BANGKOK, 20th November 2018 (NNT) - The National Council for Peace and Order (NCPO) has issued an order under Article 44 to exempt income tax on interest revenue derived from bonds issued by the Financial Institutions Development Fund (FIDF) to boost Thailand's financial system stability.

To avoid confusion among international investors in the country's financial instruments, the tax liability on income from bonds issued by the Bank of Thailand (BOT) as well as the FIDF should be treated in the same way, so it was necessary to issue this order to grant the income tax exemption.

Entities registered overseas who have invested in the BOT and FIDF bonds are also exempted from income tax on the interest.

The exemption also covers bond investors who have been holding Thai debt instruments since October 2010. The exemption came into effect last Friday after the NCPO's order was published in the Royal Gazette.

The special tax measure is expected to help expand the size of the Thai bond market and increase its efficiency in terms of mobilizing international funds for investment in both public and private sector projects in Thailand.

National News Bureau Of Thailand | NCPO exempts income tax on interest revenue derived from FIDF bonds