BANGKOK – The Thai Junta government will be introducing tax incentives to encourage families to have more children as the country is becoming an ageing society, Thai News Agency (TNA) reported.
Nathaporn Chatusripitak, advisor to the Minister in the Prime Minister’s Office, said the Cabinet approved the Finance Ministry’s proposal to allow households to deduct 60,000 baht from their taxable income this year for their second legitimate child.
This will add to the deduction of 30,000 baht for the first child.
The government will also allow families to deduct expenses of up to 60,000 baht on birth delivery or prenatal care from their taxable income.
Nathaporn said that the tax measures are expected to cope with Thailand en route to become an ageing society in 2036 when the elderly would form 30 percent of its population.
While the tax plans will decrease the government’s revenue by 2.5 billion baht per year, the impact will be limited, he said.
The Cabinet also endorsed a tax incentive for operators setting up daycare centres for employees’ children at their workplaces.
Operators can deduct their day care centre’s expense worth up to one million baht from their taxable corporate income.
Source: Thai News Agency