Important Tax News for Hotels in 2026!

Thai Gov Greenlights Double Tax Deduction to Support Hotel Renovations

The Thai Revenue Department has announced a major economic stimulus package for the tourism sector. The Royal Decree on Exemption from Revenue Taxes (No. 800) B.E. 2568 has been issued, offering significant benefits for hotel businesses. Under this measure, businesses can claim an additional 100% tax deduction for costs related to additions, alterations, and renovations of their hotel properties. The initiative aims to elevate Thai tourism standards and attract private sector investment.

On December 29, 2025, the Royal Gazette published the Royal Decree Issued Under the Revenue Code Governing Exemption from Revenue Taxes (No. 800) B.E. 2568, which became effective the following day. The primary objective is to encourage hotel operators to invest in their assets, thereby enhancing competitiveness and stimulating long-term economic growth.

Who is Eligible and What are the Benefits?
This tax incentive is available to companies or juristic partnerships licensed as hotel operators under the Hotel Act. The key details are as follows:

Tax Exemption Benefits: Businesses can claim an additional 100% deduction.
Qualified Expenses: The deduction applies to costs incurred for the addition, alteration, expansion, or renovation of assets used specifically in hotel operations.
Eligible Asset Types:

Permanent buildings used for hotel business activities.
Permanent fixtures or furniture that are built-in or permanently attached to the hotel building.

Investment Period: To qualify, expenses must be paid between October 29, 2025, and March 31, 2026, only.