Latest Law update at August 2025
Postponement of the Implementation of the Labor Protection Fund System, Investment Promotion Measures for the Automotive Parts Manufacturing Industry, Amendment to the Regulation on Land Ownership Permission for Foreign Juristic Persons Engaged in BOI-Promoted Businesses.
New Law Update
Latest Law Update
| No. | Issuing Authority | Subject | Announcement date | Effective date |
|---|---|---|---|---|
| 1 | Revenue Department | Notification of the Ministry of Finance (No. 848) : Specification of Organizations, Charitable Institutions, Medical Institutions, and Educational Institutions, etc. | 14 Jul 2025 | For income of 2025 or Tax base VAT at Jul 2025 |
| 2 | Revenue Department | Notification of the Ministry of Finance (No. 849) : Specification of Organizations, Charitable Institutions, Medical Institutions, and Educational Institutions, etc. | 24 Jul 2025 | For income of 2025 or Tax base VAT at Jul 2025 |
| 3 | Revenue Department | Notification of the Director-General of the Revenue Department (No.55) : Prescribing Criteria and Conditions for the Exemption of Income Tax, Value Added Tax, Specific Business Tax, and Stamp Duty for Donations to the Office of Knowledge Management and Development (Public Organization) through the Electronic Donation System.” | 29 Jul 2025 | 1 Jan 2025 |
| 4 | Revenue Department | Notification of the Director-General of the Revenue Department (No.72) : Prescription of the Welfare Funds within Government Agencies Established under the Prime Minister’s Office Regulations on the Provision of Welfare within Government Agencies Pursuant to the Royal Decree Issued under the Revenue Code Governing Tax Exemption (No. 424), B.E. 2547 (2004) | 29 Jul 2025 | This directive shall apply to donations made to welfare funds within government agencies, as notified pursuant to this directive, on or after January 1, 2025. |
| 5 | Board of Investment(BOI) | Notification of the Board of Investment No. Por 9/2568 : Amend the criteria and conditions for granting permission to foreign juristic persons who have received investment promotion to own land for use as office locations and residences for operational workers to conduct business that has received investment promotion. | 18 Jul 2025 | 18 Jul 2025 |
| 6 | Board of Investment(BOI) | Notification of the Board of Investment No. 6/2568 : Measures to promote the use of locally produced parts in Thailand for the electric vehicle and electrical appliance industries | 22 Jul 2025 | 22 Jul 2025 |
| 7 | Board of Investment(BOI) | Notification of the Board of Investment No. 7/2568 : Amendment of Notification of the Board of Investment No.8/2565 | 22 Jul 2025 | 22 Jul 2025 |
| 8 | Board of Investment(BOI) | Notification of the Board of Investment No. Sor 7/2568 : Amendment to the list of business categories eligible for investment promotion under the Announcement of the Board of Investment No.9/2565. | 22 Jul 2025 | 22 Jul 2025 |
| 9 | Department of Custom | Notification of Department of custom No.130/2568 : Customs authorities of the parties under the Mutual Recognition Arrangement for the Authorized Economic Operator (AEO) Program (No.9) | 24 Jul 2025 | 1 Aug 2025 |
| 10 | Labour Department | Special Work Permit for Foreign Nationals of Myanmar under the Cabinet Resolution dated 8 July 2025 | 24 Jul 2025 | 15 Jul 2025 |
| 11 | Labour Department | Special Work Permit for Cambodian Nationals Allowed to Work in the Kingdom under Section 64, pursuant to the Cabinet Resolution dated 22 July 2025 | 24 Jul 2025 | 7 Jun 2025 |
| 12 | Bank of Thailand | Announcement of the Bank of Thailand Report on the Weekly Financial Position of the Bank of Thailand, Currency Reserve Fund, and Banknote Operat | 25 Jul 2025 | 25 Jul 2025 |
Interesting News
1. Postponement of the Implementation of the Labor Protection Fund System
As mentioned in our January 2025 Newsletter, the Thai Labor Protection Fund System, which was originally scheduled to take effect on October 1, 2025, has been postponed by one year and will now commence on October 1, 2026. We would like to provide this update for your reference.
According to the authorities, the postponement is due to economic uncertainties arising from various factors such as the increase in U.S. trade tariffs, the rise in Thailand’s minimum wage, and the ongoing conflicts with neighboring countries for which no resolution is yet in sight.These factors have adversely affected business operators and intensified market competition, resulting in increased burdens on both employers and employees. To maintain employment stability and mitigate financial pressure during this uncertain economic period, the government has deemed it necessary to postpone the implementation of the Fund.
It should be noted that there are no changes to the contribution or accumulation rates. Only the effective date of the system has been postponed by one year. Specifically:
- For the first 5 years (October 1, 2026 – September 30, 2031):
Both employees and employers will contribute 0.25% of wages to the Fund. - From October 1, 2031 onward:
Both employees and employers will contribute 0.5% of wages.
In addition, there are no changes to the criteria or procedures for the collection of contributions and fund accumulation.
The Labor Protection Fund Committee has approved this postponement.
2. Investment Promotion Measures for the Automotive Parts Manufacturing Industry
The Board of Investment (BOI) has issued this notification to clarify the investment promotion measures applicable to automotive parts manufacturing businesses under Category 3.5 of the BOI-promoted activities list.
Key Clarifications
- Non-eligible Products:
Lead-acid batteries are not eligible for investment promotion. - Eligible Products:
Investment promotion for automotive parts manufacturing applies only to key components specified for each subcategory.
| Category | Eligible Products |
|---|---|
| 3.5.7 Transmission System Parts | Gear, Transfer Case, Torque Converter, Carrier, Shaft, Joint, Transmission Case, Differential, components of CVT Ball Screw, and other major parts of equivalent importance such as Steel Belt. |
| 3.5.8 Brake System Parts | Brake Booster or Brake Booster Motor, Brake Caliper, Brake Master Cylinder, Brake Wheel Cylinder, Wheel Hub, Brake Pipe/Tube, Brake Set/Pad, Brake Drum, Brake Disc, and other parts of equivalent importance, as well as key parking brake components such as Cable, Motor, Switch, and Hand Brake Lever. |
| 3.5.9 Suspension System Parts | Shock Absorber, Ball Joint, Leaf/Coil Spring, Tie Rod End, Stabilizer Bar Link, Control Arm, Strut Assembly, and other major parts of equivalent importance such as Air Suspension or Strut Bar. |
| 3.5.10 Steering System Parts | Power Steering Pump/Motor, Rack and Pinion Steering, Steering Column, Steering Shaft Assembly, Steering Column Assembly, Loaded Knuckle Assembly, and other main components of equivalent importance. |
| 3.5.12 Exhaust System Parts | Catalytic Converter, Exhaust Catalyst Manifold, and other major components of equivalent importance such as Muffler, Exhaust Flex Pipe, Diesel Particulate Filter (DPF), and Selective Catalytic Reduction (SCR) systems. |
| 3.5.17 Other Automotive Parts | Automotive parts not listed in Categories 3.5.1–3.5.17, and/or businesses whose conditions or production processes do not comply with the requirements of those categories. |
- a) Explanation of Equivalent Importance
For components deemed to have equivalent importance within each automotive system, applicants must logically and technically demonstrate that such components perform functions equivalent to those specified for each promoted activity. - b) Excluded Items under Category 3.5.17
The following are not eligible for promotion benefits under Category 3.5.17: - Subcomponents or minor parts that can also be used in other industries.
- Items not forming part of the factory-assembled vehicle.
- Products outside the automotive supply chain or industrial structure.
- Components that do not affect vehicle performance or safety.
- Items that are non-permanent or easily removable.
- Products designed solely for appearance, owner satisfaction, or convenience.
- c) Guidelines for Evaluation of Manufacturing Processes
The manufacturing process must include key technical operations such as: - Machining, and/or
- Assembling, and/or
- Welding,
and must not be a simple or minimal process.
The raw materials must be transformed into products through operations such as Casting, Forging, Stamping, Injection Molding, Blow Molding, Compression, Extrusion, Forming, Bending, or Coiling, resulting in a product shape significantly different from the original material.
Assembling Process:The product must be assembled or welded from two or more parts or raw materials using appropriate machinery or equipment with proper technology, not merely by hand tools or manual assembly.
3. Amendment to the Regulation on Land Ownership Permission for Foreign Juristic Persons Engaged in BOI-Promoted Businesses. (BOI Notification No.Por9/2568)
This notification was issued to amend the Office of the Board of Investment Notification No. Por 9/2567, which sets forth the criteria and conditions for granting land ownership permission to foreign juristic persons operating BOI-promoted businesses for the purpose of establishing offices and residences for operational-level employees working under such promoted projects.
The amendment introduces changes to certain conditions of land ownership permission and adds provisions for the electronic submission system, as summarized below.
- 1) Conditions for Land Ownership Permission
| Before Amendment | After Amendment |
|---|---|
| The residence must be a building used to accommodate operational-level employees engaged in the BOI-promoted business and must have an appropriately proportioned area. | The residence must be a building used to accommodate operational-level employees engaged in the BOIpromoted business and must have an appropriately proportioned area. Furthermore, the residence must not be a subdivided housing unit, condominium unit, house, or townhouse, or any other building of similar characteristics. |
- 2) Provisions for the Electronic Application System
Clause 8 Application for Land Ownership Permission for Office or Residential Use - 8.1 The BOI-promoted enterprise must submit an application and required documents as prescribed by the Office through the Land Ownership and Utilization Permission System (e-Land).
- 8.2 Before formally accepting the application in the system, the Office shall verify the accuracy of the application and attached documents.
- If the documents are correct, the Office will notify the applicant of acceptance through the system.
- If deficiencies are found, the Office will list the additional required documents via the system.
- The applicant must correct or complete the submission within 7 days from the date of electronic submission.
- If the applicant fails to correct the deficiencies within the prescribed period, or the correction remains incomplete, the application shall be rejected and deleted from the system.
- 8.3 The Office shall notify the result of the consideration by post.
- 3) Effective Date
This notification shall take effect on July 18, 2025.