BOI Promoted Companies

Board of Investment provides incentives and privileges for promoted companies, including 100% foreign ownership, the right to own land, and tax reductions. Contact us to find out more.

Contact us to learn more

The Thailand Board of Investment (BOI), established in 1966 under the Office of the Prime Minister, is Thailand’s premier agency for promoting foreign and domestic investment. Designed to drive economic growth and innovation, the BOI offers a robust package of incentives to businesses in targeted industries, fostering a competitive and business-friendly environment. By aligning investments with Thailand’s economic goals, such as advancing technology and sustainable development, the BOI helps companies thrive while contributing to the nation’s progress. At Formichella & Sritawat, we specialize in guiding clients through the BOI application process to maximize these benefits.

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BOI Privileges for Promoted Companies

The BOI provides a comprehensive set of tax and non-tax incentives to eligible businesses, tailored to their industry, investment size, and location. These privileges enhance profitability and operational flexibility, making Thailand an attractive investment destination. Key privileges include:

Tax Incentives

  • Corporate Income Tax Exemption: Up to 8 years for net profits and dividends from promoted activities, with extended exemptions (up to 15 years) for high-tech industries or projects in the Eastern Economic Corridor (EEC).  
  • Import Duty Exemptions/Reductions: On machinery, raw materials for export production, and materials for research and development (R&D).  
  • Double Deduction: For costs of transportation, electricity, and water supply, reducing operational expenses.

Non-Tax Incentives

  • 100% Foreign Ownership: Exemption from Thailand’s Foreign Business Act restrictions, allowing full ownership in eligible sectors (except restricted areas like communications or banking).
  • Land Ownership: Permission for foreign entities to own land for promoted activities, a rare privilege in Thailand.
  • Visa and Work Permit Facilitation: Streamlined processes to bring in foreign experts and skilled workers, with exemptions from certain work permit requirements.
  • Export Privileges: Permission to export products without restrictions, supporting global market access

Eligible Industry and Criteria

The BOI targets industries critical to Thailand’s “new economy,” including:

  • BCG Industries: Agriculture, food, biotechnology, and medical.
  • Advanced Manufacturing: Automotive, aerospace, electronics, and robotics.
  • Digital and Creative Industries: Software, digital technology, and high-value services like logistics and tourism.
  • Basic and Supporting Industries: Minerals, chemicals, and industrial real estate.

To qualify, businesses must align with BOI’s promoted activities, demonstrate technological or economic contributions, and meet minimum investment thresholds (e.g., 1 million THB, excluding land and working capital). Projects in the EEC may want to look at the EEC Promotion as an alternative.  Also certain low-income provinces may receive enhanced incentives.

FAQs

BOI promotion is project-specific investment approval granted by Thailand’s Board of Investment under the Investment Promotion Act. A qualifying project may receive tax and non-tax privileges subject to its activity, investment, technology, location and conditions. It is not a general certification that every activity of the company is promoted.

Often, yes, for the promoted activity. Where the company is treated as a foreigner under the Foreign Business Act, BOI promotion may support issuance of a Foreign Business Certificate for that approved activity. The ownership position should still be checked against sector-specific laws and any conditions in the promotion certificate.

Timing varies with the promoted category, investment size, technical complexity, completeness of the application and questions raised by the BOI. Some projects may be processed within a few months; complex or capital-intensive projects can take longer. Incorporation, certificate issuance and post-approval licences may follow separate timetables.

The BOI publishes a detailed list of promoted activities covering areas such as advanced manufacturing, digital activities, data centres, research and development, biotechnology, medical services, energy, logistics and high-value services. Eligibility depends on the precise activity and conditions, not merely on using a word such as ‘technology’ or ‘consulting’.

Depending on the category and project, benefits may include corporate income tax exemption or reduction, import-duty relief for machinery, materials or research items, and other targeted deductions. The duration, cap and conditions vary. Some promoted activities receive non-tax privileges without a corporate income tax holiday.

It can be. BOI promotion is not reserved for large multinationals, but the project must satisfy the relevant activity, investment, staffing, capability and value-add requirements. The cost and continuing compliance burden should be compared with the actual privileges. See FOSR’s discussion of BOI promotion for SMEs.

A common mistake is presenting a broad business description that does not match a promoted category or the company’s real operating model. Weak evidence of technology, process, investment, staffing, customers or benefit to Thailand can also undermine the application. The project should be designed around what the company will actually deliver.

Not generally. BOI promotion may solve part of the foreign-ownership analysis and provide investment privileges, but sector licences and rules on telecommunications, data protection, cybersecurity, energy, factories, buildings, environmental matters and other regulated activities may still apply. FOSR’s data-centre regulatory analysis illustrates these overlapping approvals.

Yes. BOI-promoted companies may use facilitated procedures for approved foreign experts and personnel. The positions, qualifications, remuneration and employment arrangements remain subject to BOI and immigration requirements. Promotion does not give every foreign employee an automatic right to work in Thailand.

The BOI may permit a foreign-owned promoted company to own land necessary for its promoted activity and, where specifically approved, related accommodation or facilities. The permission is purpose-limited and subject to conditions. Disposal may be required if the promotion ends or the land is no longer used as authorised.

A promoted company must implement the approved project, comply with certificate conditions, maintain records and accounts, report progress and obtain permission for material changes where required. During the implementation phase, current rules include quarterly project reporting. See The BOI’s New Quarterly Reporting Rule.

Yes. Failure to implement the project or comply with material conditions can lead to suspension, loss of particular privileges or revocation. The process and opportunity to remedy depend on the breach and the BOI’s directions. Revocation may also have tax, foreign-ownership, land and immigration consequences.

Not automatically. BOI promotion is valuable where the business genuinely fits a promoted activity and will use the privileges. A standard structure may be faster and less burdensome for an unrestricted or Thai-owned business. The comparison should consider ownership, tax, licences, investment, staffing and continuing reporting.

Yes. An existing company may apply for a new qualifying investment project. The BOI will distinguish the proposed promoted project from existing operations and may examine when investment began, how assets and revenue will be allocated and whether the company can comply with the conditions.

The principal value is access to an activity-specific legal and investment framework that may combine foreign ownership, tax incentives, import privileges, land rights and facilitated foreign personnel. The most important benefit differs by project. See FOSR’s overview of Securing BOI Privileges in Thailand.

Thai-owned and foreign-owned companies may apply. Eligibility is based primarily on the promoted activity and project conditions, not shareholder nationality. The practical value may differ: a Thai-owned company may focus on tax or import privileges, while a foreign investor may also need the ownership and immigration benefits.