Thailand real estate terms P
Letter P covers power of attorney, progressive withholding tax, and public utilities. Expats who cannot attend Land Office transfer use POA. High-value resales from individual sellers trigger progressive withholding. Utility meter handover completes practical possession after title registers.
For broader context see our property hub and the full real estate glossary.
Specific power of attorney required for property transfer attendance.
Withholding rates increase with assessed value brackets.
Water, electricity, and internet accounts need name change at handover.
Different from individual progressive withholding.
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Terms starting with P
Power of attorney (POA)
Power of attorney authorises a representative, typically your property lawyer, to sign transfer documents at Land Office on your behalf. The Department of Lands accepts specific POA formats. POA executed abroad requires embassy notarisation or apostille per current rules.
Limit POA to the identified property transaction. Your lawyer attends transfer, verifies tax calculations, and confirms the new title deed lists your name correctly.
Progressive withholding tax
When an individual Thai national sells property, Revenue Department calculates withholding tax using progressive rate brackets based on government assessment value and holding period. High-value Bangkok condos can produce substantial seller withholding exceeding the flat 1% corporate rate.
Buyers negotiate who effectively bears tax costs in the SPA. Compare with letter I glossary page for corporate seller treatment.
Public utilities
Public utilities include electricity, water, and sewerage accounts tied to the property address. They do not transfer automatically when Land Office registers title. Buyer and seller record final meter readings on handover and clear arrears before utility offices change account names.
Utility handover at completion
| Utility | Handover action |
|---|---|
| Electricity (MEA or PEA) | Transfer account or open new account in buyer name at utility office |
| Water (MWA or provincial) | Clear seller arrears; submit title deed or lease plus ID at district office |
| Internet and cable | Cancel or transfer provider contract; not registered at Land Office |
POA requirements for expat buyers
- Use Land Office prescribed POA form or lawyer-drafted form accepted by that office
- Notarise or authenticate POA if executed outside Thailand per embassy requirements
- Limit POA scope to specific property transfer, not blanket authority
- Provide copy of grantor passport and visa stamp with POA submission
- Confirm POA expiry date covers scheduled transfer appointment
Legal context for foreign buyers
POA rules combine Land Office administrative requirements with notarial practice for documents executed overseas. Progressive withholding implements Revenue Department policy on individual property income. Utility accounts are commercial contracts separate from Land Code title registration but essential for practical use after purchase.
Common mistakes foreigners make
- Using generic POA template not accepted by provincial Land Office.
- Underestimating seller progressive withholding on high-value individual resale.
- Assuming utility accounts transfer automatically with title deed.
- Leaving seller water or electricity arrears that utility company later pursues against unit.
- Granting unlimited POA to agent instead of transfer-specific lawyer authority.
Frequently asked questions
General answers for expats reading letter P terms at transfer and handover. This is orientation, not legal or tax advice.
Q:What is power of attorney for property transfer?
POA authorises a lawyer or trusted representative to sign transfer documents at Land Office on your behalf. Thailand requires a specific form and proper authentication. Scope should be limited to the named property transaction.
Q:Can my agent use POA to buy property for me?
POA can cover transfer attendance after you already signed SPA and remitted funds. Granting purchase authority requires careful drafting. Most expats use licensed property lawyers with transfer-specific POA rather than sales agents.
Q:What is progressive withholding tax?
Individual Thai sellers pay withholding tax calculated from government assessment value using progressive rate brackets. Higher assessed values can produce effective rates well above 1%. Corporate sellers pay flat 1% withholding instead.
Q:Who pays progressive withholding?
Seller bears withholding as tax on sale income. SPA may allocate who effectively bears cost through negotiated price. Your lawyer lists all taxes on transfer worksheet before registration day.
Q:How do I transfer utility meters?
Visit electricity and water utility offices with title deed, passport, and handover readings. Clear seller arrears first. Condominium juristic person may provide move-in letter. Internet contracts transfer separately with provider.
Q:What utility arrears should I check?
Request final meter readings on handover day and written confirmation no arrears remain. Seller unpaid common fees are separate from utility accounts but equally important for condo transfer.
Q:Does POA work for off-plan final transfer?
Yes, with properly authenticated transfer-specific POA. You still complete FET remittance and SPA obligations. Lawyer attends completion registration when you cannot travel to Thailand.
Q:Where can I read more Thailand property terms?
Browse our full A to Z glossary index and property hub for related guides on transfer fees, inheritance tax, and due diligence. Start at glossary hub and property hub.