BOI Promotion in Thailand: Tax Holidays, 100% Ownership and Who Qualifies

Key takeaways

What BOI promotion is

The Board of Investment (BOI) is a Thai government agency that promotes investment in the sectors the country wants to grow. It operates under the Investment Promotion Act and has the authority to grant benefits that override standard business rules. When it approves your project, you receive a promotion certificate that carries a package of privileges most companies in Thailand never get.

The most talked-about BOI Thailand benefits fall into three buckets: a corporate income tax holiday, the right to full foreign ownership and streamlined visas and work permits. Import duty exemptions on machinery and raw materials, land ownership rights and easier remittance of funds abroad round out the package.

One point is worth understanding early. BOI promotion is activity-based, not size-based. It is not only for large factories. The minimum investment for most activities is 1 million baht, excluding land and working capital, which puts it within reach of genuine small and medium businesses.

Eligible activity categories

BOI promotion is selective. Only projects in targeted sectors qualify, and your activity has to match one of the categories on the BOI's official list. For 2026, priority sits with industries tied to Thailand's long-term strategy:

A refreshed set of measures announced in January 2026 keeps applications open through the end of 2027. If your activity sits outside these lists, BOI is probably not the right route, and a standard company or a Foreign Business License may suit you better.

Tax holidays up to 13 years

This is the headline benefit, and also the one most often misunderstood. The length of your tax holiday depends entirely on which tier your activity falls into. Higher tiers reward higher technology and greater strategic value.

Tier

CIT exemption

Cap

A1+

10 to 13 years

No cap

A1

8 years

No cap

A2

8 years

Capped at 100% of investment

A3

5 years

Capped at 100% of investment

A4

3 years

Capped at 100% of investment

Group B

None

Non-tax benefits only

The full 10 to 13 years belongs to A1+, a narrow band reserved for upstream industries and targeted technology projects of strategic importance, and it usually requires real collaboration with a research or educational institution. Most promoted companies land in the middle tiers with a 3 to 8 year holiday. Merit-based add-ons for things like R&D spending or locating in a promoted zone can extend the period, and projects sited in industrial estates or investment promotion zones may earn extra years.

There is one 2026 caveat for large groups. Under the OECD's global minimum tax rules, multinationals with group revenue above 750 million euros face a 15% effective tax floor, so a 0% BOI holiday can be partly clawed back through a top-up tax. For most SMEs and founders this does not apply, but it is worth flagging if you are part of a large group.

100% ownership and work permit exemptions

For many foreign entrepreneurs these non-tax benefits matter as much as the tax holiday.

Ownership comes first. A BOI-promoted company can be 100% foreign-owned without applying for a separate Foreign Business License, even in activities normally restricted under the Foreign Business Act. This removes the biggest structural constraint most foreigners hit when setting up in Thailand. You can obtain a Foreign Business Certificate alongside your BOI certificate, usually within about a month.

Hiring is second. Standard Thai companies have to employ four Thai staff for every foreign work permit and meet a capital requirement per foreigner. BOI-promoted companies are exempt from both. Instead, your foreign headcount follows the positions the BOI approves. Visas and work permits are then handled through the BOI One Stop Service Center, where complete applications are often processed in a single day rather than the usual week or more.

Application timeline

BOI company registration in Thailand runs on two separate tracks: the BOI application itself, handled by the Board of Investment, and company registration, handled by the Department of Business Development. Many founders start the BOI registration process before company setup so the privilege is confirmed before they commit to a structure.

A typical timeline looks like this:

Total time from application to certificate is commonly 4 to 6 months. The BOI charges no application fee, so your real costs are professional fees, DBD registration fees and the capital you commit to the project.

Obligations after approval

A promotion certificate is not a one-off prize. It is an ongoing relationship with conditions attached. You have to meet your investment commitments, start operations by the stated deadlines and file regular reports to keep your privileges. Fall short and the BOI can reduce or withdraw your incentives.

If your business changes direction, expect a formal process. Switching to a lower-incentive activity will trim your tax holiday, and moving to a higher tier may mean a fresh application against tougher thresholds. Planning the right category from the start saves months later, which is why most companies take advice before they file.

FAQs

Is BOI promotion only for big manufacturers? No. It is based on your activity, not your size. With a minimum investment of 1 million baht for most activities, many SMEs and tech founders qualify.

Do all promoted companies get a 13-year tax holiday? No. The full 10 to 13 years is limited to top-tier A1+ strategic projects. Most companies receive 3 to 8 years, and Group B activities receive non-tax benefits only.

Can I own 100% of a BOI company as a foreigner? Yes. BOI promotion allows full foreign ownership without a Foreign Business License, even in activities usually restricted under the Foreign Business Act.

How long does approval take? Around 40 to 90 working days for the BOI review, and roughly 4 to 6 months in total once company setup is included.

Is BOI the right route for you?

Not sure which tier your project fits, or whether BOI is the right route at all? A quick eligibility check is the fastest way to find out before you spend time and money on an application. Tell us what your business does and we will tell you where you stand.

Check your BOI eligibility