Good Morning Chiangmai News Magazine

[an error occurred while processing this directive]

20/1 Ratchamanka Road
A.Muang Chiangmai 50200
Tel/Fax: (053) 278516
gmorning@loxinfo.co.th

ACQUISITION OF LAND BY ALIENS

A brief translation of the current law affecting foreigners - thanks to the Legal Affairs Division, Royal Thai Government Land Department.

Since January 19th , 2002, an alien is allowed to purchase land in Thailand for residential purposes. The land shall be not more than one rai in area, and the following rules and conditions must be met: Bringing not less than 40 million baht into the Kingdom for investment and maintaining it for not less than 5 years

Permission must be obtained from the Ministry of Interior

Money brought into the Kingdom shall be invested in one of the following businesses or activities;

to purchase bonds of Thai Government, bonds of Thai National Bank, bonds of State Enterprise or bonds which the Ministry of Finance secures the capital or interest an investment in a property mutual fund or a mutual fund for resolving financial institution problems established under the law on Securities and Stock Exchange

an investment in share capital of a juristic person who is granted permission of investment under the law on promotion of investment

an investment in an activity as declared by the Board of Investment to be an activity eligible to be granted promotion of investment under the law on promotion of investment the land shall be located in Bangkok Metropolis, Pattaya City, or Tessabarn (Municipality), or in an area specified as a residential zone according to the law on Town and Country Planning and shall not be located in a Military Safety Zone

an alien shall utilise the land only for residence for his/herself and family in a way that is not contrary to the local custom or good living of the local community

if an alien who is granted permission does not comply with the rules and conditions specified, he/she shall dispose of such land within the period of time specified by the Director General of the Department of Land, which shall be between 180 days to 1 year. If the time limit elapses, the Director General shall have the power to dispose of such land if an alien who is granted permission does not utilise the land for residence within 2 years as from the day the registration for land acquisition is made, the Director General shall have the power to dispose of such land.

Besides the aforementioned rules and conditions, an alien may acquire land by inheritance as statutory heir. In this instance, the land devolved when combined with the land already acquired shall not exceed that specified by law. Examples: land for residential purpose not exceeding 1 rai per household; land for commercial purpose not exceeding 1 rai; land for industrial purpose not exceeding 10 rai and land for agricultural purpose not exceeding 10 rai.

An alien whose spouse is a Thai national: that Thai national can purchase land but the alien spouse must give a joint written confirmation that the money which that Thai national will expend on purchasing the land is wholly the separate property or personal effects of that Thai national and not jointly owned.

Fees

(a) 0.01% of the valuation price, in the case of land located in the land development project (this rate is due in December 2002)

(b) In the case other than (a) the fee is 2% of the valuation price.

Taxes and duties

To be paid according to the Code of Revenue

Acquisition of Condominium Units

On April 28th , 1999, the Condominium Act was amended to facilitate aliens in the purchase of condominium units. An alien may now have ownership of a condominium unit in a proportion not higher than 49% of the total space of all units in that condominium at the time the application for condominium registration is being lodged. The amended Act also provides that an alien may have ownership in a condominium unit exceeding 49% if the following rules are satisfied:

The condominium shall be situated in Bangkok Metropolis, municipality area or other local administrative area, ie Pattaya City. The total area of the land on which a condominium is situated, when combined with the land provided for common use or benefit of all co-owners, shall not exceed 5 rai

The condominium shall accommodate not less than 40 condominium units;

Such condominium shall be registered not less than one year prior to the date an alien applies for ownership in the condominium unit

The condominium shall not be situated in the area of a Military Safety Zone

An alien shall utilise a condominium unit in a way that is not contrary to local custom or good living of the community;

However, in a 5 year term as from April 28th, 1999, the rules concerning the acquisition of ownership by an alien in a condominium unit in a higher proportion than 49% shall take effect. After that it shall be repealed, and the alien obtaining an ownership in this regard and the alien receiving an ownership in a condominium unit transferred by the former are allowed to continue holding the ownership in that condominium unit even in a higher proportion than 49%.

JUST LIKE THE REAL THING?

Almost! The Spitfire Mk V111 in RAAF livery (no red to avoid confusion with the enemy by ground gunners), arguably the best looking piston-engined plane ever! Framed in dark Thai timber, each piece is numbered and only 1000 pieces will ever be produced. Made by Thai craftsmen with care.

Measurement: 24 x 15 x 3.5 cm

email: gmorning@chiangmai-online.com

.gif