Cabinet approves social enterprise bill
THE CABINET yesterday approved the Finance Ministry’s proposed tax measures and related draft bill to support social enterprises, the draft amendment to the credit guarantee corporation law and the draft fiscal bill.
Finance Minister Apisak Tantivorawong said social enterprises would be completely exempt from corporate tax if they allocated at least 70 per cent of their net profit to social work.
The companies investing in shares of these social enterprises can deduct the cost in full from their corporate income tax.
Those providing financial support to social enterprises can also deduct the cost.
Under the amendment of the existing credit guarantee corporation law, the Thai Credit Guarantee Corporation (TCG) will be able to provide guarantees to small and medium-sized enterprises that borrow from financial institutions and other sources, not just from banks, as stated in the existing law.
The TCG is also defined clearly as a financial institution.
