Authored by the expert who managed and guided the team behind the Thailand Property Pack
Yes, the analysis of Koh Samui's property market is included in our pack
Property taxes and fees in Koh Samui vary significantly based on whether you're buying a freehold condo, villa on leased land, or using a Thai company structure.
Transfer fees, stamp duty or specific business tax, withholding tax, and various registration costs can add 4-8% to your total property purchase price, while ongoing expenses like Land & Building Tax and common area fees create annual costs of 0.5-2% of property value.
If you want to go deeper, you can check our pack of documents related to the real estate market in Thailand, based on reliable facts and data, not opinions or rumors.
Property buyers in Koh Samui face transfer fees of 2% of appraised value, plus either stamp duty (0.5%) or specific business tax (3.3%), depending on the seller's circumstances.
Additional costs include withholding tax, mortgage registration fees, developer charges, and ongoing Land & Building Tax at 0.03% annually for residential properties under ฿25 million.
| Fee Type | Rate/Amount | Who Pays |
|---|---|---|
| Transfer Fee | 2% of appraised value | Split 50-50 (negotiable) |
| Stamp Duty | 0.5% of registered value | Seller (if SBT doesn't apply) |
| Specific Business Tax | 3.3% (3% + 10% municipal) | Seller (company/individual <5 years) |
| Withholding Tax | Progressive rates/1% for companies | Withheld by buyer |
| Mortgage Registration | 1% + 0.1% stamp duty | Borrower |
| Land & Building Tax | 0.03% annually (up to ฿25M) | Owner |
| Sinking Fund | ฿500-1,000/m² | Buyer (condos) |
Fact-checked and reviewed by our local expert
Daniel Rouquette 🇫🇷
CEO & Co-Founder at Villa Finder
What type of property ownership structure determines your tax and fee obligations in Koh Samui?
Your ownership structure directly determines which taxes and fees apply to your Koh Samui property purchase.
Foreigners can buy freehold condos in their own name, subject to the 49% foreign ownership limit per building under the Thai Condominium Act. This structure allows direct ownership and simplifies the tax calculation process at the Land Office.
Villa purchases typically involve leasing land for 30 years while owning the villa structure itself as freehold property. This dual ownership creates separate registration procedures and fees for both the land lease and villa ownership transfer.
Land plus villa ownership through a Thai company structure requires the company to hold majority Thai shareholders (at least 51%). The villa can be owned individually while the land is held by the company, creating more complex tax obligations.
Each structure follows different Land Office procedures, with freehold condos having the most straightforward process and company structures requiring additional documentation and potential corporate tax considerations.
How do Land Office appraised values and purchase prices affect your tax calculations?
The Land Office uses the official government appraised value as the primary basis for calculating transfer taxes and fees, not the market value or agreed purchase price.
Most property taxes and fees are calculated on whichever amount is higher between the Land Office appraised value and the agreed sale price. This prevents underreporting of sale prices to reduce tax obligations.
As of September 2025, Land Office appraised values in Koh Samui typically range from 60-85% of actual market values, though this varies significantly by location and property type. Beachfront properties often have appraised values closer to market rates.
When the declared sale price is lower than the appraised value, the transfer fee calculation still uses the higher appraised value. This means buyers cannot reduce transfer costs by declaring artificially low purchase prices.
For accurate budget planning, obtain the current Land Office appraised value for your specific property before signing any purchase agreements, as this determines the exact baht amounts for percentage-based fees.
What are the transfer fee rates and how are they typically split between buyer and seller?
The standard transfer fee in Koh Samui is 2% of the Land Office appraised value, paid to register the property transfer at the Land Office.
By default, transfer fees are split 50-50 between buyer and seller, but this arrangement can be negotiated and specified in the purchase contract. Many contracts deviate from this standard split based on market conditions and negotiating power.
For new condominium purchases directly from developers, buyers are legally capped at paying a maximum of 1% of the appraised value as transfer fee. The developer must cover any remaining amount above this 1% limit.
In practice, competitive markets often see sellers covering larger portions of transfer fees to attract buyers. Some luxury developments include full transfer fee coverage in their marketing packages.
It's something we develop in our Thailand property pack.
When does stamp duty apply versus specific business tax, and who pays each?
Stamp duty at 0.5% of the registered value applies when specific business tax (SBT) does not apply to the transaction.
| Seller Type | Conditions | Tax Applied |
|---|---|---|
| Individual - Long Term | Owned >5 years + registered residence | 0.5% Stamp Duty |
| Individual - Short Term | Owned <5 years or not primary residence | 3.3% SBT |
| Company Seller | Any company ownership | 3.3% SBT |
| Developer/New Property | First sale from developer | 3.3% SBT |
| Investment Property | Never used as primary residence | 3.3% SBT |
Specific business tax consists of 3% SBT plus a 10% municipal levy, totaling 3.3% of the registered value. This applies when the seller is a company or an individual who held the property for less than five years or never registered it as their primary residence.
The seller is responsible for paying either stamp duty or SBT, never both. Buyers and sellers can negotiate in their contract who actually pays these taxes, but the legal default assigns responsibility to the seller.
As of September 2025, most property transactions in Koh Samui trigger SBT rather than stamp duty, particularly for investment properties and new developments.
How is withholding tax calculated and who must pay it at transfer?
Withholding tax obligations depend on whether the seller is an individual or a company, with different calculation methods and rates for each.
Individual sellers face progressive personal income tax rates based on the assessed value, number of years the property was held, and available deductions for property improvements. The calculation follows Thailand's standard personal income tax brackets, which can range from 5% to 35% depending on the seller's total annual income.
Company sellers are subject to withholding tax at 1% of the higher amount between the Land Office appraised value or the actual sale price. The buyer must withhold this amount and remit it directly to the Land Office during the transfer process.
Buyers are legally required to withhold the appropriate tax amount from company sellers but not from individual sellers, who are responsible for calculating and paying their own withholding tax obligations.
For individual sellers, the withholding tax calculation includes complex formulas considering the property's holding period, with longer ownership periods generally resulting in lower effective tax rates through various deductions and allowances.
Don't lose money on your property in Koh Samui
100% of people who have lost money there have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.
What are the registration fees and stamp duty for leases and usufruct agreements?
Lease registration fees in Koh Samui are calculated at 1% of the total rent for the entire lease term, typically split 50-50 between tenant and landlord unless otherwise negotiated in the lease agreement.
For a typical 30-year land lease with total rent of ฿3 million, the registration fee would be ฿30,000 (1% of ฿3,000,000). An additional stamp duty of 0.1% of the total rent amount applies, adding another ฿3,000 to this example.
Usufruct agreements require registration fees of 1% of the consideration paid plus 0.1% stamp duty. When granted without monetary consideration (such as through inheritance or gift), minimal administrative fees of ฿1,000-5,000 typically apply.
Long-term leases exceeding three years must be registered at the Land Office to be legally enforceable against future owners. Unregistered long-term leases are only binding between the original parties.
Registration timeline typically takes 1-3 business days at the Land Office, with all parties required to be present or represented by power of attorney during the registration process.
What mortgage registration fees and bank charges should you expect?
Mortgage registration with the Land Office costs 1% of the loan principal amount plus 0.1% stamp duty, both paid by the borrower during the registration process.
For a ฿10 million mortgage, you would pay ฿100,000 (1%) as registration fee plus ฿10,000 (0.1%) as stamp duty, totaling ฿110,000 in Land Office charges.
Banks charge separate fees that are not regulated by the Land Office, including property valuation fees of ฿3,000-15,000, loan arrangement fees of ฿5,000-25,000, and potential early repayment penalties that can reach 1-3% of the outstanding loan balance.
International banks operating in Koh Samui often charge higher fees than local Thai banks, with some premium banking services adding ฿20,000-50,000 in additional processing and documentation fees.
Mortgage insurance, when required, adds 0.5-1.5% of the loan amount annually, though this is not a Land Office registration fee but rather an ongoing cost from the insurance provider.
What one-time developer and juristic person charges apply at transfer?
Sinking fund contributions are mandatory one-time payments for condominium purchases, typically ranging from ฿500-1,000 per square meter depending on the building's facilities and projected maintenance needs.
Advance common area fees must be paid at transfer, usually covering 6-12 months in advance. These fees commonly range from ฿40-120 per square meter per month for condominiums, with luxury developments often charging ฿80-200 per square meter monthly.
Administrative transfer fees charged by juristic persons (building management companies) typically range from ฿5,000-50,000 per unit, depending on the development's complexity and services provided.
For a 100-square-meter condo with ฿800/m² sinking fund, ฿60/m²/month common fees (12 months advance), and ฿15,000 admin fee, total juristic charges would be ฿80,000 + ฿72,000 + ฿15,000 = ฿167,000.
Villa estates may charge similar advance fees for estate management, security, and common facility maintenance, though amounts vary significantly based on the estate's amenities and services.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Thailand versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What annual recurring costs should you budget for property ownership?
Land & Building Tax is the primary annual property tax in Koh Samui, charged at 0.03% of the Land Office appraised value for residential properties valued up to ฿25 million.
Properties valued above ฿25 million face progressively higher rates, reaching 0.05% for residential properties valued between ฿25-50 million, and 0.1% for properties exceeding ฿50 million in appraised value.
Condominium common area fees typically range from ฿40-120 per square meter monthly, covering building maintenance, security, utilities for common areas, and facility management. Luxury developments can charge ฿150-300 per square meter monthly.
Municipal and garbage collection fees are modest, usually ฿200-1,000 monthly depending on the specific tambon (sub-district) and waste management services provided by local authorities.
For a ฿15 million condominium (100 m²) with ฿80/m² monthly common fees, annual costs would be ฿4,500 (0.03% Land & Building Tax) + ฿96,000 (common area fees) + ฿3,600 (municipal fees) = ฿104,100 per year.
What professional and due diligence costs should you factor into your budget?
Legal fees for property purchases typically range from ฿30,000-80,000 for fixed-fee arrangements, or 1-2% of the purchase price for percentage-based legal services, depending on transaction complexity and lawyer experience.
Title searches and property surveys cost ฿5,000-20,000 for comprehensive surveys, while basic title searches range from ฿3,000-5,000. Complex properties with multiple ownership histories or boundary disputes may require additional survey work costing ฿15,000-40,000.
Document translations and notarizations cost ฿1,000-15,000 per document, with Thai-English translations of contracts, title deeds, and company documents being standard requirements for foreign buyers.
Real estate agent commissions typically range from 3-5% of the sale price, usually paid by the seller but sometimes negotiated to be split between parties or paid by the buyer in competitive markets.
Thai company setup costs range from ฿30,000-50,000 for initial formation, with ongoing annual accounting and compliance costs of ฿18,000-35,000 per year when using company structures for land ownership.
What utility connection and setup costs will you encounter?
Electricity meter installation and security deposits typically cost ฿5,000-15,000, with higher deposits required for larger properties or commercial-rate connections in mixed-use developments.
Water meter connections and deposits range from ฿5,000-10,000 for standard residential connections. Some exclusive developments charge premium rates and require larger deposits of ฿15,000-25,000 for water services.
Internet setup costs vary from ฿1,000-5,000 for installation, with monthly service fees ranging from ฿600-1,500 depending on speed packages. Fiber optic installations in remote villa locations may cost ฿10,000-20,000.
Many estate developments mark up utility costs, charging ฿0.50-2.00 per kWh above the standard Provincial Electricity Authority rates, which can add ฿500-2,000 monthly to electricity bills depending on usage.
It's something we develop in our Thailand property pack.
What taxes and permits affect rental income and resale scenarios?
Rental income tax follows Thailand's progressive personal income tax rates for individual owners, ranging from 5% to 35% depending on total annual income, or corporate income tax rates of 20% for properties held in Thai companies.
Short-term rental properties (less than 30 days) require hotel licenses from local authorities, with significant penalties for unlicensed operations. Licensing costs vary by location but typically range from ฿50,000-200,000 initially, plus annual renewal fees of ฿20,000-80,000.
| Ownership Period | Transfer Tax | SBT/Stamp Duty | Total Cost Range |
|---|---|---|---|
| 0-2 years | 2% | 3.3% SBT | 5.3% + withholding |
| 3-5 years | 2% | 3.3% SBT | 5.3% + withholding |
| 5+ years (residence) | 2% | 0.5% stamp | 2.5% + withholding |
| Investment property | 2% | 3.3% SBT | 5.3% + withholding |
| Company ownership | 2% | 3.3% SBT | 5.3% + 1% withholding |
Future resale costs include the same transfer fees (2%), specific business tax or stamp duty (3.3% or 0.5%), and withholding tax on capital gains, which can significantly impact 5-10 year investment returns when modeled in baht terms.
For a ฿20 million property purchased today and sold in 7 years, assuming 3% annual appreciation, sale costs could reach ฿650,000-1,300,000 depending on ownership structure and tax obligations, representing 2.6-5.2% of the sale price.
It's something we develop in our Thailand property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Understanding all property-related costs in Koh Samui is essential for accurate investment planning and avoiding unexpected expenses that can significantly impact your returns.
The total cost of property ownership extends far beyond the purchase price, with transfer taxes, ongoing fees, and potential resale costs requiring careful budgeting throughout your ownership period.
Sources
- Estate Samui Properties - Buying Property Guide
- Charles Del - Villa Ownership Structures
- Thai Embassy - Buying Villa Guide
- Samui For Sale - Transfer Taxes
- Charles Del - Property Selling Costs
- Horizon Homes - Investment Guide
- Frank Legal Tax - Property Sale Taxes
- Benoit Partners - Koh Samui Investment