LEGAL LINES
STORY : Voralak Suwanvanichkij and Sathien Hemsin
PHOTOGRAPHY : Dan White
Who Gets What,
and How?
Wills
In Thailand, many types of property,
rights, duties and liabilities can be
included in an inheritance. Dennis
stresses the importance of a will, as it
is the core document associated with
transfer of property upon death.
For a will to be valid in Thailand, it
must be in compliance with Thai law,
with these basic requirements:
 The testator must be at least
15 years of age, and have full
mental capacity
 The will can be in English or Thai
 The will must be dated and signed
by the testator in the presence of
two witnesses who cannot be
beneficiaries under the will or
persons lacking full mental capacity
Sathien (Dennis) Hemsin
The testator can make and execute
the will in the District Office, where
a record of such will remains secret
No one likes to dwell on during the testator’s lifetime. The will
their eventual demise, may also be altered at any time through
but for property owners a subsequent will or a codicil that states
planning ahead is essential. whether the first will is completely or
We speak with Sathien partially revoked.
(Dennis) Hemsin, director
of Bangkok International Dennis also explains that trusts do
Associates, about options not exist in Thai law and: “if a testator
for transferring property in wants to leave property to a minor
Thailand upon death. (person under 20 years of age), an
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executor can hold the property for
the minor or appoint a guardian to
hold the property until the minor
reaches majority.”
While “wills made overseas are
acceptable,” Dennis advises that it may
be more cumbersome if the executor
named in the will is not in Thailand and
if the will is in a foreign language. He
suggests that a person makes separate
wills applicable in each country in which
they own assets to speed up the process
of estate administration.
Intestacy
Where a person dies without a valid
will, property is distributed according
to the law. Dennis explains that there
are six classes of statutory heirs.
Entitlement applies in descending order:
children; parents; siblings; half-siblings;
grandparents; and uncles and aunts. If
no statutory heirs exist, the surviving
spouse receives the entire estate.
If the deceased is survived by a
spouse (foreign or Thai) and children,
the spouse receives 50% of the
property and the children divide the
remaining 50% into equal shares.
Similarly, if one is survived by a spouse
and parents or siblings, the spouse
receives 50% and the parents or
siblings share the other 50%.
If the deceased leaves a spouse and
heirs in the latter three classes stated
above, the spouse gets two-thirds of the
estate while the statutory heirs in the
applicable class take one-third in
equal shares.
If the deceased was not legally
married or there is no surviving
spouse, the entitled class of statutory
heirs inherits the whole estate in
equal shares.
Condos, Companies,
Leases and Land
There may be special conditions that
apply to property transfer for foreign
beneficiaries. For condominiums,
ownership is transferable provided that
the total number of condos owned by
foreigners in that particular development
does not exceed 49%. If it does, the
unit must be sold within a year or
transferred to a Thai national.
In the case of leasehold property,
where foreigners may lease land and
homes for a specific period with the
possibility of lease renewal, Dennis
explains that, “if the lessee dies, the
lease terminates and does not pass to
the heirs. If the lessor dies, the heirs
can take over the rights and obligations
of the lease without the right to renew
the lease.” In other words, the renewal
clause is not enforceable by other
parties; heirs cannot force the lessee
to renew the lease.
If a beneficiary is bequeathed
land, which generally cannot be owned
outright by foreigners, the consent of
the Interior Ministry is required. This
may be granted in certain cases but if
permission is refused, the land must
be sold within a year or transferred to
a Thai.
For foreign nationals who acquired
an interest in land as minority
shareholders in a Thai company,
the shares are not automatically
transferred to their beneficiaries. This
request would have to be considered
by the company’s Board of Directors
who may have the discretion to refuse.
Also, if the nature of the business is
restricted under the Foreign Business
Act, the transfer may be refused if its
effect would cause foreign ownership
of the business to exceed 49%.
What about taxes? Dennis
says: “There is no inheritance tax
or death duty in Thailand but if
land or buildings and certain other
assets have to be transferred to
beneficiaries, then Land Department
fees and other fees or taxes apply.”
As for the recent news that the
government is considering the
country’s first property, land and
inheritance tax legislation, Dennis
responds: “Such laws will probably
not come about anytime soon.”