Condo purchase taxes
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Condo purchase taxes
Hi Members,
I am just orientating but lets say i buy a condo here than what taxes will i have to absorb? What tax is for the buyer and what tax is for the seller.
Does it matters tax wise if i buy a new unit or a second hand unit? I do understand that generally speaking buying a condo here is a poor investment.
I am just orientating but lets say i buy a condo here than what taxes will i have to absorb? What tax is for the buyer and what tax is for the seller.
Does it matters tax wise if i buy a new unit or a second hand unit? I do understand that generally speaking buying a condo here is a poor investment.
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Re: Condo purchase taxes
Transfer tax (4%). In some cases the seller might be ok to pay it, but usually it's the buyer who pays it. Also if you are buying straight from the developer you also need to pay VAT (10%) and this is not usually included in the prices they advertise.Strawberryshake wrote: ↑Sun Aug 30, 2020 5:42 pm Hi Members,
I am just orientating but lets say i buy a condo here than what taxes will i have to absorb? What tax is for the buyer and what tax is for the seller.
Does it matters tax wise if i buy a new unit or a second hand unit? I do understand that generally speaking buying a condo here is a poor investment.
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Re: Condo purchase taxes
I see i thought always the sellers are the one responsible to pay the 10% VAT. So if i buy a new unit here from a developer than i will be charged to pay 10% VAT and then later-on once i want to i sell it i will have to pay another 10% VAT over that sale again ?rogerrabbit wrote: ↑Sun Aug 30, 2020 7:32 pmStrawberryshake wrote: ↑Sun Aug 30, 2020 5:42 pm Hi Members,
I am just orientating but lets say i buy a condo here than what taxes will i have to absorb? What tax is for the buyer and what tax is for the seller.
Does it matters tax wise if i buy a new unit or a second hand unit? I do understand that generally speaking buying a condo here is a poor investment.
Transfer tax (4%). In some cases the seller might be ok to pay it, but usually it's the buyer who pays it. Also if you are buying straight from the developer you also need to pay VAT (10%) and this is not usually included in the prices they advertise.
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Re: Condo purchase taxes
By the way i just get information but i have no idea if this is true that for units Under 70k USD there is no 4% property tax as government cancel it.?
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Re: Condo purchase taxes
No, unless you buy the property for company, you don't need to pay VAT when you sell it. You only have to pay it when you buy the property from company/developer.Strawberryshake wrote: ↑Sun Aug 30, 2020 8:43 pmI see i thought always the sellers are the one responsible to pay the 10% VAT. So if i buy a new unit here from a developer than i will be charged to pay 10% VAT and then later-on once i want to i sell it i will have to pay another 10% VAT over that sale again ?rogerrabbit wrote: ↑Sun Aug 30, 2020 7:32 pmStrawberryshake wrote: ↑Sun Aug 30, 2020 5:42 pm Hi Members,
I am just orientating but lets say i buy a condo here than what taxes will i have to absorb? What tax is for the buyer and what tax is for the seller.
Does it matters tax wise if i buy a new unit or a second hand unit? I do understand that generally speaking buying a condo here is a poor investment.
Transfer tax (4%). In some cases the seller might be ok to pay it, but usually it's the buyer who pays it. Also if you are buying straight from the developer you also need to pay VAT (10%) and this is not usually included in the prices they advertise.
Developer will add 10% to the purchase price and they will then pay the VAT to the tax office. But my point was that usually here, the developers list the price online and on their brochures without the VAT . So once you really buy the unit, the price will 10% higher due the VAT. But if you buy unit from a private person, then there is no VAT.
Yeah, properties under $70,000 will be exempted from transfer (stamp duty) tax in 2020 because of covid. But the transaction has to happen in 2020.Strawberryshake wrote: ↑Sun Aug 30, 2020 8:47 pm By the way i just get information but i have no idea if this is true that for units Under 70k USD there is no 4% property tax as government cancel it.?
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Re: Condo purchase taxes
PHNOM PENH—Cambodia'sgovernment on Wednesday announced that house and condo buyers will not need to pay stamp duty on propertiesvalued less than $70,000. Prime Minister HE said that his policy will help housing developers to increase their sales and hopefully build more properties for lower-income families.Feb 26, 2020
It doesn’t say here specifically its just for one year and or that its Corvid related. Might aswell get extended for 2021.
This discount for 2020 is for both new and second property purchases ?
It doesn’t say here specifically its just for one year and or that its Corvid related. Might aswell get extended for 2021.
This discount for 2020 is for both new and second property purchases ?
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Re: Condo purchase taxes
UPDATE
Stamp duty for $70K properties exempt till December
Nov Sivutha | Publication date 28 April 2022 | 21:35 ICT
Stamp duty exemption on ownership transfer or purchase of real estate worth $70,000 or less will continue until the end of 2022 to reduce the burden on taxpayers, according to the General Department of Taxation (GDT).
This is the third time since February 2020 where the government has waived stamp duty for properties within this value segment.
The decision to extend the exemption is in line with the restoration of Cambodia’s economic growth as outlined by the 2021-2023 “Living with Covid-19 under the New Normal” scheme.
In the meantime, the Ministry of Economy and Finance has urged housing developers to enter into legitimate sale and purchase agreements that are based on actual market value.
It warned that failure to comply would result in GDT investigating housing developers who allegedly reduced the selling price in order to evade tax.
https://www.phnompenhpost.com/business/ ... l-december
Stamp duty for $70K properties exempt till December
Nov Sivutha | Publication date 28 April 2022 | 21:35 ICT
Stamp duty exemption on ownership transfer or purchase of real estate worth $70,000 or less will continue until the end of 2022 to reduce the burden on taxpayers, according to the General Department of Taxation (GDT).
This is the third time since February 2020 where the government has waived stamp duty for properties within this value segment.
The decision to extend the exemption is in line with the restoration of Cambodia’s economic growth as outlined by the 2021-2023 “Living with Covid-19 under the New Normal” scheme.
In the meantime, the Ministry of Economy and Finance has urged housing developers to enter into legitimate sale and purchase agreements that are based on actual market value.
It warned that failure to comply would result in GDT investigating housing developers who allegedly reduced the selling price in order to evade tax.
https://www.phnompenhpost.com/business/ ... l-december
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Re: Condo purchase taxes
The 4% transfer tax only applies to hard title tramsfers.the seller being responsible for the fees and transfer tax.
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