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Specific Business Tax (SBT, ภาษีธุรกิจเฉพาะ) is a tax Thailand can charge on a property sale, worked out on whichever is higher: the sale price or the appraised value. The rate is 3.3%. An individual seller is usually exempt if they owned the property more than five years, had their name in the property's house register for at least one year, or inherited it, as the Revenue Department explains; a company seller does not get the five-year exemption on the same basis. Only one of two payments is ever charged on a sale — SBT or a 0.5% stamp duty of 0.5%, never both — and the sale contract decides which side actually pays it.
Where SBT comes up
The Land Office works out SBT when a sale is registered, alongside the 2% transfer fee on the appraised value and withholding income tax payable on the sale. Check that the closing-cost estimate includes the transfer fee, SBT or stamp duty, and withholding income tax, and review how the contract allocates them. We cover the full cost breakdown for a buyer in taxes and fees when buying a condo. For a purchase from a developer, including an off-plan unit, have a tax adviser check how SBT applies to the transaction and how the contract allocates the costs.
How SBT differs from stamp duty
| Charge | Rate | When it applies |
|---|---|---|
| SBT | 3.3% | On a sale that falls within SBT, including most sales inside five years of purchase |
| Stamp duty | 0.5% | On a sale where SBT does not apply |
Only one of the two is charged. Withholding income tax payable on the sale is a separate, third payment and is due regardless of which of the two above applies.
Who pays SBT: seller or buyer
The sale and purchase agreement determines how the seller and buyer allocate the cost of SBT. For a reseller, it is worth checking this before you quote a net price to a buyer: a cost sheet that already assumes stamp duty can turn into a bigger SBT bill if the five-year threshold is not met, or if a company holds the title. Our lawyers check how taxes are allocated in a sale and purchase agreement as part of the free 48-hour contract review. If you are not sure how your contract reads on this point, send it over and we will look at it alongside the other terms. See a property lawyer in Phuket for how we support a sale or purchase.
For a wider look at the checks worth running before you commit, see the Phuket condo buyer checklist.
Phuket areas
The same laws apply across the island, but each area has its own particulars: what kind of property usually sells there, which documents prove rights to the land and what deserves a closer look before you buy.
Kata
In sea-view condominiums the 49% foreign quota usually runs out quickly, so we check it before you reserve a unit.
Patong
People buy condos here to rent out and open businesses that need licences.
Kamala
There are many branded residences here, homes sold under a hotel brand, and the management agreement needs careful reading before you buy.
Old Town
Many historic shophouses, buildings with a shop on the ground floor, are protected and can only be restored under special rules.
