BANGKOK (Reuters): Thailand will implement a global minimum corporate tax of 15% on multinational enterprises from Jan. 1, 2025, the finance ministry said on Friday.
The ministry said the "top-up tax" would be levied at the globally agreed minimum tax rate, in alignment with the Global Minimum Tax framework which seeks to set a floor on tax competition, the ministry said in a statement.
Under new rules being shepherded by the Organisation for Economic Cooperation and Development (OECD), a minimum 15% tax will be charged on multinationals with an annual global turnover of more than 750 million euros ($781 million), regardless of their location.
Thailand's corporate tax is currently set at 20%, but companies receiving incentives from the Thailand Board of Investment can get an exemption of up to 13 years.
Vietnam's parliament approved the minimum global tax rate last year.
Indonesia, Southeast Asia's largest economy, Malaysia and Singapore have also said they will implement the minimum tax rate in 2025.
($1 = 0.9604 euros) (Reporting by Orathai Sriring and Kitiphong Thaichareon; Editing by John Mair and Ros Russell) - Reuters
