Page 108 - Introduction to Investment Laws in Thailand

1) "Ordinary and necessary expenses. However,
the deductible amount of the following
expenses is allowed at a special rate:
o 200% deduction of Research and
Development expense,
o 200% deduction of job training
expense,
o 200% deduction of expenditure on the
provision of equipment for the
disabled;
2) Interest, except interest on capital reserves
or funds of the company;
3) Taxes, except for Corporate Income Tax and
Value Added Tax paid to the Thai
government;
4) Net losses carried forward from the last five
accounting periods;
5) Bad debts;
6) Wear and tear;
7) Donations of up to 2% of net profits;
8) Provident fund contributions;
9) Entertainment expenses up to 0.3% of gross
receipt but not exceeding 10 million baht;
10) Further tax deduction for donations made to
public education institutions, and also for
any expenses used for the maintenance of
public parks, public playgrounds, and/or
sports grounds;
11) Depreciation: Provided that in no case shall
the deduction exceed the following
percentage of cost as shown below. However,
if a company adopts an accounting method,
which the depreciation rates vary from year
to year, the company is allowed to do so
provided that the number of years over which

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