Thailand has approved a five-year tax exemption for capital gains from cryptocurrency transactions conducted through licensed digital asset platforms. The exemption will take effect from January 1, 2025 to December 31, 2029.
Deputy Finance Minister Julapun Amornvat announced the measure, calling it a move to increase investment, stimulate economic activity and drive long-term growth.
“The Cabinet approved five years of crypto tax exemption to promote Thailand as a global digital asset hub,” Amornvivat said.
According to the Ministry of Finance, the policy aims to enhance Thailand’s competitiveness in the global digital economy. It aims to increase capital inflows into the Thai market. Officials expect indirect tax revenue to exceed 1 billion baht, due to increased economic activity during the exemption period.
“Capital income tax exemption will be used for digital assets for operators regulated by the Securities and Exchange Commission,” Amornvivat went on to say.
Tax relief is only applicable to platforms licensed in Thailand seconds. This includes communication that meets strict regulatory standards under the government’s digital finance framework. Exchanges without Thai licenses will not benefit from the exemption and continue to face restrictions.
Officials said the new exemption complies with international standards from the OECD and FATF. The government is also exploring possible VAT (VAT) on digital assets to support fiscal stability.
Furthermore, this is not Thailand’s first step towards accepting Bitcoin or cryptocurrency.
Thailand approved its first Bitcoin ETF in 2024, allowing asset manager Oneam to build funds for institutional investors. ETFs provide regulated Bitcoin exposure through global funds and reflects the growing demand for institutions to acquire assets.
Thailand is taking a two-sided approach. They support innovation through a licensing platform while fighting unregulated players. With rules and tax breaks, the country positioned itself as a leader in the growth of Bitcoin and cryptocurrencies in Southeast Asia.
