BOI Promotion for Foreign Investors: Incentives, Eligibility & Application

Thailand's Board of Investment offers significant tax and non-tax incentives for qualifying businesses. Understanding which activities are promotable and how to structure your application is key to maximising your benefits.

作者 Dej-Udom Krairit 教授·2024年8月20日·2 分钟阅读

Overview

The Board of Investment (BOI) of Thailand was established to promote both foreign and domestic investment in targeted industries. Promoted companies receive a package of tax and non-tax benefits that can significantly reduce the cost of doing business in Thailand.

Tax Incentives

Corporate Income Tax Exemption

Depending on the activity and location, promoted companies may receive a corporate income tax (CIT) exemption for 3, 5, or 8 years. Activities in Special Economic Zones or EEC areas typically receive the maximum period.

Import Duty Exemption

Machinery and raw materials imported for use in promoted activities are exempt from import duties. This applies to both initial investment and ongoing production inputs.

Additional Deductions

Promoted companies may also deduct infrastructure installation and construction costs (25% of actual costs over 10 years) and double-deduct costs for R&D and workforce training.

Non-Tax Incentives

  • Permission to own land (normally restricted for foreign companies under the Land Code)
  • Permission to bring in foreign skilled workers and experts
  • Permit to remit foreign currency abroad
  • Protection against nationalisation and competition from state enterprises

Eligible Activities

BOI promotion covers a wide range of industries, grouped into:

  • Agriculture and agricultural products
  • Mining, ceramics, and basic metals
  • Light industry (textiles, furniture, jewellery)
  • Metal products, machinery, and transport equipment
  • Electronics and electrical appliances
  • Chemicals, paper, and plastics
  • Services (including software, R&D, and logistics)
  • Public utilities and infrastructure

How to Apply

  1. Review the BOI's current investment promotion policy and eligible activity list
  2. Prepare a project proposal including investment plan, production process, and financial projections
  3. Submit through the BOI e-Investment portal
  4. BOI considers the application within 40–60 business days
  5. If approved, sign the investment promotion certificate within 3 months
BOI Promotion for Foreign Investors: Incentives, Eligibility & Application | Dej-Udom & Associates