10 Feb 2017
THAILAND: Gems and Jewellery Sector Bolstered by Tax Waiver and Duty Exemption Windfall
Gems and jewellery businesses are now exempt from the payment of import duty and VAT on a range of raw materials, including unprocessed pearls, diamonds, gold and certain semi-finished products. Import tariffs on finished products have also been cut, falling from 20% to 10%. Additionally, individual sellers of raw materials now qualify for a 1% reduction in their personal income tax liability.
In a further move, jewellery businesses will be entitled to claim 200% in corporate tax deductions for expenses related to the wages of skilled workers. Some Thai Baht 30 million (US$846,477) worth of low-interest government loans are also on offer to any company in the gems and jewellery sector looking to upgrade its machinery as a means of improving its productivity.