Did You Know about BOI Incentives for Manufacturing Industry? Here’s Everything

Are you planning to invest in Thailand’s manufacturing industry? Be it production of ceramics, fire-resistant materials, and pre-stressed concrete products or anything else, the incentives shall be according to Thailand BOI announcement no. 1/2543 August 1, 2000. Let’s have a look at them;

If your project’s operation is situated in the industrial estate or in the industrial zone in Rayong Province, it will be granted with;

• 50% import duty reduction on machinery, which is subjected to import duty of minimum 10%
• CIT exemption for seven years only if only the capital investment is of 10 million baht and has obtained ISO 9000 or any similar international standard certification in two years from its first operational date
• Exemption of import duty on essential raw materials required for manufacturing export items for a year

If your project’s operation is situated in an industrial estate or a promoted zone in Laem Chabang or in Rayong Province, then it shall be granted these many privileges;

• Import duty exemption on machinery
• Exemption on corporate income tax for 8 years for the projects with minimum capital investment of ten million Baht
• Import duty exemption on raw or essential materials that are to be used in manufacturing of export items for 5 years
• 75% import duty reduction on raw or essential materials used in the production of domestic sales for five years (not applicable to projects in Laem Chabang Industrial Estate)
• 50% reduction of CIT for 5 years after the exemption period
• Double deduction from income (taxable) of water costs, electricity, and transportation for 10 years
• Deduction from 25% net profit of your project’s infrastructure installation or building cost for 10 years

If your project is relocated into a promoted industrial zone or industrial estate, other than Laem Chabang industrial estate or in industrial zone in Rayong Province shall be allowed the exemption on corporate income tax for 7 years if it has a minimum capital investment of 10 million baht.

Write to us or call us if you are looking to register your company under Thailand Board of Investment.