Navigating property inheritance in Thailand can be complex, especially for foreigners. Thai property laws restrict direct land ownership by non-Thai nationals, but understanding inheritance rules ensures that property and investments are passed on legally and efficiently. This post explores inheritance of land and inheritance of a Thai company, with links to related property ownership strategies discussed in our previous posts.
Part 1: Inheriting Land in Thailand
Foreigners generally cannot directly own land in Thailand. However, inheritance offers a limited pathway:
- Marriage to a Thai national: Foreign spouses may inherit land from their Thai partner, but the land must be registered in the Thai spouse’s name, and the foreigner must comply with specific legal declarations. For more on how foreigners can own property, see Simplifying Thai Property Laws for Foreign Buyers.
- Statutory heir provisions: Foreigners can inherit land under Thai law, but ownership registration is restricted. Often, foreign heirs must sell the land within one year if it cannot legally remain under foreign ownership.
- Approval requirement: Inheritance of land by foreigners may require approval from the Minister of Interior to ensure compliance with the Land Code.
Key Points:
- Foreigners cannot freely inherit land without restrictions.
- Ministerial approval may be required.
- Often, inherited land must be sold within one year if ownership is not permitted.
For related strategies on holding land through leaseholds or a Thai company, see Leasehold Property in Thailand: What Foreign Buyers Need to Know and Thai Companies and Foreign Property Ownership in Thailand.
Part 2: Inheriting a Thai Company
A Thai company can own property, providing a more flexible inheritance solution:
- Shares, not land: Heirs inherit company shares, which may include property ownership indirectly.
- Foreign shareholding limits: Foreign heirs can inherit up to 49% of shares, while Thai nationals maintain the required majority.
- Registration: All share transfers must be recorded with the Department of Business Development to ensure legal validity.
- Continuity: Inheriting shares allows heirs to continue property management and operations without violating Thai land laws.
Key Points:
- Inheritance is in the form of company shares, not land.
- Foreign heirs must respect Thai majority shareholding rules.
- Proper registration ensures legal recognition and continuity.
For a deeper understanding of Thai company ownership and inheritance, see Thai Companies and Foreign Property Ownership in Thailand.
Important Considerations
Inheritance planning in Thailand requires careful legal guidance. Siam Immobilier can assist foreign clients by connecting them with trusted Thai lawyers to manage the inheritance process efficiently. While we are not legal advisors, our expertise ensures that all property and corporate inheritance steps are compliant and smooth.
Key Points:
- Always work with experienced Thai lawyers.
- Siam Immobilier provides guidance and support throughout the process.
- Proper planning ensures heirs can legally maintain property or company ownership.