Following the Cabinet’s approval of tax measures to promote sustainable investment in Thailand, tax benefits will be granted to the purchases of investment units of Thailand ESG Fund, which will focus on investment in businesses contributing to the sustainable development of the country.
This approach uses mutual funds as a vehicle to achieve the national strategic goals related to sustainability and support long-term savings through investment in the capital market.
The Securities and Exchange Commission (SEC) is in the process of stipulating regulations in support of Thailand ESG Fund.
SEC Secretary-General Pornanong Budsaratragoon stated that the SEC expects to approve the establishment of Thailand ESG Fund by early December as well to ensure that investors will be able to benefit from tax privileges related to the Fund within the tax year 2023.
These tax benefits are expected to support investors in Thailand ESG Fund by allowing them to deduct their investment amounts for tax purposes, up to a maximum of 30 percent of assessable income, specifically not exceeding 100,000 Baht, for the tax year in which the investment is made.
Additionally, the capital gains or returns obtained from the redemption of investment units will be exempted from tax calculations. This exemption applies only when the investment meets the conditions specified by the Revenue Department. In addition, investors must hold the investment units of Thailand ESG Fund for a minimum of eight years from the date of purchase. (TNA)