The Association of Investment Management Companies (AIMC) has played down investor concerns about the 15% withholding tax placed on fixed-income funds, noting that the levy will be implemented on new fixed-income funds established from Aug 20. Fixed-income funds' unit holders at the time were subject to only a 10% withholding tax on dividends. Fixed-income funds established before the law's enforcement, as well as retirement mutual funds (RMFs), remain tax-exempt. The Finance Ministry expects to fetch annual revenue of 1.6-2.5 billion baht from the 15% withholding tax, said Finance Minister Apisak Tantivorawong. "Bond issuers may offer higher returns on investment, while fund managers could offer other similar products akin to fixed-income funds.

Source: Bangkok Post June 03, 2019 23:37 UTC