Small and medium enterprises in Thailand with fixed assets but not including land, with a value of no more than Baht 200 million and with no more than 200 employees, are entitled to the following special depreciation methods:

  1. Machinery and equipment may initially be depreciated at 40% of cost and the remaining balance will be depreciated at the maximum rate of 20%.
  2. Computer hardware and software may initially be depreciated at 40% and the remaining balance will be depreciated within three accounting periods.
  3. Factory buildings may initially be depreciated at 25% and the remaining balance will be depreciated at a maximum rate of 5%.

SMEs with a paid-up capital at the closing date of the accounting period of not exceeding Baht 5 million and earning income from the sale of goods or provision of services of not exceeding Baht 30 million during the accounting period are entitled to depreciate machinery acquired during the accounting period are entitled to depreciate machinery acquired during the period from 1 January 2012 to 31 December 2013 at 100% of cost.

Contact MSNA for your Thai accounting and tax questions.