New land and property tax in Thailand postponed by one year


The Thai Council of State has objected to the law that should allow the introduction of land and property taxes in Thailand. This law has been delayed for almost 10 years, but finance minister Apisak does not seem to be concerned.

The Council of State has objected to the categorization and is of the opinion that fallow land should not be given a separate tax category. According to them, a surcharge based on the rate of the other three categories: agriculture, housing and businesses must be sufficient.

The ministry nevertheless wants fallow and undeveloped land to be given a separate category so that a high rate can be charged. This should stimulate the development of that country. However, all parties agree that the new law is necessary to ensure that land is used more efficiently.

A spokesperson for the Housing Business Association said that postponing the law did not have major consequences for the real estate sector: “People still pay ordinary property taxes (OGB). The delay has the advantage that homeowners and landowners have an extra year to prepare for the new tax. ”

The Treasury Department expects to complete the appraisals for the new tax before the end of the year. 18.6 million plots have already been valued, but 13.4 million still have to follow. Private companies have also been hired for this.

The new law aims to make taxation more efficient for the group of taxpayers being taxed. Thailand also wants to raise more taxes for financing the many plans in the field of infrastructure.

Source: Bangkok Post



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