23/1 Kanchanaphisek Rd, Khwaeng Dok Mai, Khet Prawet, Krung Thep Maha Nakhon 10250
BoI approves new batch of incentives
The Board of Investment (BoI) yesterday approved new incentives, including an import tax exemption on machinery, faster work permits for skilled foreign technicians, and cancellation of certain rigid start-up requirements for software and e-commerce businesses.
The requirement for local developers to create added value of at least 75% to imported raw materials was also scrapped, said Chakramon Phasukvanich, the BoI secretary-general. The 75% value-added requirement was relatively tough for local developers, especially in software and e-commerce businesses, he said.
The new rules were intended to promote more development of knowledge-based industries in the country. The agency implemented its new investment-promotion regime for software and e-commerce businesses on August 1, 2000, but to date only 11 ventures, with investments totalling 664 million Baht, have applied for privileges.
Under the current structure, companies specialising in e-commerce and application services are eligible for tariff exemptions on imported machinery. Projects in zones one (Greater Bangkok and environs) and two (surrounding provinces) will be eligible for corporate tax exemptions for five years.
Bangkok Post, August 10, 2001