Cambodia Property Taxes and Fees 2026: Full Buyer Guide
Cambodia property taxes and fees in 2026: transfer stamp duty, exemption window, capital gains tax deferral to January 2027, annual property tax, rental tax.
By Invest Cambodia Editorial · Updated June 28, 2026 · 16 min read
Quick answer: Buying property in Cambodia in 2026 carries a 4 percent property transfer tax (stamp duty), with a reported exemption on units up to $70,000 from licensed developers running through 31 December 2026. Ownership then triggers an annual Tax on Immovable Property of about 0.1 percent on value above roughly $25,000. A legislated 20 percent capital gains tax on resale profit is reported deferred to 1 January 2027. Rental income is taxed separately. Confirm every rate with a licensed Cambodian tax advisor.
Invest Cambodia Editorial tracks Cambodia property for foreign buyers, with a focus on Phnom Penh strata condos, OCIC and Megakim launches, and realistic net yield after tax. This guide maps every tax and fee a buyer meets across the ownership cycle: at purchase, during the hold, on rental income, and at exit. Tax rules change and depend on your circumstances, so treat this as a planning framework and confirm specifics with a licensed Cambodian tax advisor or the General Department of Taxation.
The market context shapes how much these taxes matter. Phnom Penh holds roughly 76,000 to 80,000 condo units in 2026, with annual absorption near 3 to 4 percent, average asking levels around $1,800 per square metre, and a banking non-performing loan ratio reported near 8.9 percent. In a market with thin rent growth, the tax and fee load is a larger share of total return than buyers expect, which is why net-of-tax modelling beats headline yield every time.
What taxes and fees do you pay when buying property in Cambodia?
A Cambodian property purchase touches four tax moments: the transfer tax at purchase, the annual Tax on Immovable Property during ownership, rental income tax if you let the unit, and a capital gains tax at exit once it takes effect. On top of those sit non-tax fees such as legal review, registration, agent commission, and building service charges.
For a foreign condo buyer the headline cost at purchase is the 4 percent transfer tax, sometimes waived under the current exemption for lower-priced units. The recurring cost is small: annual property tax is only about 0.1 percent of assessed value above the threshold. The cost that most buyers underestimate is rental income tax, because it eats directly into the net yield that justified the purchase.
| Tax or fee | Typical rate | When paid | Who pays |
|---|---|---|---|
| Property transfer tax (stamp duty) | 4 percent of assessed value | At title transfer | Buyer |
| Tax on Immovable Property | about 0.1 percent yearly | Annual, by September | Owner |
| Unused land tax | 2 percent yearly | Annual | Land owner |
| Rental income tax | 10 to 14 percent | On rent received | Landlord |
| Capital gains tax | 20 percent of gain | At resale, from 2027 | Seller |
| Legal and registration fees | $800 to $2,500 plus admin | At purchase | Buyer |
Use the worked examples later in this guide to turn these rates into a real budget, and pair the numbers with the process in due-diligence-process-cambodia-step-by-step.
Property transfer tax (stamp duty): the 4 percent headline cost
The property transfer tax, widely called stamp duty, is 4 percent of the property’s assessed value and is normally paid by the buyer when a hard title or strata title is transferred. The assessed value is set by the tax authority and can differ from the contract price, so the 4 percent is calculated on the official valuation rather than purely on what you pay.
This is the single largest one-off tax at purchase. On a $100,000 unit, the standard 4 percent is $4,000, payable to register the transfer. Because registration is what actually moves title into your name, this tax is unavoidable on a normal transfer outside the exemption window described below.
The 4 percent transfer tax is charged on the assessed value of the property at the moment title is registered, and the buyer carries it in almost every Cambodian transaction. The tax authority can value the property above or below the contract figure, so a buyer should confirm the assessed value before signing, not after. On a $100,000 strata condo the standard charge is $4,000, on a $250,000 unit it is $10,000, and on a $40,000 entry unit it would be $1,600 if the exemption did not apply. Because the registration of title and the payment of this tax happen together, there is no way to take legal ownership while leaving the transfer tax unpaid, which makes it the first line in any honest acquisition budget.
The stamp duty exemption window and what changes after the incentive ends
Cambodia has used stamp duty exemptions to support affordable housing and first-time buyers. The current incentive, as reported, exempts the 4 percent transfer tax on units valued up to $70,000 bought from licensed developers, and is set to run through 31 December 2026. After the window closes, buyers in that price band would again face the standard 4 percent unless the government extends or replaces the measure.
This timing matters for entry-tier purchases. A Megakim Time Square class unit from about $40,000, or a Square Castle unit from about $50,000, can fall inside the exemption ceiling, which removes a $1,600 to $2,800 tax line for buyers who complete before the deadline. Confirm in writing that the specific unit and developer qualify, because the relief applies to eligible licensed projects rather than to every cheap unit.
For the detailed rules, eligibility, and how the exemption interacts with developer pricing, read cambodia-stamp-duty-exemption-2026. Do not assume an off-plan unit booked now but registered in 2027 still qualifies, because the relief generally attaches to the transfer date, not the booking date.
Capital gains tax: why the 20 percent rate is deferred to January 2027
Cambodia has legislated a 20 percent capital gains tax on profit from selling property, but enforcement has been postponed repeatedly and is reported deferred to 1 January 2027. The tax would apply to the gain, meaning sale price minus the cost base and allowable expenses, rather than to the whole sale value. Until it is in force, property resale gains have effectively not been taxed under this regime.
The deferral changes seller behaviour at the margin. Some owners may aim to sell before the tax bites, which can add resale supply in late 2026 into 2027. A buyer should not treat the current absence of CGT as permanent: if you are modelling a flip or a medium-term hold, build a 20 percent tax on the gain into your exit case so the plan still works once the rule takes effect.
| Exit scenario | CGT assumption | Planning note |
|---|---|---|
| Sell before 1 January 2027 | No CGT under deferred regime | Confirm transfer completes in time |
| Sell after the rule starts | 20 percent of taxable gain | Keep cost-base evidence |
| Long-term hold | Model 20 percent on future gain | Net yield carries the return |
| Off-plan flip | High CGT exposure on uplift | Thin margin after tax and fees |
Read the resale supply dynamics in cambodia-property-investment-guide-2026 and weigh the hold-versus-flip maths in off-plan-property-cambodia-guide.
Annual property tax (Tax on Immovable Property)
The Tax on Immovable Property is an annual charge of about 0.1 percent, applied to the portion of a property’s assessed value above 100 million riel, roughly $25,000. The tax base is set at around 80 percent of market value as determined by an assessment committee, so the effective rate on full market value is lower than the headline 0.1 percent. Owners file and pay annually, typically by the September deadline.
In practice this is a small recurring cost. On a $100,000 condo, taxable value above the threshold is about $75,000 at full value, and at the 80 percent base near $60,000, giving an annual tax of roughly $60. The point is not the size of the bill but the obligation: owners must register the property for tax and pay each year, and unpaid amounts accumulate penalties.
| Assessed unit value | Approx. taxable base | Indicative annual tax |
|---|---|---|
| $40,000 | About $12,000 over threshold | About $10 to $12 |
| $70,000 | About $36,000 over threshold | About $28 to $36 |
| $100,000 | About $60,000 over threshold | About $48 to $60 |
| $250,000 | About $180,000 over threshold | About $144 to $180 |
These figures are indicative and depend on the committee valuation, so treat them as planning estimates and confirm the assessment for your unit. The annual property tax rarely changes an investment decision, but missing it creates compliance risk you do not want at resale.
Tax on unused land
Cambodia levies a separate 2 percent annual tax on the value of unused or undeveloped land, intended to discourage land banking. It is assessed by a valuation committee on the land value. For a condo buyer holding a strata unit, this tax generally does not apply, because the land sits under the building and the development as a whole, not under an individual apartment.
It matters mainly for buyers considering landed property or plots through a permitted structure. If you are looking at land rather than a strata condo, factor the 2 percent unused land tax into the holding cost, because an empty plot can carry a meaningful annual charge while you wait to build or sell.
Rental income tax for landlords
Rental income from Cambodian property is taxable, and it is the line that most directly reduces a foreign investor’s net yield. A common framework is a 10 percent tax for tax-resident individuals on rental income, with around 14 percent withholding applied to non-residents on Cambodian-source rent. The exact rate and mechanism depend on your residency status, whether you let as an individual or through a company, and how the lease is documented.
This is why brochure yields of 12 to 15 percent should be treated as marketing only, with no guarantee. After rental income tax, management fees, a sinking fund contribution, and one to two months of vacancy per year, a headline gross figure compresses sharply. Model the net number, not the gross.
| Net yield input | Typical assumption | Effect on return |
|---|---|---|
| Gross yield (brochure) | 12 to 15 percent claimed | Marketing only, not guaranteed |
| Rental income tax | 10 to 14 percent of rent | Direct reduction |
| Management fee | $40 to $80 per month | Recurring cost |
| Vacancy allowance | 1 to 2 months per year | Lowers effective rent |
| Sinking fund and service | Varies by building | Ongoing deduction |
Build these into a spreadsheet using phnom-penh-rental-yield-guide so the after-tax yield, not the advertised one, drives the decision.
VAT and other developer-side charges
Sales by VAT-registered developers can attract 10 percent value-added tax, although residential pricing in Cambodia is often quoted VAT-inclusive and the treatment varies by project and product type. The practical rule for a buyer is simple: always ask whether the quoted price includes VAT, and request a written breakdown, because a price that is later revealed to be VAT-exclusive changes the real cost by a full tenth.
Developers may also pass through charges such as a connection fee for utilities, a sinking fund contribution at handover, and the first year of service charge. None of these are taxes, but they belong in the acquisition budget. Clarify in the Sale and Purchase Agreement which side carries each cost, and never accept a verbal assurance that a charge is “included” without it being written into the contract.
Transaction fees beyond tax (legal, agent, registration, sinking fund)
Outside the tax lines, a purchase carries professional and administrative fees. Independent legal review runs $800 to $2,500. Registration and certified translation add a few hundred dollars. Agent commission in Cambodia is usually paid by the seller, but confirm this, because a buyer-side fee changes the budget. At handover, expect a sinking fund contribution and the first service charge period.
| Fee line | Indicative range | Notes |
|---|---|---|
| Independent legal review | $800 to $2,500 | Strongly advised for foreigners |
| Registration and translation | A few hundred dollars | Required to register title |
| Agent commission | Usually seller-paid | Confirm in writing |
| Sinking fund at handover | Varies by building | One-off contribution |
| Service charge (first period) | $40 to $80 per month base | Ongoing building cost |
| Furnishing for rental | $5,000 to $15,000 | Needed to list a unit |
These fees, combined with the transfer tax, are why an all-in buffer of 5 to 7 percent above the unit price is a realistic planning figure for most foreign buyers.
Total cost of ownership: worked budget examples
Bringing the lines together shows the real cost. The examples below assume a standard transfer outside the exemption window, so an entry unit that qualifies for the stamp duty relief would save the 4 percent shown.
| Cost line | $50,000 entry unit | $100,000 mid unit | $250,000 premium |
|---|---|---|---|
| Unit price | $50,000 | $100,000 | $250,000 |
| Transfer tax at 4 percent | $2,000 | $4,000 | $10,000 |
| Legal and registration | About $1,000 | About $1,500 | About $2,500 |
| Furnishing for rental | $5,000 | $8,000 | $12,000 |
| First-year annual property tax | About $14 | About $48 | About $144 |
| All-in entry cost | About $58,000 | About $113,500 | About $274,600 |
On the entry unit, the stamp duty exemption through 31 December 2026 would remove the $2,000 transfer tax if the project qualifies, which is a meaningful saving on a sub-$70,000 purchase. The premium unit carries the heaviest absolute tax load and, from 2027, the largest future capital gains exposure.
Two points are easy to miss in these examples. First, the annual property tax shown is only the first year, and it recurs every year you hold, so a long hold accumulates a small but real running cost on top of service charges. Second, furnishing is not a tax but it is unavoidable if you intend to let the unit, and at $5,000 to $15,000 it often outweighs the transfer tax itself on an entry-tier purchase. Build both into the holding model rather than the one-off acquisition figure, because a yield calculated on the unit price alone overstates the real after-cost return.
Advantages and disadvantages of Cambodia’s tax regime
Cambodia’s property tax load is light by regional standards, but the regime carries uncertainty around capital gains timing and rental tax treatment for non-residents.
| Advantages | Disadvantages |
|---|---|
| Low annual property tax near 0.1 percent above threshold | 20 percent capital gains tax arriving from 2027 |
| Stamp duty exemption on sub-$70,000 units to 31 December 2026 | 4 percent transfer tax on standard purchases |
| USD-denominated pricing reduces currency tax friction | Rental income tax of 10 to 14 percent erodes net yield |
| No wealth tax on residential property | Assessed values set by committee, not fully transparent |
| Simple flat transfer rate, easy to budget | VAT treatment on new units can be unclear |
| Entry tickets from about $40,000 keep tax in absolute dollars low | Compliance penalties accrue on missed annual filings |
Tax risks, red flags, and what to verify
Tax mistakes in Cambodia rarely stop a purchase, but they damage the return and can complicate resale. Verify each of the following before you transfer funds.
- Assessed value surprise. The 4 percent transfer tax is on the committee valuation, which can exceed the contract price, so confirm the assessed value early.
- Exemption assumption. Do not assume an off-plan unit registered in 2027 still qualifies for the 2026 stamp duty relief, because the exemption attaches to the transfer date.
- CGT denial. Treating the current capital gains deferral as permanent is a planning error; model the 20 percent on any future gain.
- Rental tax gap. Non-resident landlords face withholding that many buyers ignore when they quote net yield.
- VAT ambiguity. A price that turns out to exclude 10 percent VAT can wreck an entry-tier budget.
- Unpaid annual tax. Arrears on the Tax on Immovable Property accrue penalties and can surface awkwardly at resale.
Insider tip: ask your lawyer to obtain the official assessed value before you sign the SPA, not after. Buyers who only learn the committee valuation at registration sometimes face a transfer tax bill several hundred dollars higher than they budgeted on the contract price alone.
Buyer scenarios and decision framework
Tax weighting differs by buyer type and holding plan. Match your attention to where the tax actually bites.
| Profile | Key tax focus | Starting point |
|---|---|---|
| Entry buyer under $50,000 | Stamp duty exemption window | cambodia-stamp-duty-exemption-2026 |
| Yield investor | Rental income tax and fees | phnom-penh-rental-yield-guide |
| Off-plan buyer | VAT and transfer timing | off-plan-property-cambodia-guide |
| Medium-term flipper | Capital gains tax from 2027 | cambodia-property-investment-guide-2026 |
| First-time foreign buyer | Total all-in budget | can-foreigners-buy-property-cambodia |
| Process-focused buyer | Tax verification in DD | due-diligence-process-cambodia-step-by-step |
Scenario A: an entry buyer under $50,000 should prioritise the stamp duty exemption, completing the transfer before 31 December 2026 to remove the 4 percent line, and should confirm the developer and unit qualify in writing.
Scenario B: a yield-focused investor should model rental income tax of 10 to 14 percent into the net yield from the start, because that single line is what turns a 12 to 15 percent brochure figure into a realistic single-digit net return.
Scenario C: a medium-term buyer planning to sell after 2026 should assume the 20 percent capital gains tax applies, keep full cost-base records, and decide whether the after-tax exit still meets the return target.
How Cambodia property tax compares with Thailand and Vietnam
Cambodia’s tax load on a foreign condo buyer is light by regional standards, which is part of its appeal alongside USD pricing. The 4 percent transfer tax sits in a similar range to Thailand’s combined transfer and fee load, while Cambodia’s annual property tax near 0.1 percent is low and its capital gains regime is not yet in force. The comparison matters because foreign buyers usually weigh Cambodia against Thailand and Vietnam rather than in isolation.
| Tax point | Cambodia 2026 | Thailand | Vietnam |
|---|---|---|---|
| Transfer or stamp duty | 4 percent | Transfer fee plus stamp duty, roughly 2 to 6 percent | Registration fee around 0.5 percent |
| Annual property tax | About 0.1 percent above threshold | Land and building tax, low residential rate | Non-agricultural land use tax, low |
| Capital gains on resale | 20 percent, deferred to 2027 | Withholding on a progressive basis | 2 percent of sale value |
| Rental income tax | 10 to 14 percent | Progressive personal income tax | 5 percent VAT plus 5 percent PIT framework |
The headline reading is that Cambodia keeps purchase and holding taxes simple and low, but the arriving 20 percent capital gains tax narrows the gap on exit. A buyer choosing between markets should compare after-tax net yield and after-tax exit, not just the entry tax. Weigh the wider trade-offs in cambodia-property-investment-guide-2026 before deciding the market is right for your plan.
How taxes differ by buyer type and holding period
A resident individual, a non-resident, and a company each face different rental and exit tax treatment, and the holding period decides whether capital gains tax ever applies to you. A short hold that exits before 2027 sidesteps CGT under the deferred regime, while a long hold relies on net rental return where rental income tax dominates. A company structure changes the rate mix again and adds compliance cost.
The practical conclusion is that the right structure depends on your tax residency and your plan, not on a single best answer. Read can-foreigners-buy-property-cambodia for ownership routes and use the area page for bkk1-phnom-penh when you compare tenant demand against after-tax yield in a specific district. Then take your numbers to a licensed Cambodian tax advisor before you commit.
Closing tax checklist before you transfer
Before funds move, confirm five tax facts in writing. First, the assessed value the 4 percent transfer tax will be charged on. Second, whether your unit and developer qualify for the stamp duty exemption and whether the transfer completes before 31 December 2026. Third, whether the quoted price includes or excludes 10 percent VAT. Fourth, the rental income tax rate that applies to your residency status if you plan to let the unit. Fifth, your future capital gains exposure at 20 percent once the rule takes effect in 2027. Keep the figures, the SPA, and your advisor’s written estimate on file through to resale.
MORE Group rent comps: Cambodia Property Taxes and Fees 2026
Cambodia Property Taxes and Fees 2026 investors should anchor yield math on furnished rent comps not marketing gross yields Time Square 11 completed at 480 month on 42 sqm implies about 7 1 gross before vacancy in our Q2 2026 archive Confirm live comps with a Cambodia lawyer before transfer.
| Building / source | Unit | Size | Monthly rent | Indicative gross | Note |
|---|---|---|---|---|---|
| Time Square 11 (completed) | 1BR furnished | 42 sqm | $480 | 7.1% | Young expat segment |
| Time Square 306 (completed) | 1BR semi-furnished | 44 sqm | $520 | 7.0% | Russian Market access |
| Local BKK3 mid-rise | 1BR unfurnished | 40 sqm | $380 | 7.5% | Local tenant mix |
| Time Square cluster avg | 1BR blended | 43 sqm | $450 | 7.2% | Portal archive Q2 2026 |
MORE Group rent comp case study for this page anchors on Time Square 11 completed a 1BR furnished at 42 sqm quoting 480 per month implies about 7 1 gross before vacancy at typical ask prices The spread to Time Square 306 completed at 520 shows furnishing and floor drive a 7 0 to 7 1 gross band We underwrite net returns after 1 to 2 months vacancy 8 to 12 management and sinking fund lines because 12 to 15 brochure yields remain marketing only in 2026 Banking NPL near 8 9 raises completion risk on competing off plan supply that can soften rents 6 to 12 months after handover Treat every row as indicative Q2 2026 archive math Confirm live rent quota and SPA escrow language with a licensed Cambodia lawyer before transfer.
MORE Group buyer nationality mix: Cambodia Property Taxes and Fees 2026
buyer nationality mix helps explain resale liquidity for topics covered in Cambodia Property Taxes and Fees 2026 Polish leads at 9 0 on this page skewed toward over indexed on megakim entry towers in bkk3 Confirm live comps with a Cambodia lawyer before transfer.
| Nationality | Share signal | District / project skew |
|---|---|---|
| Polish | 9.0% | Over-indexed on Megakim entry towers in BKK3 |
| Russian | 9.6% | Strong on BKK3 and Toul Tom Poung furnished stock |
| French | 7.4% | Skews to BKK1 and Koh Pich premium units |
| Chinese | 11.8% | Koh Pich, Koh Norea, and CBD branded towers |
| American | 4.9% | BKK1 corporate leases and CBD resale |
MORE Group buyer nationality methodology tracks enquiry share from realestate com kh and Phnom Penh shortlist requests not census data On this page the leading signal is Polish at 9 0 with skew toward Over indexed on Megakim entry towers in BKK3 Polish 9 0 Russian 9 6 and French 7 4 remain citywide anchors in 2026 but building level mix diverges Megakim entry towers overweight Polish and Russian buyers while BKK1 and Koh Pich overweight French and Chinese enquiries Use the table as a resale liquidity hint when foreign quota nears 70 Treat every row as indicative Q2 2026 archive math Confirm live rent quota and SPA escrow language with a licensed Cambodia lawyer before transfer Treat every row as indicative Q2 2026 archive math Confirm live rent quota and SPA escrow language with a licensed Cambodia lawyer before transfer.
MORE Group escrow and payment terms: Cambodia Property Taxes and Fees 2026
deposit and escrow norms vary by developer cited in Cambodia Property Taxes and Fees 2026 Megakim Time Square series under Megakim typically requires 20 on a 40 month calendar schedule with escrow listed as Not default Confirm live comps with a Cambodia lawyer before transfer.
| Project | Developer | Deposit | Schedule | Escrow practice | Verify before wire |
|---|---|---|---|---|---|
| Megakim Time Square series | Megakim | 20% | 40-month calendar | Not default | Haspo progress photos |
| OCIC Koh Pich / Koh Norea | OCIC | 30% | 24 to 36 month milestones | Solicitor account common | Masterplan phase map |
| Urbanland central | Urbanland | 30% | 24-month milestones | On request | Title bundle review |
Our escrow red flag checklist for Cambodia Property Taxes and Fees 2026 starts with whether instalments are calendar based or tied to construction milestones Megakim Time Square series under Megakim typically asks 20 with 40 month calendar while escrow is recorded as Not default In Cambodia’s 8 9 NPL environment we treat missing escrow language as a case study risk buyers who wired 20 down on a 40 month Megakim calendar plan without milestone exhibits bore delivery risk in prior cycles Request Haspo progress photos in writing and compare against OCIC 30 milestone templates before any second payment Treat every row as indicative Q2 2026 archive math Confirm live rent quota and SPA escrow language with a licensed Cambodia lawyer before transfer Treat every row as indicative Q2 2026 archive math Confirm live rent quota and SPA escrow language with a licensed Cambodia lawyer before transfer.
Insider tip: On Cambodia Property Taxes and Fees 2026, archive three rent comps, the foreign quota letter, and escrow or milestone exhibits in one folder before you wire more than 10% to 20% deposit, because 2026 stamp duty relief binds to registration timing not SPA date alone.
Frequently Asked Questions
The property transfer tax, commonly called stamp duty, is 4 percent of the assessed value, normally paid by the buyer on transfer of a hard or strata title. An exemption on this 4 percent for units up to $70,000 from licensed developers is reported to run through 31 December 2026. Confirm current terms with a Cambodian tax advisor.
Cambodia has legislated a 20 percent capital gains tax on property profits, but the start date has been postponed several times and is reported deferred to 1 January 2027. Until it takes effect, sellers should still model a future 20 percent CGT into exit planning rather than assume it never arrives.
The Tax on Immovable Property is roughly 0.1 percent per year, charged on the portion of assessed value above 100 million riel, about $25,000, with the base set near 80 percent of market value. The owner pays it annually, usually by the September deadline through the General Department of Taxation.
Rental income is taxable. A common framework is 10 percent for tax-resident individuals and around 14 percent withholding for non-residents on Cambodian-source rent. Exact treatment depends on your residency status and how the lease is structured, so confirm with a licensed Cambodian tax advisor before you rely on a net yield figure.
Outside the stamp duty exemption window, budget roughly 4 percent transfer tax plus legal fees of $800 to $2,500, agent costs usually carried by the seller, and furnishing. A practical all-in buffer of 5 to 7 percent of the purchase price above the headline unit price is a sensible planning figure.
Sales by VAT-registered developers can carry 10 percent VAT, though residential pricing is often quoted VAT-inclusive and treatment varies by project and product. Always ask whether the quoted price includes VAT and request a written breakdown before you sign, because it materially changes the total cost.
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