Thailand Crypto Tax Reform Exempts Digital Asset Profits for 5 Years
The Thailand government has announced a significant tax reform to position the country as a leading crypto-friendly nation. The new policy grants a five-year personal tax exemption on profits from the sale of digital assets, including Bitcoin. Effective from January 2025 until December 2029, this move aims to attract more investment into Thailand’s digital economy while boosting domestic consumption and growth.
Deputy Finance Minister Julapun Amornvivat shared on social media that the capital gains tax will be waived for all crypto transactions conducted through licensed digital asset service providers (CASPs). The Finance Ministry believes this exemption will enhance Thailand’s digital asset ecosystem, making it more competitive and dynamic. This initiative is part of a broader strategy to establish Thailand as a regional hub for blockchain development, token fundraising, and related digital ventures.
In addition to promoting economic growth, the tax incentive is expected to contribute over 1 billion baht (approximately $30.7 million) to the economy in the medium term by encouraging both international and local participation in the crypto market. The government views this tax reform as a cornerstone for future fiscal policies, potentially including the introduction of value-added tax (VAT) on digital transactions.
Furthermore, the regulatory framework ensures compliance with anti-money laundering (AML) guidelines, overseen by the Thai Securities and Exchange Commission (SEC). The Revenue Department plans to adopt the OECD’s Crypto-Asset Reporting Framework (CARF) to enhance transparency and mitigate tax evasion risks in cross-border crypto transactions.
Thailand’s proactive stance towards the crypto sector is evident in recent approvals for stablecoins like Tether and USDC for digital trade. The country is also exploring the possibility of permitting Bitcoin ETFs in the near future. Despite fostering innovation, authorities remain vigilant in enforcing regulations, as demonstrated by recent crackdowns on illicit crypto mining operations.
Source: CryptoSlate
