When the Seller is a Business.

If you buy from a regular person, you pay Capital Gains Tax (CGT). If you buy from a Bank (like in an auction) or a Developer, you deal with CWT (Creditable Withholding Tax).

Why It Matters to You

Usually, the price listed is “Net of Tax.” However, in many bank auctions, the Bank pays the CWT. This is a huge saving for the buyer. Always check the “Terms of Reference” to see who shoulders the CWT.