Tax Incentives for Business Startups
22 July 2017
The Thai government has extended corporate income tax exemptions granted to business startups for another year.
Corporate income tax exemptions for five accounting periods will be granted to newly formed companies and juristic partnerships that meet the following criteria:
1. Incorporated between 1 January 2017 and 31 December 2017.
2. Having paid-up registered capital of not more than THB 5 million at the end of each accounting period.
3. Having income derived from the sale of goods and provision of services of not more than THB 30 million in an accounting period.
4. Not less than 80% of such income is derived from the sales of goods or provision of services from businesses in Targeted Industrial Sectors.
5. Not used corporate tax exemptions granted by the BOI.
The Targeted Industry Sectors which are entitled to obtain the tax incentives are:
- Food and Agriculture
- Energy efficiency, production of alternative and clean energies
- Medical and Public Health
- Tourism, Services and Creative Economy
- Advanced Materials
- Textile, Garment and Decorative
- Automotive and Parts
- Electronic, Computer, Software and Information Service
- Research, Development and Innovation or New Industry
A business must be certified by the National Science and Technology Development Agency in order to apply for the corporate tax exemptions.