coindesk.com
Thailand’s cabinet on Tuesday approved a tax exemption for crypto earnings to encourage fundraising via investment tokens, multiple local news outlets reported.
Under the exemption, holders of investment tokens that have had the 15% capital gains tax withheld don’t need to include the profits when calculating their income tax, essentially ending a scenario of double taxation, according to one report.
“The Ministry of Finance through the Revenue Department recognizes the importance of digital tokens for investment (Investment Token), which will be another tool for raising funds for business operators in the country,” Kulaya Tantitemit, director-general of Thailand’s Revenue Department, reportedly said.
Thailand has recently approved a series of tax benefits for crypto firms and users, including a value-added tax (VAT) exemption for earnings until 2023 and a $1 billion tax benefit to firms issuing investment tokens.
The new exemption applies to investment token earnings starting Jan. 1, 2024.