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Increasing Investment Values
| 1. Industrial Estate Advantages |
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As an Industrial Estate developed as a joint cooperation between the Industrial Estate Authority of Thailand (“IEAT’) of the Thai Government and MDX Public Co., Ltd., Gateway City offers the following special advantages :
- The IEAT office offers speedy, simplified and round-the-clock service including industrial’s permits approval and custom clearance.
- Foreign investors can own 100% of freehold land title of Gateway City, while outside of Industrial Estate, foreign investors can own not more than 40%
- Investors can bring in more foreign skilled workers than otherwise allowed by immigration laws.
- Investors in the “Export Processing Zone” of Gateway City are exempt from import and export duties as well as other special fees and related taxes.
- Investors can remit more foreign currency from Thailand than otherwise allowed.
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| 2. BOI Tax Incentives
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Other than the IEAT privileges, investors at Gateway City also enjoy Board of Investment (BOI) Promotion incentives for Zone 2:
- Tax incentives including a corporate income tax holiday of upto 7 years,
- Full exemption of import duties on machineries, and other related benefits.
- In addition, current government policies promote development Skills, Technologies and Innovation (STI) which provide additional opportunities for foreign investors to receive maximum tax incentives, even in Zone 2.
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BOI Skills, Technology & Innovation (STI) Policy
According to the BOI Announcement No.1/2543
on Policies and criteria for investment promotion dated August 1, 2000 and the
Announcement No.2/2543 on the Types, Sizes and Condition of Activities
Eligible for Promotion also dated August
1,2000, the activities meeting the
STI requirements will be treated as priority activities and will not be subject to any
specific corporate income tax. Project meeting one of the four STI
criteria will receive one additional year of corporate income tax holiday, which
will no longer be subject to the cap on tax benefits, with the total available corporate
income tax holidays not exceeding 8 years.
- Projects investing in Skills, Technology &
Innovation
- improve country competitveness
- facitate the transition to a knowledge-based economy
- eligible to receive maximum tax incentives
- Target Industries
- Fashion industry
- Automotive industry
- ICT industry
STI Criteria
- R&D or design expenditures >= 1-2% of annual sales in the first
3 years
- Recruitment >= 1-5% of total workforce within the first 3 years of
S&T personnel
- Training of staff >= 1% of payroll within the first 3 years
- Cost of developing vendors or supporting related educational
institutes >= 1% of annual sales within the first 3 years
Projects meeting each of these criteria will receive one additional year
of corporate income tax holiday (maximum 8 years), which will not be subject
to the cap on tax benefits
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| Latest BOI STI Policy (Dec 2005)
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| 3. The Chachoengsao Province |
| The Chachoengsao Province itself has a very good supply of local labour. Also due to its access to the northeastern region, which supplies most of the labour to the country, the location is an advantage. In addition, wages are extremely competitive as labour costs in Chachoengsao Province are 15% lower than those in Bangkok. |
| 4. Benefit From Quality Management |
ISO 9001 : 2000
Gateway City had achieved ISO 9001 certification since year 2002. Gateway City has expended the effort to achieve ISO status is an indicator of a companies commitment to serving its customers and competing with its competitors. |
| 5. Peace with Environmental Friendly |
ISO 14001 : 2004
Gateway City had achieved ISO 14001 : 1996 certification since year 1996 and continued award of ISO 14001 version 2004. Gateway City has expended the effort to achieve ISO status is an indicator of a companies commitment to serving its customers and competing with its competitors. |
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