Additional deduction for the purchase of biodegradable plastic products

Under Royal Decree No. 702, a company or legal partnership can claim a tax deduction of 1.25 times (1 time as a normal deduction and 0.25 times as an additional deduction) the amount paid for the purchase of biodegradable plastic products. However, this tax measure ended on 31 December 2021.

Keywords: Mazars, Thailand, Tax, Tax deduction, Revenue Department, Office of Industrial Economics

9 May 2022

Therefore, in order to continue promoting the use of biodegradable plastic products, on 5 April 2022, the Cabinet approved a draft Royal Decree to extend this tax measure for another 3 years, from 1 January 2022 to 31 December 2024. Thus, a company or legal partnership is still entitled to claim a tax deduction of 1.25 times the expenses paid from 1 January 2022 to 31 December 2024 to purchase biodegradable plastic products from a manufacturer for those types of products specified by the Director-General of the Revenue Department and certified by the Office of Industrial Economics.