On 09 Sep 2025, Thailand Tax Royal Decree (No 798) was gazetted, granting an additional tax deduction for purchases of large commercial electric vehicles by corporate entities between the dates of 27 Mar 2025 and 31 Dec 2025.

This Tax Insight updates you about this additional tax deduction concession.

The Corporate Tax Deduction Concession

For purchases of large commercial electric vehicles between the dates of 27 Mar 2025 and 31 Dec 2025, Royal Decree (No 798) grants the following additional tax deductions:

• For purchases of large commercial electric vehicles that are manufactured /assembled in Thailand - An additional 100% corporate tax deduction;
• For purchases of large commercial electric vehicles that are fully imported into Thailand - An additional 50% corporate tax deduction.

Rules, Procedures and Conditions

The rules, procedures and conditions prescribed in the Royal Decree are:

1. The large commercial electric vehicles shall be registered under the law governing motor vehicles;
2. Large commercial electric vehicles for passengers shall be in accordance with the law governing land transport for air-conditioned buses, double-decker buses, chartered passenger buses, etc.;
3. Large commercial electric vehicles for transporting goods and/or animals shall be in accordance with the law governing land transport for pick-up trucks, panel vans, liquid cargo trucks, dangerous goods trucks, etc.;
4. The large commercial electric vehicles shall have never been used before;
5. Are assets that are eligible for depreciation under Section 65 bis (2) of the Revenue Code and be acquired ready for use by 31 Dec 2025;
6. Shall not be entitled to another tax deduction concession under any other Royal Decree, in whole or in part;
7. The corporate entity claimant shall not be exempt from corporate income tax under the law governing investment promotion, or the law governing targeted Industries, or the law governing special economic zones;
8. The corporate entity claimant shall prepare an investment project and a payment plan, and provide them to the Revenue Department; and
9. The corporate entity claimant shall comply with the Revenue Department additional rules, procedures and conditions.

Caution​

Whilst this Royal Decree provides a right to an additional deduction concession, it also prescribes obligations to comply with rules, procedures and conditions.

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 surcharge could be payable.

---