To continue to stimulate the economy, Royal Decree No 642 was issued just last month to grant corporations an additional 50-per-cent tax deduction of depreciation in the same way as the expired decree. For instance, it’s unclear whether assets acquired in a foreign currency must be converted into baht using the exchange rate at the date the assets are capitalised or the date of payment. Due to their nature, it’s difficult to distinguish between movable assets (furniture, fixtures and equipment) and immovable assets (permanent buildings). Any difference between the actual tax return filed and the plan submitted may be unclear for tax practice. This could be considered as purchasing assets at a 10-per-cent cheaper price than the years without this tax incentive.

Source: The Nation Bangkok August 02, 2017 18:11 UTC