Page 190 - Social Enterprise A New Business Paradigm for Thailand

2. CSR Expenses Eligible for a 2x Tax Deduction, Up to 10% of Net Profit

For certain CSR expenses specifically promoted by the Revenue Department, companies or legal
partnerships are allowed to deduct twice the amount of those expenses, but not exceeding 10%

of net profit. In some cases, this applies indefinitely, while in others, it is limited to a defined
period. Additionally, income derived from the transfer of assets, sale of goods, or execution of
instruments related to the donation may be exempt from income tax, value-added tax, specific
business tax, and stamp duty. Examples include:

• Expenses or donations supporting education to government educational institutions, state
agency schools, or private schools approved by the Committee on the Development of
Education Management by Highly Potential International Institutions, with Cabinet
142
approval under NCPO Order No. 29/2017 143
• Expenses or donations for constructing and maintaining playgrounds, public parks, or
privately operated sports grounds open to the public free of charge, or for government-owned
144
playgrounds, parks, or sports grounds
• Expenses or donations of money or assets made to government hospitals 145
• Donations made through electronic donation systems to the Chaipattana Foundation, the
Information Technology Foundation under the Royal Patronage of Her Royal Highness Princess
Maha Chakri Sirindhorn, or the Ramathibodi Foundation under the Royal Patronage of Her

Royal Highness Princess Maha Chakri Sirindhorn, from July 26, 2022, to December 31, 2024 146

142 Royal Decree issued under the Revenue Code on Tax Exemption (No. 420), given on August 17, B.E. 2547 (2004).
143 Order of the Head of the National Council for Peace and Order No. 29/2560 on the Promotion of Education
Management by High-Potential Foreign Higher Education Institutions, issued on May 26, 2017. The provision allows
high-potential foreign higher education institutions to operate in the following areas:
(1) the Eastern Economic Corridor (EEC), and (2) other special economic zones designated by the Cabinet as areas for
establishing high-potential foreign higher education institutions under this order. Such institutions may also be
eligible for investment promotion under the law governing investment promotion.
144 Royal Decree issued under the Revenue Code on Tax Exemption (No. 428), B.E. 2548 (2005), given on January 8,
2005.
145 Royal Decree issued under the Revenue Code on Tax Exemption (No. 663), given on November 18, B.E. 2561 (2018),
stipulates that “government hospital” means a medical facility that is a government agency under the law on the
organization of state administration, and also includes (1) medical facilities of state educational institutions, (2)
medical facilities of public organizations under the law on public organizations, (3) medical facilities of state
enterprises that are government organizations or government-owned business units, (4) medical facilities of local
administrative organizations, (5) medical facilities of other state agencies, and (6) medical facilities of the Thai Red
Cross Society.
146 Royal Decree issued under the Revenue Code on Tax Exemption (No. 756), given on November 6, B.E. 2565 (2022).
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