Tax deductions to stimulate the economy

Keywords: Mazars, Thailand, Tax, Personal Income Tax Deductions, Ministerial Regulations, Domestic Travel, Educational and Sporting Equipment and Clothing, OTOP, E-books, Residential Property

04 June 2019

The conditions for taking the deductions are as follows:

1. Ministerial Regulation No. 344 – Payment for domestic tourism to a tour operator under the Tourism Business and Guide Act, hotel fees, homestay fees, or accommodation fees

• For travel to major provinces, taxpayers can deduct up to the amount actually paid, but no more than 15,000 baht.
• For travel to secondary provinces, taxpayers can deduct up to the amount actually paid, but no more than 20,000 baht.
• Total expenses of no more than 20,000 baht can be deducted.
• The payment must be made from 30 April 2019 to 30 June 2019.

2. Ministerial Regulation No. 345 – Payment for the purchase of educational and sporting equipment and clothing to a VAT registration operator

• Taxpayers can deduct up to the amount actually paid, but no more than 15,000 baht.
• Educational equipment does not include electronical equipment.
• A full tax invoice is required.
• The payment must be made from 1 May 2019 to 30 June 2019.

3. Ministerial Regulation No. 346 – Payment for the purchase of OTOP products registered with the Department of Community Development

• Taxpayers can deduct up to the amount actually paid, but no more than 15,000 baht.
• The payment must be made from 30 April 2019 to 30 June 2019.

4. Ministerial Regulation No. 347 – Payment for the purchase of e-books from entrepreneurs registered as a company conducting business in Thailand

• Taxpayers purchasing e-books can deduct up to the amount actually paid, but no more than 15,000 baht in total.
• The payment must be made from 1 January 2019 to 31 December 2019.

5. Ministerial Regulation No. 348 – Payment for the purchase of a building with land or condominium units for residential purposes

• The purchase price must not exceed 5,000,000 baht.
• Taxpayers can deduct up to the amount actually paid, but no more than 200,000 baht.
• The payment must be made and registration of the transfer of ownership of the property must be completed from 30 April 2019 to 31 December 2019.
• Taxpayers must never own a building with land or a condominium unit for residential purposes.
• Taxpayers must be listed as the owner of that property for at least 5 years from the date that the transfer of ownership of the property is registered.