We would like to send you our highest considerations and would inform you that it is the property owner's responsibility to inform the local authorities and pay building and land tax before the end of February each year. Owner-occupied residences are exempt from building and land tax. However, the tax authorities do not regard as owner occupied a situation where a foreigner is leasing lease a property through a Thai juristic entity (Thai limited company) and uses the house as his holiday home or residence. The authorities in such situation require the owning company to pay building and land tax, irrespective if the company receives any income out of it.
Foreigners leasing land AND house through a limited company are often unaware of this tax and possible consequences of not paying. The relevant local authorities do occasional checks which will lead to a higher tax assessment and might also lead to hefty fines.
Residence Care was reminded by relevant authorities to pay building and land tax for all our properties before the end of February 2016 and continue to do so each subsequent year. As referring to our contract points 4.3 and 7.4 we are therefore obliged to invoice building and land tax together with our annual lease fee and house insurance in the future. We thank you for your understanding and remain
With best regards,
Residence Care Company Limited.