BANGKOK, THAILAND – Foreign residents who built up wealth in Thailand faced strict inheritance rules that often determined who ultimately received their assets.
The legal foundation: Civil and Commercial Code defines succession
Thailand’s Civil and Commercial Code (CCC) formed the basis for all succession questions in the country. Book VI of this code set out how assets were transferred after death and applied to anyone who held property in Thailand, regardless of nationality.
A key concept was the so‑called principle of location. For real estate and land situated on Thai territory, Thai law had to be applied without exception. For long‑term foreign residents without Thai citizenship, this local framework therefore played a decisive role in estate planning.
Six classes of heirs: who inherited without a will
If a person died without leaving a will, the statutory order of succession under Section 1629 CCC automatically applied. The law recognised six classes of relatives, with direct descendants – that is, children – inheriting first, followed by the deceased’s parents.
These two groups completely excluded more distant relatives. If there were no children or parents, full siblings came next in line, then half‑siblings, grandparents and finally uncles and aunts. This strict hierarchy created legal clarity but could lead to unwanted outcomes in complex family situations.
The spouse’s position: protected but dependent on family structure
The surviving spouse inherited under Section 1635 CCC together with the relatives of the class entitled to inherit. The exact share depended on who else had claims. If children were alive, the spouse received the same share as each individual child.
If only the deceased’s parents survived, the spouse was entitled to half of the estate. Crucially, only a civil marriage registered with the authorities counted. Purely religious ceremonies, regardless of faith, had no legal effect and could leave an unsuspecting partner with nothing.
Sin Suan Tua and Sin Somros: separating property before sharing it
Before any inheritance was distributed, the estate had to be sorted. The CCC distinguished between personal property (Sin Suan Tua) and common marital property (Sin Somros). When one spouse died, the Sin Somros was first divided equally between the two notional shares.
The surviving partner automatically received 50 percent of this common property. Only the remaining half, together with the deceased’s personal assets, formed the actual estate to be divided among the heirs. Distribution according to the statutory classes began only after this preliminary step.
The family home: house transferable, land more complex
A self‑occupied house was generally part of the estate on death. Transferring the building to heirs was usually possible from a legal perspective, provided all documentation was in order. For valuation purposes, even a simple provincial house could quickly be worth 3.7 million baht, roughly 100,000 euros.
That figure flowed into the total calculation when there were multiple heirs. Anyone who owned or planned to buy property in Thailand was advised to anticipate this in their will. Specialist real‑estate advice for Thailand could help identify the most secure ownership structures under local law.
Foreign landholding: one‑year sale window and lease pitfalls
Persons without Thai citizenship were not allowed to hold land in their own name. If a foreigner nevertheless inherited land through a rare legal exception, the Interior Ministry typically granted a one‑year period to sell the property.
More common were long‑term leases recorded at the land office. A 30‑year lease generally expired on the death of the lessee, unless the contract contained an explicit inheritance clause. Without such wording, the land reverted to the owner, leaving the deceased’s heirs without rights to the lease.
Bank accounts: frozen until a court order arrives
As soon as a bank learned of a customer’s death, it froze the account. Even an existing power of attorney or being a spouse did not permit further withdrawals from that moment. To release the funds, heirs needed an official court order appointing an estate administrator.
If, for example, 740,000 baht – around 20,000 euros – lay on a savings account, this entire sum remained blocked until the court concluded its review. The earlier relatives initiated this process, the shorter the waiting period for access to the money.
Vehicles and valuables: movable assets also needed paperwork
Cars, motorcycles and expensive jewellery were also governed by inheritance rules. Changing ownership of a vehicle at the Department of Land Transport required the same court documents as unfreezing bank accounts. Without these papers, a legally valid sale was impossible.
A used vehicle with a residual value of about 370,000 baht, or roughly 10,000 euros, could provide crucial financial support for surviving family members. Re‑registration often took several months, during which insurance and taxes needed to be paid to avoid penalties.
Why a Thai‑specific will brought crucial clarity
A valid will allowed the testator to determine inheritance shares freely and to benefit people who would otherwise have had no legal claim. This reduced family conflicts and provided planning security for all involved. Wills drawn up in the home country and those made under Thai law were both generally recognised.
In practice, a separate will covering only assets located in Thailand significantly sped up proceedings before local courts. This approach avoided costly translations and legalisations of foreign documents and made administration more straightforward for heirs.
Formal requirements under Section 1656 CCC
A written will under Section 1656 CCC had to be dated and personally signed by the testator. Two witnesses needed to be present at the same time and confirm the author’s identity with their signatures. These witnesses could not be beneficiaries themselves, otherwise the document was open to challenge.
Alternatively, the law allowed a fully handwritten will without witnesses, but this carried evidentiary risks in practice. The safest option was notarial certification at the district office (Amphoe), which largely ruled out later doubts over authenticity.
The courts’ central role in estate transfers
Whether or not a will existed, the transfer of assets almost always went through a local civil court. Surviving relatives applied there for the appointment of an estate administrator, and the court examined the death certificate, identity papers and other documents for formal correctness.
A licensed local lawyer was considered essential for this procedure. If no other heirs raised objections, the hearing was usually a formality. From application to judicial order, the process typically took two to three months.
The estate administrator: broad powers, strict duties
The court‑appointed estate administrator – in Thai known as Phu Chat Kan Moradok – held exclusive authority to close bank accounts, retitle real estate and settle outstanding debts. This role was often taken on by the surviving spouse or an adult child.
The administrator was legally obliged to distribute the assets exactly in line with the will or, failing that, the statutory order of succession. Breaches of this duty could carry criminal consequences, offering protection for heirs against misuse of their inheritance rights.
Inheritance tax: high threshold, limited impact
Thailand introduced an inheritance tax in 2016. The tax‑free allowance stood at 100 million baht, equivalent to around 2.7 million euros, so that the vast majority of expatriate estates fell below this threshold. Spouses were fully exempt from this tax.
If an estate exceeded the allowance, direct descendants and parents owed 5 percent tax on the excess, while other heirs paid 10 percent. Below the threshold, transfers were tax‑free, which was a clear advantage for most long‑term foreign residents in Thailand.
Timeline and overseas transfers: months until payout
The complete administration of an estate realistically took between six and twelve months. Once all assets were liquidated or retitled, heirs often turned to the question of moving funds back to Europe. Banks permitted international transfers but demanded all relevant court orders as proof.
If, for instance, 1.85 million baht – about 50,000 euros – was to be sent abroad, the lawful origin as an inheritance had to be documented without gaps. Those who planned early, secured documents and engaged legal support relieved their relatives of significant administrative burdens.
“This report provided general information only and did not replace case‑specific legal advice. The described framework reflected Thai legislation as of 2026, and individual estate arrangements required consultation with a licensed local lawyer.”
said the authors, legal commentators.