Page 67 - BAM ONE REPORT 2565 (ENGLISH VERSION)

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Form 56-1 One Report 2022

Land and building tax collection
The Land and Building Tax Act B.E. 2562 (2019) regulates provisions about tax collection from the land and
building owners, and sets the maximum tax rate to be calculated from appraised price. The maximum tax rate depends
on property type, and it will be collected at rate specified in the Land and Building Tax Act from 01 January 2020.

Later, the “Royal Decree on land and building tax reduction B.E. 2563 (2020) (Decree), issued pursuant to Section
55 on 20 January 2020, valid from 01 January 2020 and hereafter, stipulates the land or building that is NPAs that the
asset management companies according to the laws on asset management Company (including BAM), obtained not
over 5 years, from the date that real estate belongs to the sector, will be reduced tax at rate of 90% of payable taxes.

As regards the criteria for tax collection set to be applicable for the first two years only (tax collection to start
in 2020) pursuant to the Transitory Provisions, Section 94, of the Land and Building Tax Act, the Ministry of Finance by
the Fiscal Policy Office currently deems it appropriate to maintain the land and building tax rates at the original rates
as set forth in the Transitory Provisions, Section 94, for the collection of land and building tax from 2022 onwards. Therefore,
the Royal Decree on the Stipulation of Land and Building Tax Rates B.E. 2564 was promulgated on December 13, 2021,
taking effect as from December 14, 2021, with tax collection to be based on land use classification.

For the land and building tax collection, the Notification of the Ministry of Interior regarding extension of the
implementation period according to the Land and Building Tax Act, B.E. 2562 for the year 2023 (“Notification”) was
issued in 2023 as a result of the announcement of the Property Valuation for the Public Interest Committee regarding
the effective date of the appraisal prices of land or property according to the Property Valuation for the Public Interest
Act B.E. 2562 (effective from 1 January 2023) and the announcement regarding determination of the building standard
and comparable building list (effective from 19 November 2021). This has led to changes in the appraisal prices of land
and buildings as well as categorization of buildings to support the calculation of land and building tax in 2023.

To ensure that the Local Administrative Organizations (LAOs) carry out the collection of land and building tax
smoothly, efficiently and completely, the Minister of Interior gave approval in general for a 2-month extension of the
implementation for the LAOs and taxpayers only for the collection of land and building tax for 2023. This includes the
extension of the LAOs’ listing of land and buildings, announcement of the appraisal prices, tax rates and necessary
details for the land and building tax collection, announcement on the tax valuation, notification to taxpayers on overdue
tax payment and report on overdue tax payment to the Land Office.

Besides, the above Notification also covers an extension of the deadline for taxpayers (including BAM) to pay tax
according to the tax valuation form from April 2023 to June 2023 and extension of installment tax payment under
Section 52, paragraph 2 of the Land and Building Tax Act for taxpayers with details as follows:
First installment From payment by April 2023 to payment by June 2023
Second installment From payment by May 2023 to payment by July 2023
Third installment From payment by June 2023 to payment by August 2023