Bangkok: The SEC revealed that investors can switch all LTFs to Thai ESGX from today until June 30, 2025 to take advantage of tax benefits. It assessed that investors will wait to see the market conditions and decide to invest during the end of the measure.
According to Thai News Agency, Mr. Anek Yoo-yuen, Deputy Secretary-General and Spokesperson of the SEC, disclosed that the total value of fundraising from 37 Thai ESGX funds from the initial public offering (IPO) amounted to 840 million baht. Investors have until June 30, 2025, to invest in Thai ESGX. For LTF unit holders wishing to utilize tax benefits, most asset management companies will permit exchanges for Thai ESGX units starting today (May 13). All exchanges must be completed for all funds and asset management companies by June 30, 2025. Investors are likely to wait and observe market conditions before deciding to invest towards the end of the measure.
The tax benefit limit under the Thai ESGX measure is divided into two distinct categories. Limit 1 caters to general investors interested in investing in Thai ESGX until June 30, 2025, allowing a maximum tax deduction of up to 30 percent of assessable income, applicable to the portion not exceeding 300,000 baht, provided investment units are held for no less than five years from the date of investment.
The second limit applies to those holding LTF investment units as of March 11, 2025, who have expressed their intent to exchange all original LTF investment units across all LTF funds in all asset management companies (excluding other tax unit classes under the same fund, such as the SSF class) into Thai ESGX investment units by June 30, 2025. The maximum tax deduction is 500,000 baht for the tax years 2025 to 2029. In 2025, the maximum tax deduction is 300,000 baht, with the deduction remaining the same for each tax year from 2026 to 2029.