BOI Thailand Benefits

To be eligible for BOI Thailand benefits Businesses must invest a certain amount into the country’s economy. This capital investment could be in the form of cash or physical assets. The amount of capital invested cannot include land value or budgets for payroll. The company must invest at least 1 million baht in order to be eligible for the promotion program.

Encourage activities that are eco friendly, save energy or use alternative energy sources

Rewards for companies that choose to adopt an environmentally sustainable or green approach to business are one of the most effective ways to draw foreign investment to Thailand. Thailand offers incentives for both local and international companies across a variety of fields, including automotive and smart electronics, advanced agriculture and biotechnology, food processing and tourism. The programs are designed to aid local businesses in connecting with customers and suppliers and gain access to global talent.

Another approach to boost business is to set up a grassroots economy support program. It supports local organizations engaged in activities like low-methane rice farming. This initiative is part of an overall effort of the BOI to reduce greenhouse gas emissions. The deadline for applications has been extended to the end of 2022. BOI Thailand is committed to making sure that businesses in Thailand are dedicated to adopting environmentally sustainable practices and to reducing their energy usage.

BOI Thailand also provides tax breaks and tax exemptions for companies. BOI company Thailand of the most popular incentives include free import of raw materials as well as reduced tariffs on machinery used in production, and the right to own land. Other benefits include facilitation of visas and permits for work.

Encourage clusters to encourage the concentration of investment in line with regional potential

The promotion of clusters by the BOI is a key component of the economic development plan of the country. Companies that are part of clusters are given a variety incentives. The incentives offered vary based on the type of enterprise and the location of the business. These incentives could include tax holidays, special treatment for foreign owners and easier working permits. A business may also have to meet certain conditions in order to be considered for promotion.

BOI Thailand’s incentives depend on the type and the amount of activity the company plans to participate in. Priority standards are more appealing investments. Promotion is available for certain industries, such as mining, agriculture, ceramics and basic metals, light industries, and metal products. The new policy will provide merit-based incentives to a few important industries.

Promote projects by allowing 25% deduction from their net profits to cover infrastructure installation and/or construction costs

Businesses can take 25 percent of their profits to cover infrastructure costs as long the project is in Zone 2 or Zone 3. New promotion guidelines will boost production efficiency and include 25% deduction from net profits for infrastructure costs. BOI promotion certifications can be sought by businesses who meet certain requirements.

In addition to tax benefits, BOI Thailand also offers several other incentives. They include a deduction of 25 percent of the project’s total profits exempting import duties, and an allowance of up to 50 percent of the project’s building or infrastructure costs. However, investments worth more than 200 million Thai Baht must be approved by the BOI subcommittee within 60 days, and then by the BOI board within 90 days.

Another benefit is an additional corporate income tax exemption that lasts up to three years. They could also be eligible to receive a maximum 300% increase in the corporate income-tax exemption cap.