{"id":18561,"date":"2023-03-10T15:56:47","date_gmt":"2023-03-10T15:56:47","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/thai-govt-to-grant-tax-waivers-to-issuers-of-digital-asset-investment-tokens-taxes-bitcoin-news\/"},"modified":"2023-03-10T15:56:47","modified_gmt":"2023-03-10T15:56:47","slug":"thai-govt-to-grant-tax-waivers-to-issuers-of-digital-asset-investment-tokens-taxes-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/thai-govt-to-grant-tax-waivers-to-issuers-of-digital-asset-investment-tokens-taxes-bitcoin-news\/","title":{"rendered":"Thai Govt to Grant Tax Waivers to Issuers of Digital Asset Investment Tokens \u2013 Taxes Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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Thailand\u2019s government has said companies that issue digital tokens will receive a waiver that exempts them from paying corporate and value-added tax. According to a report, the Thai government anticipates losing just over $1 billion in tax revenue as a result of the waiver. <\/strong><\/p>\n

Relaxation of Tax Rules for Investments in Digital Assets<\/h2>\n

Thailand-based companies that issue digital tokens for investments are set to receive a corporate and value-added tax waiver, the Thai government has reportedly<\/a> said. As a result of the waiver, the Thai government, which is projecting investment token offerings worth $3.71 billion (128 billion baht) over the next two years, said it expects to lose more than $1 billion in tax revenue.<\/p>\n

According to a government spokesperson, Rachada Dhnadirek, such investment token offerings add to Thai companies\u2019 traditional capital-raising methods such as debentures, hence the cabinet\u2019s decision to waive the taxes. The government\u2019s nod to the tax waiver came just over a year after it announced<\/a> the relaxation of tax rules<\/a> for investments in digital assets.<\/p>\n

At the time, the country\u2019s finance minister, Arkhom Termpittayapaisith, said the rule change would help promote and develop Thailand\u2019s cryptocurrency industry. As per a March 2022 Reuters report, the new rules enabled \u201ctraders to offset annual losses against gains for taxes due on cryptocurrency investments.\u201d The report added that the rules would also \u201cexempt a value-added tax of 7% for cryptocurrency trading on authorized exchanges.\u201d<\/p>\n

Protecting Digital Asset Users<\/h2>\n

Besides preserving the stability of the country\u2019s financial system, the new rules also ostensibly seek to protect digital asset users. For instance, Bitcoin.com News reported<\/a> in late Jan. 2023 that entities offering crypto custody services were now required to have in place mechanisms that guarantee the \u201cefficient custody of digital assets and keys.\u201d<\/p>\n

Before this, the Thai Securities and Exchange Commission had issued regulations which obliged<\/a> crypto companies to \u201cinform potential customers of the investment risks in their advertisements.\u201d<\/p>\n

What are your thoughts on this story? Let us know what you think in the comments section below. <\/strong><\/em><\/p>\n

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\nTerence Zimwara <\/h6>\n

\nTerence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

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