Transferring land to "children" vs "grandchildren" is more economical?

Transferring land to "children" vs "grandchildren" is more economical?

Forwarding inheritance or land to families has very different details of taxes and fees. If poorly planned, it may have to pay more expensive than thought!

1. Transfer to the episode "Still Life" (giving)

• Transfer to children (legitimate children): Pay much less!

• Only 0.5% transfer fee

• Income Tax: Except if the value does not exceed 20 million baht per year (5% excess)

• Stamp duty: 0.5%

• Transfer to grandchildren (across generations): This is considered a transfer to another person by law.

• Transfer fee up to 2.0%

• Income Tax: Regular withholding tax like trading.

• Conclusion: Transferring to grandchildren directly when living is "more expensive" because grandchildren are not first-order direct descendants.

2. "Legacy" transfer (deceased)

If it is a will inheritance, the costs of both children and grandchildren are closer:

• Fee: Both lose the same amount of 0.5%.

• Inheritance Tax: (Only those exceeding 100 million baht)

• Child: Tax 5% of the excess value.

• Grandchildren / other persons: Tax 10% of the excess value

3.Technique "Transfer 2 per" (Grandfather / Grandma - > Father / Mother - > Grandchildren)

Many families prefer this method for frugality:

• 2 round transfer: Total fee about 2%

• Direct transfer to grandchildren: may be up to 5-7% or more

⚠️ Caution: If transferred immediately (within 5 years) and not named in the household register for more than one year, a specific business tax of 3.3% is required instead of stamp duty, which can be more expensive.

💡 Transfer land to anyone more economical.

• Transfer to children = cheapest

• Transfer directly to grandchildren = most expensive

• Transfer 2 per = Usually more cost effective if planning time and specific business taxes well.

# Real estate # Land tax # Financial planning # Legacy # Legal knowledge