The different tax of foreigners to purchase property in Cambodia

Taxes and fees involved in the Cambodia purchase stage

Transfer fee: 4% of the total house price

Transfer fee: When transferring a hard title, according to the regulations of the local land bureau, according to the current value of the announcement, it is necessary to pay the government a 4% transfer fee of the total house price. Of course, if you do not want to pay the transfer fee, you can also apply for the soft card as a form of property rights. However, this title certificate is a certificate of title issued by the district/county office and issued with time limits, in order to avoid unnecessary trouble, I suggest that you still apply for the hard title property rights form, because it is the Land Management Planning Bureau, and has passed the national level information certification of the Ministry of Land and Resources. It is also the most authoritative property certificate of Cambodia, the best housing property form, permanent and effective.

Note: Most of the newly developed projects in Cambodia are currently carried out in the form of hard property rights.

Taxes and fees involved in the holding of property in Cambodia

The so-called holding stage is the stage in which property rights are issued and has not yet been sold.  At this stage, there are mainly three kinds of taxes and fees: property tax, rental income tax, and property management service fee.If the house is not rented, the second tax is not involved. Property tax: levied at 0.1% of the total house price After the house is delivered, it needs to be paid to the Tax Office every year. The tax allowance is 25,000 US dollars, and the excess is levied at a rate of 0.1% per year. Rental income tax: 10% for Cambodian nationals and 14% for foreigners. The nationals collect 10% of the rental and the foreigners impose 14% of the rental. Like the property tax, it is also levied by the Taxation Office. However, the proportion of fees charged by Cambodian nationals and foreigners is different, and the proportion of foreigners is 4% higher than that of locals.  The rental income tax also needs to be declared before payment. Property management fee: 0.98-2 US dollars / square. Property management service fees are collected by the property. The average price per square is about 0.98-2 US dollars. Different properties and different projects are different in terms of fees. Generally, they need to be paid from the beginning of the delivery.

Taxes and fees involved in the sale of property

In the stage of housing sales, the main taxes involved are agency commissions, transfer fees and service fees. Intermediary commission: about 3%-5%Whether buying a house or selling a house, the intermediary can not be ignored. On the one hand, they have a better understanding of the local real estate market, they can give professional advice, on the other hand, it can help us save time and energy. Selling houses in Cambodia, the intermediary fees are generally paid by the sellers, which is about 3%-5%, mainly based on the fees of the intermediary companies. Transfer fee: 4% of the total house price. At this time, in fact, as we used to buy a house, we were required to pay a transfer fee of 4% of the total house price. The transfer fee was paid by the buyer of the property. The staff of the local taxation department of Cambodia will assess the value of the house according to the regulations, and then list a tax payment list, which will explain the detailed taxable amount, and buyer should follow the list to pay it as required. Generally, it takes 12 weeks for the tax bureau to handle the transfer of property rights. After the tax bureau issued the buyer's tax payment certificate, the Land Department can successfully complete the property rights transfer.