CHIANGMAI HOME & PROPERTY 

                                    

  Thailand Realty

 Advertise
 Apartments  
 Buying guide
 Businesses
 Classifieds
 Companies
 Condos
 Currencyconvert
 Guest Houses
 Handy hints
 Houses
 House Estates
 Insurance
 Islands
 Land
 Luxury Houses
 Luxury rentals
 Rentals
 Rent short term
 Restaurants
 Retired Options
 Security Alarms
 Taxes & fees
 SERVICES
 Classifieds ads
 Furniture maker
 Golf Land
 Kitchens-new
 Lawyer
Leasing
Links
Our Builders
Townhouses
Check Current Bangkok Bank Rates
Money & trading
Commissions

Twin Peak condo sales

 Condo rentals
 Factory sales
 Finance
 BTS route
 Cleaning service
 Jobs available
 

Thailand Property Report/News

Shipping Household & Personal Clearing agent

English/Thai Law Office

Thailand & Bangkok Condos FREE ads.

Thailand Videotube

Bangkok News & nightlife

 

Google
 

ADVERTISE YOUR HOUSE OR PROPERTY ON OUR WEBSITE. NO BROKER FEES NO COMMISSIONS TO PAY

[ CHECK it OUT ]

cmhouses@gmail.com

 

It is a good time to buy property in Thailand. Banks are lending and houses are and land are now realistically priced in 2006.A good time to buy.

LAND AREAS: 1 rai = 4 ngarn = 400 wah2 = 1600 m2; 1 talang wah = wah2 = 4 m2; 1 acre = 2.53 rai & 1 ha = 6.25 rai 


A 30-year lease can be a good idea  to a freehold purchase or usufract, or a Thai company (7 PARTNERS) can be established with Thai majority shareholders. Foreigners only own 49% shares in a company with  foreigner ownership. We can assist you to make sure your company is safeguarded. Remember if you need advice ask us.

he value added tax (VAT) system, is subject to 7% tax rate. 
Producers, wholesalers, providers of services, retailers, exporters and importers are affected as with Thai companies employing foreigners. When you apply you will receive back an A4 size certificate which you frame on your Office wall. However please photocopy and use a copy because only 20% Thais pay income tax and these certificates can be copied, sold and altered. The same goes for your Company registration.
VAT is paid monthly, calculated as: Output tax - Input tax = Tax paid 
where output tax is VAT which the business collects from the purchaser when a sale is made, input tax is VAT a business pays to the seller of a goods or service which is then used in the business. If the calculation is a plus figure, the business sends the remaining tax to the Revenue Department no later than 15 days after the end of each month. If a negative balance, the business gets a refund in the form of cash or a tax credit, which must be paid the next month. Please remember foreigners who now want a work permit must file for VAT as well so therefore all companies with foreign workers with work permit are subject to register for VAT before a work permit is issued. When you pay your monthly VAT you normally receive back the receipt via registered mail. It pays also to have copies of these receipts as well as another set of books just to make sure. remember if you use electronic accounts this is not allowed. Invoice books are still used & there must be 4 copies per invoice.If you make a mistake filling out an invoice you must fold that invoice and start again.


WHO IS EXEMPT: 
1/. Exports  2/. Services provided in Thailand for persons in foreign countries 
3/. International transportation by air and sea by Thai juristic persons. Foreign juristic persons may enjoy zero percent when its country applies zero percent to Thai juristic persons operating there 
4/. Sale of goods or services to civil service or state  enterprises under foreign loan or aid schemes 
5/. Sale of goods or services to the UN and its agencies, foreign embassies and consulates 
6/. Sale of goods or services between bonded warehouses, between operators in export processing zones, or between the former and the latter. Operators whose gross earnings from the domestic sale of goods and services exceed 600,000 baht, but are less than 1,200,000 baht per year, can choose between paying a gross turnover tax of 1.5 percent or the normal VAT. However, operators paying the gross turnover tax may not offset this tax by charging VAT to their customers in any step of production. The above is now clear due to foreigners who now must be registered for VAT.


VAT Special exemptions: 
1/. Operators earning less than 600,000 baht a year 
2/.  Sale or import of agricultural products, livestock, and agricultural inputs, such as fertilizer, and feed 
3/.  Sale or import of published materials and books 
4/.  Auditing, legal services, health services plus other professional services 
5/. Cultural and religious services 
6/. Educational services 
7/. Services provided by employees under employment contracts 
8/. The sale of goods as specified by Royal Decree 
9/. Goods exempt from import duties under the Industrial Estate Authority o Thailand (IEAT) Act 
10/.Domestic transport (excluding airlines) and international transport (excluding air and sea lines). 


SPECIFIC Business Tax (SBT) 
A specific business tax of 3% is levied, in lieu of VAT, on the following: 
1/. Commercial banks and similar businesses 
2/. Insurance companies 
3/. Financial securities firms and credit financiers 
4/. Sales on the stock exchange 
5/. Sales of non-movable properties 
6/. Pawn shops. 
The SBT is computed on the monthly gross receipts at the 
following rates: 

Type of BusinessTax Rate Banking or similar business: 
finance, securities and credit finance business3%
Insurance - Life 2.5%- Insurance against loss  3%
Sale of immovable property in commercial manner for profit 3%

TAX REMITTANCE ON PROFITS: 
Remittance tax applies to profits transferred from a Thailand branch to its head office overseas rated at 10% remitted before tax, and must be paid by the remitting office of the offshore company within seven days of the date of remittance. Outward remittances for purchase of goods, certain business expenses, principal on loans to different entities and returns on capital investment, are not subject to an outward remittance tax. The tax does not apply to dividends or interest payments remitted out of Thailand by a company or partnership; these are taxed at the time of payment. Section 70 of the Revenue Code addresses income paid to foreign juristic persons. When a company or partnership incorporated under a foreign law and not carrying on business in Thailand receives “assessable income” paid either from or in Thailand, the payer is usually required to deduct income tax at a rate of 15% of the gross remittance. A flat 15 percent rate is effective on all assessable income except dividend income being 10%. 
There is no withholding tax on capital gains or on the share of profit paid to foreign investors in mutual funds, if in the SET. Remittance of funds may not be necessary in 
order to incur either the dividend or interest tax liabilities, which may be incurred by making book entries. 

PAYING TAXES ONLINE:
Taxes may be paid on-line. You will be able to make electronic payments (e-payments) for all 
categories of taxes, including income tax, following the department's launch of VAT payments, its first online service. Paying taxes online, you must apply for the service at http://www.rd.go.th . The Revenue Department will then ask to check a taxpayer's identity in person before they receive a user ID and password. But you must have an account with one of three commercial banks - Krung Thai Bank, Siam Commercial Bank or Bank of 
Asia. Later the service will be extended to those with accounts with Thai Farmers Bank, Citibank and Bangkok Bank. A lack of basic computer skills of the taxpayer rather than lack of confidence in e-transaction security were reasons why this isn't popular. The Revenue Department now provides an electronic manual with step-by-step procedures.

In May, some 135 companies had registered to use the service, but only 43 submitted all the requested information. 24 companies had made e-payment transactions, with the value of e-tax payments being approx Baht 300,000.- In June, 128 companies had applied for the service, & 1 company conducting a transaction this month so far.

Corporate taxpayers are also encouraged to use the online VAT payment system. If companies paid VAT on-line and were eligible for a VAT refund, they would receive it within 30 
days, compared to 60 days.

 

 

 

LEASING VIA A LOAN TO YOUR COMPANY:

This is an excellent way to lease if you have a company. An owner takes a lease out on a particular piece of land he wants to own with his own money? he loans his company money to buy the land and the lease in effect is owned by the company via the buyer. This then becomes an asset of the company and can be depreciated from his or her share registration & paid back at the buyer's pleasure. You must have audited books to access a loan from a Bank.

On March 3rd 2000 the Thai Foreign Business Act of 1999 took effect. (FBA). This replaced the old Act of 1972.

In a company you need 7 partners but you can according to the investment control 100% via B.O.I. (Board of Investment). However a normal 2m baht Thai Company foreigners can have 6 foreign shareholders & 1 Thai but the Thai holds 51% shares & now have access to the company account.  What one does not know until they decide to form one is that certain businesses are closed to foreigners BUT THIS IS OF NO CONCERN IF ONE JUST WANTS A COMPANY FOR THE PURPOSES OF BUYING A HOUSE AND LAND but remember buying a house via a company your Thai workers will be interviewed and you must carry out business. We can help you form the company and take care of all steps for you plus search the Title Deeds & any other request like making sure their is no lien on the property. We also check the Courts for you in case the seller has a not so good record. 

THAIS MARRIED TO FOREIGNERS - the answer to your land buying problems?

BOI allows foreign companies to own land, usually factories. Don't forget the Treaty of Amity, which virtually gives Americans the right to own 100% of a company doing business in Thailand. The Japanese use nominees a lot. There are people that buy in someone elses name and put a mortgage on the property for the purchase price to protect their interest. There are also concurrent land leases that can be set up, as there is no restriction on foreigners owning buildings (40% of a condo complex) and lastly theres those who trust their wife or friend & use their name. Laws are worthless without enforcement, & Thailand practices "selective" enforcement. Foreigners can buy property in Thailand & please use a lawyer as sometimes Title Deeds are false, or the building you buy is not on the deed or the land has encroached on other land.

Most farangs use their Thai wife and give property rights to them. But if not married to a Thai lady then you can have a 30 year rental. Rental total fee equals the purchasing price. At expiry date, a second 30 year rental period is granted at zero-cost to the rentee that being you. The rental-contract is written in English and acknowledged by a lawyer. This deal is a person-to-person basis. Problems may arise at expiry date between heirs of both parties.

1/. Be careful. Check utilities as sometimes theres no phone lines & never believe it until you have written proof of phone lines are going in.

2/. Learn which areas flood and which don't. A developer will not tell you. Donít listen to pub talk. Rent before buying if you have time or ask the neighbours.

3/. A land lease NOT filed with the land department (and 1% fee paid) is only valid for 3 years regardless of the term of the lease. All lease for a period over 3 years MUST be registered at the Land Office and written in Thai. You have also to pay fees calculated on the TOTAL amount of rent agreed upon and for the full period (eg.: rent 1000 baht x 12 months x 30years = 360.000 baht)

Those who want to sign a lease-contract and don't want to register it, should know that such a contract is automatically void at the death of one of the signatory (this means that such a contract is NOT transmissible without prior agreement of the other party.)

While a contract registered at the land office is transmissible & if one signatory dies, & the contract is not cancelled, the heirs of the estate have to respect it. This is Ok if the lease is transferable and every time a transfer is made, the Land Office must be notified.

If no record of your lease with the developer, then any private agreement between the 2 parties will not be legally binding. If the developer wants to play you out, he can. The Land Office uses only one language - Thai. Even your name in the contract has to be in Thai. The "fee" is actually government tax & you pay the Land Office equivalent to a little under 5% purchase price. A developer may want a "deposit" equivalent to 1 year's maintenance fees. They say you recover this amount from the person who buys the property from me. But ask your Thai neighbours if they pay it as you will find they donít- its rubbish. Confusing-------- thats why you need our law office.

 

 

WHAT WE ARRANGE:

Our company can setup your company using our Thai lawyer or formulate leases, agreements etc that suit your situation.  If wanting to purchase or lease land do not sign any forms until you talk to us, but please obtain a Title Deed and have it searched. We initiate an investigation of your Title Deed for you and we give you a full Court/lien & ownership report for your situation, in English.

. If you want a company or work permit we give you a step by step English translation guide on all the steps we take for you, ensuring full confidence in our services. There are no hidden costs. Remember you do not need a work permit if you are not going to work or are only coming to Thailand to retire in your house otherwise you need a 2 million baht company min. Total costs for this is 35,000 baht including VAT for a standard 2m baht company. However you will need an "O" non immigrant visa or "B" non immigrant visa if working in Thailand which you can obtain after your company is formed. After one year in business we can then assist you to obtain a 1 year visa in Thailand. 

We arrange a 30 year lease & assist with renewal and prenuptial agreements to cover you while you are alive. This is sometimes preferable then buying a house and condo using a company. Again we arrange with our Thai lawyer all the work for you.

 

WHY USE OUR SERVICES: 

bulletWe work for you (Both Thai & foreign consultants )
bulletNo hidden charges-everything is up front.
bulletGuaranteed conveyancy help &  Company, work permit & land  setup for foreigners
bulletWe will sell your Commercial property, houses, businesses, bars and Guest Houses
bulletBecause you have the benefit of foreign help with our Thai lawyers and expat consultants
bulletWe offer: Full house onsite appraisals. Cost is 3000 baht for a house under 2 years old & 6000 baht for older houses ( plus travel if out of town ). This 5-6 page report is a must if you want to know what your house is really like which includes pics of repair work needed and we even do a air con survey (extra).
bulletWe have the top services to help you.

If you have a property to rent, sell or lease in Thailand then WRITE TO US as we can advertise for you in our hardcopy news in Pattaya & Chiangmai .[ THAI LAW HELP SERVICE ]:  We have many more properties. Just ask us. Let us broker your business or property. If we don't sell we don't charge you.  Selling or wanting to Buy a Guest House, Restaurant, Business, Bar or Office then just ask us. We do not charge you to find your business. We even guide you to the best deal & help you form a company, partnership, year visa, agreements, leases, accounting services, taxation etc right to offering you FREE hardcopy promotions if you use our services. We offer what no other Thai company can do: FREE hardcopy advertising promotions.

[ Home ] [ Business sales in Thailand & overseas ] [ ChiangRai Apartment Building ] [ Resort sales ]] [ Our builders ]

   
 

Check out anything about Thailand on Asia Trading Post: from Business to Visas to Companies or just General. Click on:

 Bangkok's top premium property sales team & foreign guide to top Condos

  Offices in Chiangmai & Bangkok offering foreigners excellent law services in Thailand

 Bangkok's premium Garment markets & export

Centre

 

[ Home ]

    cmhouses@gmail.com    Copyright © 2001