It is illegal for foreigners to own land in Thailand. Most foreigners get around this prohibition by setting up a 100% Thai owned company to purchase the land. The Land Department will allow a 100% Thai owned company to receive the title to land without any issues.
After the title to the land is transferred at the Land Department, then it is possible to transfer shares in the Thai company to the foreign investor at the Ministry of Commerce (MOC). The MOC will allow a foreign investor to receive shares that control the Thai company that owns the land without any issues.
There are several taxes that apply to a Land Purchase including 2% transfer fee, .5% stamp duty and withholding tax in case of a gain on the sale. Specific business tax also applies to a Land Purchase at the rate of 3.3% if the land is sold within 5 years after purchase or within 1 year if the owner is registered as residing at such property.
Our Land Purchase service includes the following: