The entry into force of the legislation on land tax is again postponed
According to information from the Ministry of Finance, the draft law on land tax will not come into force in early 2019. This bill was proposed in the first reading in March 2017, but has not yet passed all the necessary procedures.
Earlier, the National Legislative Assembly proposed to reduce the maximum tax rates proposed by the Ministry of Finance:
- for buildings up to 0.3%, compared with the proposed 0.5%;
- for land for agricultural use up to 0.15%, compared with 0.2%;
- for other used and undeveloped lands at a rate of 1.2%, compared to 2%.
In addition, there will be no tax on an apartment house worth up to 50 million baht. The tax for owners of 1 house and land with an estimated value of 50 to 75 million baht will be 0.03% or 300 baht for each million baht; 0.05% for homes estimated at 75-100 million baht; and 0.1% for houses estimated at more than 100 million baht.
The second home in the property will be taxed at a rate of 0.02% for property with an estimated value of up to 50 million baht; 0.03% for 50-75 million baht; 0.05% for 75-100 million baht and 0.1% for houses worth more than 100 million baht.
The possibility of canceling the reduction of the rate of the transfer fee for the transfer of ownership (in the amount of 2%), and the fee for registering the collateral (at a rate of 1%) to 0.01% of the appraised value of the real estate are also being considered.