On 29 Dec 2025, Thailand Tax Royal Decree (No 800) was gazetted, enacting the Government's resolution of 21 Oct 2025 to grant a tax deduction concession for corporate entities that undertake renovations of their hotel properties from the date of 29 Oct 2025 to the date of 31 Mar 2026.

This Insight has been updated for the prescriptions in Royal Decree (No 800).

The Tax Deduction Concession Under RD (No 800)

The prescriptions in Royal Decree (No 800) are as follows:

Purpose

To stimulate tourism and the economy through the support and promotion of corporate entities undertaking renovations of their hotel properties.

Applicability

From 29 October 2025 to 31 March 2026.

Hotel Renovation Costs

Hotel renovation costs entitled to this tax deduction concession are the costs of additions, alterations, extensions or improvements (other than repairs) for:

1. Permanent buildings that are used for a hotel business; and
2. Fixtures and fittings that are components and permanently affixed to the buildings under 1.

Tax Deduction Concession

For hotel renovation costs that are incurred from 29 Oct 2025 to 31 Mar 2026, a corporate tax deduction concession for 200% of the costs, i.e.:

• The usual 100% deduction, as depreciation charges, for the costs; plus
• An additional 100% deduction for the costs, also as depreciation charges.

Rules and Conditions

The rules and conditions stipulated in the RD (No 800) are that:

1. The hotel renovation costs:

1. Must be paid during the period of 29 October 2025 and 31 March 2026;
2. Must be for assets that are entitled to deductions for depreciation under Section 65 bis (2) of the Revenue Code;
3. Must be for assets that are in a condition ready for use as intended by 31 March 2026; 
4. Must be for assets that are located in Thailand;
5. Must not be for repairs and/or maintenance;
6. Must not be for assets for which tax benefits are received under any other Royal Decree, in whole or in part; and
7. ​Must not be for assets that are used in a business receiving benefits under the law governing investment promotion, the law governing the enhancing of targeted industries, or the law governing the Eastern Economic Corridor, in whole or in part.

2. The corporate entity claimant:

1. Shall be a hotel operator under the law governing hotels;
2. Shall provide the details of the investment plan and payment plan to the Revenue Department; and
3. Shall comply with the additional rules, procedures and conditions of the Revenue Department.

Caution

If the Revenue Department's tax audit officers find any of the rules, procedures or conditions have not been met, the entitlement to the concession may be lost, and back-taxes plus penalty and/or surcharge could be payable.

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