Thailand ESG Extra Fund : Thai ESGX is a mutual fund that offers tax benefits, supporting both the transfer of investment units from long-term equity funds (LTFs) and the new investments. This new fund was established to support government tax incentive measures and promote responsible investment while fostering the long-term sustainability of Thai listed companies and the Thai capital market.
The fund aims to invest in assets issued by entities or businesses in Thailand that meet sustainability criteria similar to the Thailand ESG Fund (Thai ESG). At least 80% of the fund's NAV will be invested in these qualifying assets on average throughout the accounting year, with at least 65% invested in sustainability-focused equities on the same basis.
 


Tax Benefits and Conditions of Thai ESGX
The fund offers two separate tax deduction limits (not combined with the THAI ESG fund's deduction limit) under the following conditions:

• Tax Deduction Limit 1 for new investments in the Thai ESGX fund:
  • Deduction limit: Up to 30% of assessable income, capped at 300,000 THB (for the year 2025 only).
  • Investment period: Open for investment within 2 months (expected May - June 2025).
  • Holding period: At least 5 years (calendar-day calculation from the investment date).
• Tax Deduction Limit 2 for all LTF investment units transferred to the Thai ESGX fund*
  • Tax deduction limit based on transferred amount (up to 500,000 THB), gradually deductible over 5 years from the 2025 to 2029 tax years, with the deduction allocated as follows:
    • 1^st year (2025): Up to 300,000 THB
    • 2^nd - 5^th year (2026 - 2029): Up to 50,000 THB annually
  • Transferring period: Open for transfers within 2 months (expected May - June 2025).
  • Holding period: At least 5 years (calendar-day calculation from the date the transfer order is placed from the original LTF to Thai ESGX).

Remarks:
*Investors must switch their LTF units to the Thai ESGX fund, which is expected to allow switching between May and June 2025. The required amount to be switched includes all LTF units held across all AMCs as of the Cabinet's approval date for the Thai ESGX fund establishment (11 March  2025). Therefore, any LTF redemption or switching transactions to other funds, regardless of the amount, made after this date will not be eligible for the second tax deduction limit.

• Failure to transfer all LTF investment units across all asset management companies will disqualify investors from Tax Deduction Limit 2.
• Redeeming investment units before the 5-year holding period will require the repayment of exempted taxes plus any applicable penalties as per legal or regulatory requirements. Additionally, if there is a capital gain from the sale, it must be reported as taxable income.

Source: The Securities and Exchange Commission (SEC), data as of 11 Mar’25

Krungsri Asset Thai ESGXs coming soon!
For more informaiton/ Q&A, click here (Thai only) 

The Thai ESG / Thai ESGX funds promote long-term savings and encourages sustainable investment in Thailand.
 This document is published for general information, compiled from reliable sources as of the displayed date. The company cannot guarantee the accuracy, reliability, or completeness of the information provided. The company reserves the right to amend any information without prior notice.
 Investors should understand the product features, return conditions, risks, and tax benefits in the investment manual before making investment decisions. Investors will not receive tax benefits if they fail to comply with investment conditions.

For more information, please contact Krungsri Asset Management at 02-657-5757 ext. 2