Thailand Law Online
Thai law by real lawyers with real experience
What is a tabien baan or Thai house book?
Tabien baan or Thai house book is the official local government issued house or apartment address and resident registration booklet. It is an administrative document issued by the local municipality (amphur). The persons having their domicile or legal residence at the house or condo unit are registered in the house book.
There are no general property taxes (capital tax on property imposed by the government) in Thailand, but real properties put to commercial use (residential houses not 'owner occupied' and commercial buildings) must under the Building and Land Tax Act pay a 'rental' tax at a rate of 12,5 % of the annual rental value or the annual assessed rental value, whichever is higher.
The taxes and fees imposed and collected upon transfer of ownership of a real property (condominium apartment, land, house, land and house) in Thailand are: transfer fee, specific business tax (if applicable), stamp duty (if applicable), income withholding tax.
For the registration of rights, obligations or transfer of ownership of immovable property by someone else than the owner of the land the government provincial and local land department's branch offices in Thailand ONLY accept the official standard land department's Thai script 'power of attorney' (the tor dor 21). Any other forms of power of attorney, e.g. a lawyer drafted power of attorney, will not be accepted by the land offices. Below a sample of a translated Thai script 'Tor.Dor.21' land office power of attorney.
for a resale or off-plan condo in Thailand
In case of a resale condo unit/ apartment in Thailand the purchase price for the unit could be paid by cashier's check to the seller at the time of transfer of ownership of the unit at the land office (standard practice). In this case the buyer of the condo must obtain a cashier's cheque and the foreign exchange documents (FET-form) from his bank inside Thailand required for registration of foreign ownership under Thai condominium laws.
Under Thai law, a “condominium” refers to a building that is legally registered and licensed under the Condominium Act, allowing it to be divided into individual units with separate ownership rights. These units come with joint ownership of common property such as the land, hallways, elevators, and other shared areas. Ownership is evidenced by government-issued unit title deeds registered with the Land Department. In contrast, private apartment or "holiday" projects that are not licensed under the Condominium Act do not confer legal ownership of the individual units or common areas. Instead, they typically offer only possession rights through private contractual arrangements, such as lease agreements or tenancy contracts, without any legal title or shared ownership.
under the Thailand condominium act
In the nineties (the decade that began in 1990) foreigners could own 40% of the aggregate unit space in an apartment building registered under the Thailand Condominium Act (i.e. in case of 100 equal units 40 could be owned freehold by foreigners). Between April 1999 and April 2004 there was an exception created (condominium act no. 3 1999) which under certain rules and conditions and in specified areas allowed foreigners to own 100% of the aggregate unit space in a condo project. Currently foreigners are allowed to own up to 49% of the aggregate unit space in a condominium.
Marriage in Thailand is governed by the Civil and Commercial Code book 5, sections 1435 to 1535. A marriage (section 1457) can take place only if the man and woman (who are at least 17 years old (with parental consent required if under 20)) agree to take each other as husband and wife, and such agreement must be declared publicly before the Registrar in order to have it recorded by the Registrar. Marriage in Thailand is created and completed on formal registration and inclusion in the government's marriage register.
The main legal requirements and limitation of foreign ownership of condo units in the Kingdom of Siam can be found in section 19 of the Thailand condominium act, that is, (1) not more than 49% of the total floor area of all units in a condo licensed apartment building combined can be foreign owned (51% must be Thai owned), and (2) every foreigner buying a condo in Thailand must qualify for foreign ownership under section 19 paragraph 1 of the condo act.
Foreigners who qualify for foreign ownership of an apartment unit under section 19 obtain a personal non-transferable right of foreign ownership of the unit. Ownership of the unit is not freely transferable between foreigners and restricted by condominium laws. Also foreigners who inherit a condominium unit by succession must again personally qualify for foreign ownership under section 19 of the condominium act or they must dispose of the unit within one year of the date of acquisition.
Divorce in Thailand is governed by the Civil and Commercial Code and may occur either by mutual consent or by court judgment. This article outlines the legal grounds for divorce, how the process works for Thai and foreign spouses, and what the law specifically states. Whether you're considering divorce or just seeking to understand your rights, this guide explains the essentials of Thai divorce law. Divorce in Thailand is the formal legal process that ends a marriage.
Only multi unit apartment buildings licensed under the condominium act B.E. 2522 and registered with the land department as 'condominium' offer freehold ownership of the apartment units and government issued ownership unit title deeds (image on the right). Private apartment projects (not having obtained a condominium license) do not offer ownership nor individual unit title deeds but only possession of the units under private (lease) contract structures.
Land documents and deeds evidencing a person's legal right or title to land. Large areas of Thailand do not have the status of titled land or land confirmed for private use and possession but are government or public land or at the best forms of land claims generally used by farmers. No juristic acts like a sale, lease, superficies or usufruct can be registered over these types of land, this is only possible over land titles offering private ownership or a confirmed right of possession, issued by the land department of Thailand.
To qualify for foreign ownership under the Thailand Condominium Act a foreign purchaser of a condo unit is required to remit the full purchase price for the condo in foreign currency into Thailand, unless he is a resident in Thailand or eligible for foreign ownership under one of the other less common grounds of section 19 of the Condominium Act.
The unit ownership 'title deed' is the official ownership document of an apartment unit in a condo registered under the Thailand Condominium Act and is issued and administrated by the competent official of the Land Department. The apartment title deed contains the following main particulars:
Prenuptial agreements in Thailand, as a pre-marriage contract, are specifically governed by sections 1465 to 1469 of the Thailand Civil Code. Worldwide the content of a prenuptial can vary widely, but under Thai law a prenuptial contract can only deal with personal and marital property of husband and wife. In addition, the tough standard for drafting a prenup in Thailand is that the content may not be against the law or good morals.
Contract DownloadWhether you lease land or purchase real property in Thailand, the property ownership title deed needs close scrutiny. The seller must be able to identify himself as the owner and provide complete certified copies of the documents of the land, land and house or condominium unit (e.g. a copy of the office government issued ownership's title deed front and back side, the previous land office sale agreement and other relevant documents). When the property includes a house the seller must submit a copy of the house book and building permit or previous sale agreement confirming his ownership.
A limited company in Thailand must have a minimum of 3 shareholder at all times. Thai nationals operating a business under a company often use nominee shareholders to complete the number of 3 shareholders in the limited company. There is no general restriction for Thais that prohibited the use of nominee shareholders in a business. This is different for foreigners. Foreign investors are prohibited from using nominee shareholders in a Thai company under the foreign business act. Also bearer shares (shares owned by whoever holds the physical share certificate) are prohibited.
The restrictions of private foreign land ownership in Thailand is not absolute and can exist, pursuant section 86 of the Land Code Act, under a treaty (no treaty available) and foreigners can since 1999 qualify for land ownership under section 96 bis of the Land Code Act. In practice the exception in section 96 bis is so restrictive that this is not a viable option for foreigners. In general foreign land ownership in Thailand is prohibited and a foreigner who personally or through an agent (nominee) violates foreign land ownership restrictions is liable for fines and imprisonment (section 111 Land Code Act).
Inheritance Laws Something you do not own, you cannot transfer by inheritance or last will. Something you are not allowed to own as a foreigner in Thailand, you also cannot acquire by inheritance or through succession laws. This applies to the inheritance of land, leased land, or condominium units by foreigners in Thailand.
Foreigners are not allowed to own land in Thailand, and therefore, foreigners cannot inherit land in Thailand. Foreigners married to a Thai national may acquire land as a statutory heir under Section 93 of the Land Code Act, but will not be permitted to register ownership. This section was originally written for foreign heirs who acquire land from another foreigner owning land under a treaty.
Section 93: “A foreigner who acquires land by inheritance as statutory heir can have an ownership in such land upon a permission of the Minister of Interior. However, the total plots of land shall not exceed those specified in Section 87.”
Section 93 of the Land Code must be read in relation to Section 86, which addresses foreign ownership under a treaty, not in relation to foreigners married in Thailand inheriting land from their Thai spouse. This over 50-year-old section applies to statutory heirs of foreigners who acquired land under treaty provisions (section 86). The last such treaty was terminated in 1970, and there is currently no treaty in force allowing the Minister of Interior to grant permission to any foreigner to register land ownership in Thailand. Any foreign statutory heir (e.g., a foreign spouse) must sell the land within one year, pursuant to Section 94 of the Land Code Act.
It is important to note that only since 1999 (following a ministerial regulation) has it been permitted for a Thai national married to a foreigner to acquire land during the marriage, and only after confirming that the foreign spouse does not acquire ownership rights (i.e., through a land office letter of confirmation). This way the land becomes a personal asset of the Thai spouse and not a marital property between the spouses.
A foreign spouse may inherit land owned by their Thai spouse, but upon the death of the Thai spouse, the foreigner will not be allowed to register ownership of the land. The foreigner must sell the land within one year from the date of acquisition by inheritance.
Section 19 (7) of the condominium act of Thailand divides foreign heirs and legatees into two groups: strong>qualified and unqualified for registration of ownership. In practice, most foreigners inheriting a condo unit in Thailand cannot register ownership and must sell the apartment within one year of acquisition by inheritance.
Section 19(7):
“A foreigner or juristic person regarded by law as foreign, other than those specified in Section 19(1), who acquires an apartment by inheritance as statutory heir or legatee or otherwise, shall notify in writing the competent authority within sixty days from the date of acquisition of ownership, and shall dispose of such apartment within one year from the date of acquisition. If disposition is not made within said period, the provisions of the fourth paragraph of Section 19(8) shall apply mutatis mutandis.”
Qualified foreign heirs and legatees under Section 19(1) may register ownership of a condominium unit, provided that doing so does not exceed the 49% foreign ownership quota in the condominium. If the quota is full, even qualified foreigners must sell the unit within one year of acquiring it by inheritance.
Any foreigner who does not meet the criteria of Section 19(1) is considered ineligible. In this case, they must:
If the foreigner fails to comply, the Director-General of the Land Department has the authority to sell the unit on their behalf.
Read more: succession foreign ownership of a condominium unit
Under Thai law, a lease (tenancy) is a contractual arrangement and a personal right of the lessee. The general principle is that a lease agreement terminates upon the death of the lessee. As confirmed by the Supreme Court of Thailand, the lessee is considered the essence of the lease. Therefore, when the lessee dies, the lease contract automatically ends unless specific provisions to the contrary are included in the agreement. To preserve the lease beyond the lessee’s death, the lease structure must include a clause for succession or assignment of rights. When such a clause exists, the lessee’s heirs may claim performance directly from the original lessor under Section 374 of the Civil and Commercial Code. However, this right does not automatically extend to successors of the lessor. To avoid potential legal complications, it is often advisable to include co-lessees in the lease agreement. This allows each co-lessee to independently continue the lease if the other lessee passes away.
The inheritance of shares and control in a Thai limited company—especially where a foreigner holds property through the company—is legally more complex than individual ownership. Share certificates alone have no legal effect, as Thai company shares are not bearer shares.
To transfer control:
Proper legal assistance is essential to ensure both share transfer and company control are validly passed to the heirs under Thai law.
Click a question below to see the answer.
No. Foreigners are not allowed to own land in Thailand. Even if land is inherited (e.g., from a Thai spouse), the foreign heir must sell the land within one year. Ownership registration will not be permitted.
Only if the foreign heir qualifies under Section 19(1) of the Condominium Act (e.g., permanent resident or foreign currency transferee). Otherwise, the unit must be sold within one year of inheritance. Registration is not allowed for unqualified heirs.
No, not automatically. A lease is a personal contract under Thai law and generally ends with the lessee’s death unless the agreement includes specific succession rights. Even then, it may not bind successors of the lessor.
Read more:
Foreigners cannot own land in Thailand but they can obtain a right of usufruct by agreement with the Thai owner of the land or land an house. The essence of a right of usufruct is that it transfers the rights of possession, use, enjoyment and management of an immovable property from the owner to the usufructuary.
For many years, foreigners and expats living in Thailand have heard rumors about inheritance tax reforms. But what’s the current situation? This article explains what inheritance tax exists in Thailand, how it applies to foreign-owned assets, and what you need to know if you live here or own property.
Yes, since 2016, Thailand has introduced a limited inheritance tax. However, it only applies to high-value estates and is not a concern for most expats unless the estate value exceeds specific thresholds.
| Inheritance Tax Applies If… | Threshold | Tax Rate | Exemptions |
|---|---|---|---|
| Inherited assets exceed | 100 million THB | 5% (direct heirs), 10% (others) | Spouses are fully exempt |
Inheritance tax in Thailand applies to both Thai citizens and foreigners who inherit specific types of assets, such as:
The beneficiary (the person receiving the inheritance) is responsible for paying the tax, not the deceased’s estate.
Most expats with condos or bank accounts in Thailand do not reach the 100 million baht threshold. But if you have a larger estate, you may want to plan accordingly. Dual wills (Thai and foreign) may help protect your assets and clarify how inheritance is handled.
Here’s a quick overview of what expats need to know:
Thailand also applies a land and building tax, which is separate from inheritance tax. This is an annual tax based on the value and use of real property (e.g. residential, commercial, or agricultural).
Disclaimer: This article is for general information only and not legal advice.