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Importers should familiarize themselves with the tax incentive scheme to systematically and beneficially plan their import.

On this page

  1. Duty refund under Section 29
  2. Bonded warehouse for exhibition
  3. Websites relating to Tax Incentive services
    Tax Incentive Clinic (TIC)
1

Duty refund under Section 29

Duty refund according to Section 29 of Customs Act, B.E. 2560 is to refund import duty to eligible importers who have paid duty in cash and/or letter of guarantee issued by a bank, or through e-Guarantee system, or have submitted letter of guarantee issued by Ministry of Finance in place of cash payment for import duty.  Import duty refund applies to imported items used to produce, mix, assemble or contain finished products and export out of the kingdom within one year of import. Import duty refund must be claimed within six months of export.

Items eligible for duty refund under Section 29
  • Raw materials which are obviously seen in the export goods, e.g. fabrics, buttons, zippers, thread in garments, plastic sheeting in plastic products, etc.
  • Raw materials used directly in the manufacturing process and contained in the export goods but not obviously seen, e.g. preservatives in canned food, stiffening agents in garments, solvents for glue in cellophane and anti-rust agents in electronic circuits, etc.
  • Raw materials required in the manufacturing process, e.g. sizing materials and bleaching agents used in textile products, sand paper, scouring powder, velvet varnish, scouring agents, chalk, carbon paper and pattern.

Items ineligible for duty refund under Section 29
  • Machinery, tools and appliances that are durable and reusable.
  • Fuels for manufacturing and lubricants for manufacturing machinery.

Duty refund procedures for raw materials used in the manufacturing of export goods as per Section 29
  • Importer requests approval in principle for duty refund under Section 29 which the importer has paid in cash or with letter of guarantee.
  • Customs Department will send letter of approval in principle and importer code within three working days from the date complete documents have been submitted.

Documents required for duty refund claim
  • Form for approval of duty refund (Form Kor Sor Kor 29)
  • VAT Registration Certificate (Por Por 20)
  • Juristic Person Registration or Commercial Registration certificate
  • Certification letter issued by Ministry of Commerce indicating purposes of the juristic person, authorized person, and company address
  • Factory Operation Permit that is still valid
  • Financial statement with signature of a certified public accountant (in case of submitting letter of guarantee issued by a bank instead of cash payment for duty)
  • Original and copy of the manager’s signature
  • Other relevant documents

Importer must submit import declaration along with other relevant documents to Customs at the port of import. After inspection, importer will receive an attachment to the import declaration to be used as evidence for duty refund afterwards. Please Visit www.customs.go.th

For more information, please contact: Duty Refund for Export Section, Tax Incentive Division, Customs Department, 1 Sunthonkosa Rd, Khlong Toei, Bangkok 10110 Tel: +66 2667- 7060 and +66 2667 5151
E-mail: 82000100@customs.go.th

2

Bonded warehouse for exhibition

A bonded warehouse is a location authorized for storing or exhibiting and selling, producing, mixing, assembling, packing goods or operating by any other method in the bonded warehouse.

Types of bonded warehouse
  1. Bonded warehouse for storage
    • General bonded warehouse
    • Bonded warehouse for liquefied petroleum gas storage
    • Bonded warehouse for shipyard
    • Bonded warehouse for petroleum storage
  2.  Bonded warehouse for exhibition and sale
    • Bonded warehouse for duty free shops
    • Bonded warehouse for exhibition (need to export these items within 60 days after exhibition)
    • warehouse for inflight duty free sale
  3. Bonded warehouse for producing, mixing, assembling, packing or operating by any other method with goods stored in the bonded warehouse.
    • Bonded warehouse for manufacturing plants
    • Bonded warehouse

Bonded warehouse privileges
        1. Exemption from import and export duties applied to goods released from bonded warehouse to be exported out of the kingdom, regardless of released goods being in original condition or otherwise. This does not include local materials stored in the bonded warehouse, to which export duty applies, and exported in their original condition.
        2. Exemption from import and export duties applied to goods released from bonded warehouse in case of transferring from one bonded warehouse to another or sale to importer under Section 29 or those eligible for duty exemption under Customs Tariff law or other relevant laws, which consider these activities as exporting out of the kingdom and those who receive such goods in these manners are considered importing into the kingdom.
For more details about Bonded Warehouse

For more information, please contact:

Office of Bonded Warehouse Establishment, Rules and Privilege Register Section, Tax and Duty Privilege Division

3

Websites relating to Tax Incentive services


Tax Incentive Clinic (TIC) This website offers assistance in filing tax incentive related documents and making appointments for consultations in advance.

Services include:

  1. Reports and claims
  2. Free Zone/bonded warehouse periodic reports
  3. Free Zone storing period extension request form
  4. Export duty compensation claim form and tax card renewal
  5. License/permission requests and Free Zone operator’s information change form

These services are to provide traders with Tax Incentive information, enabling them to claim tax incentive conveniently and quickly which helps to save operation costs and time, in line with the logistic system in present day.

For more information, please contact Tax Incentive Office “Tax Incentive Clinic”, 2nd floor, Chalermphrakiet Building, Mondays-Fridays from 08.30 – 16.30 hours.

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