Amendments to personal income tax incentives for long-term equity investments (LTF)

[rheinwiese]

Preliminary information:

This Ministerial Regulation, when issued, will be applicable to assessable income derived from 1 January 2016 onwards.

On 23 February 2016, the cabinet approved a draft Ministerial Regulation amending the personal income tax incentives for long-term equity investments that had previously been approved by the cabinet on 3 November 2015.

Details of the draft Ministerial Regulation are as follows:

1) Effective from 1 January 2020, gains derived from the disposal of long-term investments in long-term equity funds (LTFs) will be treated in the same manner as income derived from the disposal of investments in other funds and be entitled to personal income tax exemption on the same basis.

2) Personal income tax allowances (entitlement to tax allowances equivalent to 15% of assessable income but capped at THB 500,000) for investments in LTFs will be applicable until 31 December 2019. The minimum holding period of LTFs will also be adjusted from 5 to 7 calendar years for investments made between 1 January 2016 and 31 December 2019.

3) Gains derived from the disposal of long-term investments in LTFs acquired between 1 January 2016 and 31 December 2019 will be entitled to personal income tax exemption provided that the LTFs have been held for not less than 7 calendar years.

[khunphil]

Hi,

Is it confirmed ... I am interested to invest in LTF ... but has it beed signed, stamped ;-) etc.

From 2020, no more personal income tax allowances ?

Philip