The Thailand Board of Investment (BOI) has approved measures to grant tax benefits for senior or dependent care service businesses and for clinical research.
The tax benefits for senior or dependent care services are intended to encourage investment in these businesses on a full-cycle basis, in response to Thailand’s preparation for becoming a full-fledged ageing society.
According to the BOI decision, senior care hospitals will receive five-year corporate income tax holidays, on the condition they have a capacity of at least 50 beds. Senior or dependent care service centers will enjoy three-year corporate income tax holidays, on the condition they have a capacity of at least 50 beds, and Thai nationals hold not less than 51 percent of the capital.
According to the National Statistical Office, in 2021, there will be at least 13 million Thai people aged 60 and over. The number accounts for 20 percent of the country’s total population, and it is expected to reach 28 percent in 2031, when Thailand becomes a super-aged society.
As for the new incentives to promote clinical research, they aim to enhance Thailand’s competitiveness in healthcare and to strengthen the country’s medical hub status.
The incentives cover both Contract Research Organization (CRO) and Clinical Research Center (CRC) operations, with eight years of corporate income tax exemptions. To qualify, the project must spend not less than 1.5 million baht per year on the salaries of newly hired researchers who are Thai nationals, or invest not less than one million baht (not including cost of land, working capital, and vehicles) in the project.
Source: The Government Public Relations Department