Thanakorn Wangboonkongchana, spokesman for the Prime Minister’s Office, revealed that the Cabinet meeting (Cabinet) has approved the draft principle. Royal Decree issued under the Revenue Code on VAT Exemption (No. ..) B.E. …. which is a tax measure to promote investment in data center business to support Thailand To be the digital center of the region (Regional Digital Hub) according to the government policy. and in accordance with the resolution of the Center for Economic Situation Management (B.E.A.)
by exempting value added tax (VAT) from the previous tax rate of 7% for data center operators for providing electronic storage space via the Internet space rental Servers and related equipment for storing, processing and connecting information electronically through the Internet network.
The expected benefits will be increased investment in Data Center and related businesses such as Cloud Computing in Thailand, especially at the level (Hyperscale Data Center), promoting Thailand to be the digital hub of the region (Regional Digital Hub). and increase corporate income tax income from the performance of data center operators in the country, increasing according to the business growth, which also compensates for the loss of VAT revenue.
Beneficiaries include data center operators in Thailand, who must have qualifications and comply with all rules, procedures and conditions as announced by the Director-General of the Revenue Department. and notify the intention to apply for the exercise of rights to the Director-General within 5 years from the date this Royal Decree comes into force which will be entitled to exempt from value added tax From the date of receipt of the notice of qualification from the Revenue Department
