Thailand Approves Tax Exemptions for Flood Recovery Efforts
The Thai government has approved tax exemptions for companies receiving insurance payouts from this year's major floods. Corporations with flood insurance will not count these payouts in their income taxes. A 50 billion baht soft loan program, with an interest rate of 3.5% for the initial two years and a maximum of 40 million baht per borrower, is available for flood repairs.
The Thai government has implemented tax exemptions for businesses receiving insurance payouts due to this year's severe floods that affected about 50 provinces, especially in the northern region.
Corporations with insurance coverage against flood damage will not have to include these payouts in income tax calculations.
Additionally, the government has initiated a 50 billion baht soft loan program with a 3.5% interest rate for the first two years, capped at 40 million baht per borrower, for businesses needing flood damage repairs.
Loan applications are available through state financial institutions and 16 commercial banks.
The Thai Credit Guarantee Corporation is offering loan guarantees up to 1 billion baht to aid businesses lacking collateral.
Further relief includes a principal and interest holiday on loans from the Government Savings Bank and reduced credit card minimum payments.
The economic impact of the floods is estimated at 30-40 billion baht, primarily affecting the agricultural sector.