The Board of Investment (BoI) approved a number of measures on Monday, including an extension of the investment acceleration package and incentive package for the government's flagship Eastern Economic Corridor (EEC), aiming to fuel an economic recovery next year.
Speaking after a BoI meeting chaired by the prime minister, BoI secretary-general Duangjai Asawachintachit said the board approved a one-year extension of existing incentives to accelerate investment in large-scale projects.
The incentives available from January 2020 were scheduled to expire on Dec 31 this year.
Apart from a standard 5-8 years of corporate income tax exemption, project applications filed by the end of 2022 are eligible for an additional 50% corporate income tax reduction for five years if they realise investment of at least 1 billion baht within 12 months of the investment certificate issuance.
"We are seeing an improvement in the overall business sentiment, but ongoing uncertainties related to new variants of Covid-19 require continued incentives to support investment," she said.
As the EEC is Thailand's prime area for investment, particularly in targeted industries, the board also extended the special incentives scheme for investments in the corridor. The scheme was due to end on Dec 31 this year.
Investments in targeted industries are entitled to additional corporate income tax incentives if they are engaged in human resources development programmes such as cooperative education, work-integrated learning and dual education. Applications for these additional incentives must be filed by the end of 2022.
"We believe such measures will contribute to investment expansion in 2022 and help promote active collaboration between industry and educational institutions," Ms Duangjai said.
