Real Estate July 14, 2017 01:00

By The Nation

Most members of a committee working on the legal draft of a land and building tax support a reduction in the threshold at which the tax will be applied on the value of a main house to below Bt50 million.

The move would help to expand the country’s tax base.

However, the committee members have not determined a figure for that threshold.

Wisudhi Srisuphan, the Deputy Minister for Finance, said: “If the value of a main house eligible for tax exemption is cut, the tax base will be widened.”

He expected a further 45 days would be needed to review issues arising from the legal draft. It would then be taken into the second and third readings.

The legal draft is expected to come into force this year, while actual tax collection will start in 2019.

Based on the current legal draft, a residential house is taxed at a ceiling of 0.5 per cent of an appraised price and a house worth no more than Bt50 million receives a tax waiver.