The government announced plans to invest more than 2.2 trillion baht in the next five years in infrastructure in the Eastern Economic Corridor, a stretch of land in Chon Buri, Rayong and Chachoengsao.
Factories and businesses established in the EEC in targeted industries are eligible for Board of Investment promotion which gives 5-10 years of tax holidays, depending on the investment category, corporate income tax exemption for an additional two years and a 50% corporate tax reduction for three years for investment projects related to human resources development.
There were 784 applications for BoI status from Thai and foreign companies in the first half of 2022, a 4% year-on-year rise, with automotive and digital enterprises seeing the most applications. The EEC attracted the largest number of applications, with 217 applications with a value of 104.9 billion baht.
Last week, the BoI approved new categories eligible for investment promotion: production of electronics parts using microtechnology, the manufacture and repair of high-precision machinery, equipment and parts both with an eight-year corporate income tax exemption, as well as additive manufacturing with a five-year tax exemption.
Applying for BoI status can offer a company many benefits beyond the substantial tax breaks including exemption on customs duty for imported machinery and the ability to bring in foreign experts and apply for visas and work permits at the One Stop Centre instead of Immigration and 100% foreign ownership.
Interested in learning more about setting up a BoI company and if your business is eligible? Contact Sun Legal using the form below.
Sweepstakes rules to ease
The government is looking to overhaul the Gambling Act by amending activities such as sweepstakes and raffles.
While the new bill is in the public-hearing phase, if passed it would reduce the complicated process to obtain permission to hold a sweepstake or raffle. This would include replacing the requirement for permission to one of notification, reduce the degree of seriousness of violation of the Act by holding a raffle or sweepstake and give a channel to revoke prohibited activities through the courts.
This would make it easier for organizations to hold raffles and sweepstakes for fundraising for charity, for instance.