Land and Building tax collection delayed to August of 2020

BANGKOK(NNT) – After the government approved new regulations under the Land and Building Tax Act, due to take effect on January 1, the Ministry of the Interior has announced that actual tax collection will commence in August 2020, rather than the previous schedule of April 2020.

The Permanent Secretary for the Interior Ministry, Chatchai Promlert, has notified provincial governors nationwide about the new regulations under the Land and Building Tax Act. With eight organic laws still in the drafting process, local administrative organizations will not be able to perform tax collection duties according to the new regulations. The Interior Minister, Gen. Anupong Paojinda, agreed to delay the land and building tax collection to August next year.

The law covers four types of taxable land and buildings, including agricultural, residential, commercial and vacant lands. The calculation of tax rates varies by location and other factors.

According to the new tax structure, land and buildings used for residences with appraisal prices of up to 50 million baht are tax-exempt for principal homes, while those who own houses, but not land, qualify for a tax exemption on the first 10 million baht of their houses’ appraisal prices. Owners of condominium units with appraisal prices of up to 10 million baht qualify for a tax exemption if they do not rent the unit out. The tax rate on land and buildings used for commercial purposes is 0.3%, or 3,000 baht for every 1 million baht.

For ordinary citizens, agricultural land will be tax-exempt in the first three years. Starting from the fourth year, land used for agricultural purposes with appraisal prices of up to 50 million baht will still be tax-exempt. However, agricultural land with appraisal prices of 51 million to 75 million baht will be taxed at 0.01%, or 100 baht in every million. Agricultural land with appraisal prices of over 75 million to 100 million baht will be taxed at 0.03%, or 300 baht for every million.

The tax rate for vacant land with an appraisal value of up to 50 million baht is 0.3%, or 3,000 baht for every million. The rate is to double every three years. However, this does not apply to land left vacant or unused due to disasters.

Source: NNT

Subscribe
Adam Judd
Mr. Adam Judd is the Co-owner of TPN Media since December 2017. He is originally from Washington D.C., America, but has also lived in Dallas, Sarasota, and Portsmouth. His background is in retail sales, HR, and operations management, and has written about news and Thailand for many years. He has lived in Pattaya for over nine years as a full-time resident, is well known locally and been visiting the country as a regular visitor for over a decade. His full contact information, including office contact information, can be found on our Contact Us page below. Stories please e-mail Editor@ThePattayanews.com About Us: https://thepattayanews.com/about-us/ Contact Us: https://thepattayanews.com/contact-us/