Corporate Tax Exemption on Replacement Machinery

Royal Decree No. 551, published in the Royal Gazette on 14 November 2012, grants a corporate income tax exemption to SMEs for the sale of machinery used in the production of goods.

Keywords: Mazars, Thailand, Tax, Corporate Income Tax , SMEs, Replacement Machinery

11 January 2013

The following conditions apply:

  • The machinery is sold in 2012.
  • The replacement machinery must be purchased within one year before or after the sale of the old machine.
  • The book value of the machinery sold shall not be deducted as an expense in the Corporate Income Tax computation.
  • The replacement machinery must be a new machine which has never been used and must be the same type as the old one.

Read the Royal Decree No. 551 for more information.