Reuters reported that Thailand’s Finance Minister Rachada Dhnadirek said that Thailand’s cabinet has approved exemptions from corporate income tax and value-added tax for companies that issue digital investment tokens to promote financing for listed and unlisted entities. The exemption applies to primary and secondary markets for companies and registered entities issuing ICOs. Investors in such tokens will also be exempt from VAT, but Utility Tokens will not qualify for tax exemption.

According to Reuters, the Thai government estimates that 128 billion baht ($3.71 billion) worth of investment tokens will be issued in the next two years, which may cause the Thai government to forgo 35 billion baht worth of tax revenue.