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Property tax and ongoing costs in Thailand: what you pay every year

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The annual bill on a Pattaya condo or villa, from Land and Building Tax to insurance, with the foreign-owner specifics

In this guide

The Land and Building Tax Act B.E. 2562 sets the annual bill at 0.02-0.10% of appraised value for residential property, with no owner-occupied exemption for foreigners. Add CAM, sinking-fund replenishment, insurance, and rental income tax (15% withholding for non-residents, progressive PIT for residents) and the all-in carry runs 1.1-2.6% of price.

The annual tax

Thailand's annual property tax is the Land and Building Tax (พ.ร.บ.ภาษีที่ดินและสิ่งปลูกสร้าง พ.ศ. 2562), in force from 1 January 2020. It replaced the pre-2020 House and Land Tax. The tax base is the Treasury Department's appraised value (ราคาประเมิน), not market price and not rental income (Land and Building Tax Act B.E. 2562, §35-38).

The Act sets four use categories with different rate ceilings: agricultural use, residential use, other use (commercial, industrial, hotel), and vacant or unused land. Within each category, ministerial regulations set the actual band rates beneath the statutory ceiling. The 15% across-the-board reduction granted by Royal Decree (No. 3) B.E. 2566 covered tax year 2023 only and was not renewed. From tax year 2024 onward, owners pay full rates.

Residential rates that matter to a Pattaya owner

For a foreigner who owns a condominium unit (and is therefore not on a Thai house registration / ทะเบียนบ้าน at that address), the owner-occupied exemption does not apply. The unit is taxed under the residential schedule on its full appraised value.

Appraised value Annual rate
Up to THB 40 million 0.02%
THB 40-65 million 0.03%
THB 65-90 million 0.05%
Over THB 90 million 0.10%

A Thai national who owns one home, has it as their primary residence, and is listed on the house registration on 1 January gets the first THB 50 million of combined land-and-building value exempt; THB 10 million if they own only the building. Foreign condo owners do not access this exemption.

For a typical Pattaya foreign-owned condo with appraised value THB 5-15M, the annual Land and Building Tax lands at THB 1,000-3,000.

Vacant or unused land is taxed at 0.30% in year one and rises by 0.30 percentage points every three years to a 3% ceiling, designed to push idle plots into use (Act B.E. 2562, §43).

Payment timing

The taxpayer is whoever owns the property on 1 January each year. The local administrative office (Pattaya City Hall for properties within the Pattaya City special administrative area) issues an assessment letter in February. Payment is due by 30 April. Penalties apply for late payment: 10% if paid before a formal demand, 20% after, plus 1% monthly interest. Installment plans are available for liabilities above THB 3,000.

Rental income tax

Rental income is taxable in Thailand whether the landlord is resident or non-resident, because the property is situated in Thailand (Revenue Code §41).

Resident foreign owner (180+ days in Thailand in the calendar year): files a personal income tax return at progressive PIT rates (0% on the first THB 150,000; 5% to 35% above, top band on income over THB 5M). A 30% standard expense deduction applies to rental income with no documentation required, or actual documented costs may be claimed instead (Revenue Code §40(5), §42 bis). Mid-year filing PND.94 by 30 September; annual PND.90 by 31 March.

Non-resident foreign owner: the Thai-side payer (typically a property manager or a corporate tenant) withholds 15% of gross rent and remits it to the Revenue Department. The 15% is not a final tax. The non-resident may file a Thai PIT return, claim the 30% standard deduction, apply progressive rates, and use the withheld 15% as a credit. Refunds, where due, must be specifically requested on the return.

The annual Land and Building Tax is paid by the owner regardless of whether the unit is rented; it is not a tenant cost.

Capital gains on sale, foreign-seller angle

On a sale, capital gain is captured at the Land Office at registration via withholding tax computed on the higher of declared price or appraised value, with deductions tied to years held (covered in detail in our transfer-process Guide). Specific Business Tax at 3.3% (3% SBT + 10% municipal surcharge) applies if the seller held under five years, unless the property was the seller's registered primary residence per Royal Decree 342 B.E. 2541; otherwise 0.5% stamp duty.

For a foreign seller, two issues run alongside the Land Office settlement:

  1. Repatriation. Net proceeds in THB can be remitted abroad through a Thai-licensed bank. Where the original purchase was funded by an inbound FET (Foreign Exchange Transaction form), the bank can match the outbound transfer to the original FET trail. Without that paper, repatriation requires Bank of Thailand documentation and is slower.
  2. Home-country tax. Most home jurisdictions (UK, Germany, France, Australia, Singapore, US, Japan among them) tax their tax residents on worldwide capital gains. The Thai withholding paid at the Land Office is generally creditable under the relevant Double Tax Agreement, but the home-country gain is computed on the home jurisdiction's basis (acquisition cost, allowable expenses, indexation if any), not on the Thai appraised value.

Double-tax treaty considerations

Thailand has DTAs with 61 countries. Article 6 (income from immovable property) and Article 13 (capital gains) of the standard treaty form give the country where the property is located the primary right to tax. For UK residents, HMRC manual DT18706 confirms Thailand has primary taxing rights on Thai rental income, with UK credit relief available. The principle holds for most major treaty partners. The home-country tax position is a question for a tax adviser in that jurisdiction; the Thai-side mechanics are settled at the Revenue Department and the Land Office.

Common-area fees and sinking fund

Monthly common-area management (CAM) fees, paid to the juristic person, fund security, cleaning, lift maintenance, pool, gardens, and reserves. 2026 ranges in Pattaya by tier:

  • Older / mid-market buildings: THB 15-20 per sqm per month
  • Mainstream new-build: THB 30-55 per sqm per month
  • High-spec / serviced buildings: THB 60-100 per sqm per month

The sinking fund (กองทุนสำรอง) is a reserve for major capital works (lift replacement, roof, façade, pool retiling). Foreign and Thai buyers contribute a one-time payment at handover, typically THB 500-1,500 per sqm. The juristic person can call special assessments if the fund is depleted (Condominium Act B.E. 2522).

Insurance

The juristic person carries the master policy on the building structure and common areas, funded from CAM. Owners typically carry a separate condo unit policy covering interior fit-out, contents, and personal liability. 2026 indicative annual premiums: THB 1,000-2,500 for basic fire and natural perils, THB 3,000-6,000 for comprehensive cover including contents and liability. Villa owners insure the structure as well as contents; premiums scale with rebuild value, typically 0.1-0.2% of insured value per year.

Annual cost summary

Indicative percentages of property purchase price, foreign-owned, rented out part of the year:

Line Condo (THB 8M) Villa (THB 25M)
Land and Building Tax 0.02% 0.02-0.03%
CAM / juristic fees 0.6-1.5% 0.3-0.8%
Insurance 0.03-0.08% 0.1-0.2%
Repairs and small capex (reserve) 0.5-1.0% 0.7-1.2%
Total ongoing (excl. income tax) 1.2-2.6% 1.1-2.3%

Income tax on rent is separate and depends on residency status and gross rent.

7 IRES tips

  1. 01 Land and building tax is assessed on the Treasury Department's appraised value, not the purchase price or market value. In Pattaya, appraised values typically run 30–60% below market. Your actual bill is lower than the headline rate implies.
  2. 02 Foreign condo owners cannot claim the owner-occupied tax exemption available to Thai nationals. Budget THB 1,000–3,000 a year for a typical Pattaya unit. It is trivial, but it is not zero.
  3. 03 The tax assessment arrives in February; the payment deadline is 30 April. Miss it and you face a 10% penalty immediately, rising to 20% after a formal demand notice. Set a calendar reminder.
  4. 04 Non-resident foreign landlords have 15% withheld by the tenant or property manager at source. File a Thai return to claim the 30% expense deduction. You will often recover several thousand baht.
  5. 05 Withholding tax on sale is calculated on whichever is higher: your declared price or the Land Office appraised price. Sellers who under-declare the price do not escape tax. They just expose themselves to Revenue Department scrutiny.
  6. 06 Sinking funds (THB 500–1,500 per sqm) are paid once at handover and never fully refunded. Budget this as a dead cost, not a deposit.
  7. 07 If you hold under five years, Specific Business Tax at 3.3% applies to the sale proceeds. Hold past the five-year mark and SBT drops to zero, replaced by 0.5% stamp duty. The break-even math matters if you are buying off-plan.

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