominium Act caps foreign ownership at 49% of total floor area in any single building. If the building is already at quota, you cannot take title in your own name legally. Verify quota status in writing from the juristic person before paying any deposit.
5. Assuming no home-country tax obligation exists Thailand taxing your rental income or sale gain does not automatically cancel your obligation at home. Many buyers discover this late and face penalties. Consult a tax adviser in your country before you complete the purchase.
6. Losing the FET form Without the original FET form proving you imported foreign currency for this purchase, repatriating sale proceeds is difficult and slow. Store FET forms permanently alongside the title deed copy.
7. Underestimating recurring costs CAM fees, land and building tax, and occasional special levies (for major building repairs not covered by the sinking fund) can total THB 30,000 to THB 80,000 per year for a standard condo. Budget for these before calculating net yield.
FAQ
What is the total tax I pay when buying a condo in Thailand?
As a buyer, your minimum government cost is 1% of the appraised value (your share of the 2% transfer fee, if split 50/50). If the seller passes SBT to you by contract, your cost rises to roughly 4.3% of the contract price (1% transfer fee plus 3.3% SBT). Add legal fees, sinking fund and other one-time costs to reach your total acquisition expense. All figures are as of 2026 and depend on your specific contract terms.
Who pays withholding tax in a Thai condo transaction - the buyer or the seller?
Withholding tax is the seller's tax under Thai law. It is deducted from the seller's proceeds at the Land Department on transfer day. As a buyer, you do not pay WHT directly, though a poorly written contract could attempt to pass it to you. Always confirm in your contract that WHT is the seller's responsibility.
Do I pay capital gains tax in Thailand when I sell my condo?
Thailand does not have a separate capital gains tax for individuals. The withholding tax at the point of sale, calculated using the appraised value and your years of ownership, functions as the exit tax. However, your home country may tax the actual capital gain (contract sale price minus purchase price). Check with a tax adviser in your country.
What is a juristic person in Thai condo ownership?
A juristic person (niti bukhon) is the legal entity formed by all unit owners in a condominium building. It is registered under the Condominium Act and is responsible for managing common areas, collecting CAM fees, maintaining the sinking fund, and representing owners in legal matters. Every legally registered condo building in Thailand must have a juristic person. The monthly fee you pay to the juristic person covers building operations.
Is the Land and Building Tax significant for a foreign condo owner?
For most condos, it is a minor cost. A unit with an appraised value of THB 5,000,000 used as a rental property would pay roughly THB 1,000 to THB 5,000 per year in Land and Building Tax at the current rates (as of 2026). The CAM fee - collected by the building, not the government - is a far larger recurring expense in practice. Verify current rates and exemption thresholds with the local municipality, as these are subject to periodic adjustment.
Can I deduct expenses from my Thai rental income before tax?
Yes. Under the Thai Revenue Code, rental income from buildings may use a standard deduction of 30% of gross rental income without documentation, or you may claim actual expenses if they are higher and properly documented. The net amount is then subject to personal income tax at graduated rates. Non-residents managing rentals through a Thai agent often have tax withheld at source at 5%; confirm the specific arrangement with your property manager.
What happens if the building has already reached the 49% foreign quota when I want to buy?
You cannot legally take title to a condominium unit in your own name as a foreigner if the building's foreign quota (49% of total floor area) is already fully used. Some buyers in this situation purchase through a Thai company structure, which carries separate legal and tax complexities. This guide does not cover company structures; consult a qualified Thai lawyer before proceeding. Always verify quota availability in writing from the juristic person before paying any deposit or reservation fee.
Do I need to file a Thai tax return as a non-resident condo owner with no rental income?
If you have no Thailand-source income (no rental income, no employment income in Thailand), you generally have no Thai personal income tax filing obligation. However, once you begin renting your unit, a filing obligation arises. The Land and Building Tax is assessed and collected directly by the local authority - it does not require you to file a personal return. Confirm your specific situation with a Thai tax professional.
What is the sinking fund and when do I pay it?
The sinking fund is a one-time capital reserve contribution paid by each buyer at the point of transfer. It is collected by the juristic person and held for major future repairs such as roof replacement, lift refurbishment, or external repainting. The rate is set by the building and typically ranges from THB 400 to THB 800 per square meter of the unit (market estimates, 2026). It is not a government tax. Unlike the CAM fee, you pay it once - not annually.
What documents do I need to repatriate sale proceeds from Thailand?
To transfer sale proceeds abroad after selling your condo, your Thai bank will generally require: the original FET form(s) from when you imported the purchase funds; the Land Department transfer document (Tor Dong) showing the sale; and proof of your identity. You can repatriate up to the foreign-currency equivalent of the amount you originally imported. Gains above that amount may require additional Bank of Thailand documentation. Verify the current requirements with your bank at the time of sale, as procedures are subject to change.
Planning a property purchase in Thailand? Send us your requirements - the THAI.ESTATE team will reply with specific options and a safety checklist for your case.