Deleted user
Lawyer
posted a year ago
There is an announcement of a Royal Decree (“RD”) giving income tax exemptions in Thailand. This is applicable to all investments in target businesses. Noteworthily, this RD is part of ongoing government efforts to encourage social and scientific growth. The Revenue Decree Governing Exemption of Taxes and Duties (No. 750) B.E. 2565 (2022) went into force on June 15, 2022, and will be effective until June 30, 2032. This decree is applicable for both Personal and Corporate Income Tax in Thailand.
The main purpose of this RD is to exclude gains made by individuals, businesses, and legal partnerships. These exclusions are for investments in the target industries leading to the formation of “Target Companies“. The exemption also applies to investments made in eligible Thai Venture Capital Trusts (“VCT”) and Private Equity (“PE”) companies.
A firm or legal partnership conducting business in one or more of the following “Target Industries” is a Target Company. The Committee on Policy for National Competitiveness Enhancement for Target Industries has chosen the following industries as targets:
- Next generation automotive
- Intelligent electronics
- Advanced agriculture and biotechnology
- Food for the future
- High-value and medical tourism
- Automation robotics
- Aviation and logistics
- Medical and comprehensive healthcare
- Biofuels and biochemicals
- Digital development
- Defense
- Education and human resource development
