Thailand boosts consumption with tax break

The Thai Government has passed a tax incentive to encourage shopping activities across the country at year’s end, boosting domestic consumer spending (Photo: www.nationmultimedia.com)

Bangkok (VNA) – The Thai Government has passed a tax incentive to encourage shopping activities across the country at year’s end, boosting domestic consumer spending.

The scheme runs in 23 days, starting November 11. Each individual taxpayer is allowed to deduct up to of 15,000 THB (450 USD) from the value of goods and services purchased.

The Finance Ministry of Thailand estimates that the incentive will cost two billion THB (60 million USD) of tax collection. However, retailers and other sectors will rake in revenue of 10 billion THB (300 million USD).

The scheme was not valid for purchases of alcoholic drinks, tobacco, hotel rooms, airline tickets, automobile, motorbikes, ships and fuel. It is not applicable for tourists and foreigners, as they will be offered different incentives in the coming time.

The tax break has been launched for the third consecutive year in Thailand to boost national economic growth.-VNA