The cabinet has extended the double tax deduction period for another two years for contributions made to 13 public health foundations via E-donation.
The cabinet on Tuesday approved draft legislation on tax measure period extension to support public health donations as proposed by the Finance Ministry, deputy government spokeswoman Rachada Dhnadirek said on Wednesday.
The ministry proposed that a royal decree should extend the income tax exception period for individuals and companies or juristic partnerships that donated money or assets to 13 public health foundations (an increase from 10 foundations) through the Revenue Department’s electronic donation system (E-donation) for two years, starting from Jan 1 this year until Dec 31 next year, said Ms Rachada.
The 13 foundations are the Thai Red Cross Society, Bhadra Maharajanusorn Foundation, Siriraj Foundation, Chulabhorn Foundation, Phra Mongkutklao Foundation, Hospital for Tropical Diseases Foundation, Cancer Foundation of Siriraj Hospital, Rajavithi Hospital Foundation, Somdech Phra Pinklao Hospital, Queen Sirikit Naval Hospital Foundation, Suandok Hospital Foundation of Chiang Mai University’s faculty of medicine, Neurological Institute of Thailand Foundation and the Children’s Hospital Foundation.
Details of income tax exemption were that individuals were exempt from income tax after deducting expenses for twice the amount of donations, companies or juristic partnerships were exempted from income tax for twice the amount of donations, whether paid in money or property.
Individuals or companies or juristic partnerships were exempt from income tax, value-added tax (VAT), specific business tax and stamp duty for income received from the transfer of property or product sales after making donations to the 13 foundations.
Ms Rachada said this tax measure would result in a drop in the government’s tax collection by 370 million baht a year, but the measure was useful as it gave opportunities for people and the private sector to participate in developing the country’s public health system.
