On 24 March 2025, the Thai Cabinet approved the Royal Decree (No. 795) B.E. 2568 (2025), issued under the Revenue Code governing the reduction and exemption of taxes and duties. Subject to the expiration of the Royal Decree (No. 771) on 31 December 2024, the Royal Decree was announced to provides tax incentives for e-Donations to the healthcare and educational foundations in Thailand for both individuals and companies or juristic partnerships, given that the e-Donations made to the healthcare and educational foundation in Thailand must be between 1 January 2025 and 31 December 2027. The details of tax incentives shall be as follows:
- For individuals, double deductions of the donated amount from their assessable income, after standard deductions, provided that the donation shall be made in cash. The deduction is capped at 10% of the individual’s assessable income.
- For companies or juristic partnerships, double deductions of the donated amount in cash or monetary or asset donations. The deduction is capped at 10% of the total income or profit after deductions.
In addition, the Royal Decree also exempts income tax, VAT, specific business tax, and stamp duty on income relating to the transfer of assets or sale of goods regarding the donations, given that the donors cannot deduct the cost of these assets or goods as expenses in their tax calculations.
To be eligible for the tax incentives, individuals and companies shall comply with criteria, rules, and conditions stipulated by the Director-General. Donors shall combine their exempted earnings with other similar benefits, ensuring deductions do not exceed 10% of their income or profit before accounting for charitable deductions.
Tax deductions for e-Donations made to the healthcare and educational foundation_Bangkok Global Law