Bangkok (VNA) - The Thai Excise Department will begin imposing a 45% tax on imported vintage cars in fiscal year 2026, a move expected to generate an additional 1-2 billion THB (31.4 -62.9 million USD ) annually for the government.
The new regulations will also restrict the use of these vehicles to Saturdays, Sundays, and public holidays, though exemptions for special events may be granted with police permission.
According to Kulaya Tantitemit, Director-General of the department, the tax is intended to position Thailand as a hub for vintage car exhibitions and to bolster the domestic car restoration industry.
Kulaya stated that this tax will apply exclusively to vintage cars imported. Initial conditions require a vehicle to be at least 30 years old, but the country may announce specific models and use international reference prices in the future.
The Director-General confirmed that the tax will not apply to vintage motorbikes or cars already in Thailand.
The announcement comes as the Excise Department expects to exceed its revenue target for the current fiscal year. For the first 11 months of fiscal year 2025, the department collected 489 billion THB, a 1.6% increase from the previous year.
It forecasts a total of 535 billion THB by the end of the fiscal year, and has set a target of 609 billion THB for 2026.
This growth has been driven by a one-baht-per-litre increase in excise tax on petrol and diesel and a tax reduction for entertainment venues, which has boosted tourism revenue.
However, Kulaya noted that overall vehicle tax revenue has declined due to government support for electric vehicles (EVs) and a general slowdown in consumer demand.
Since March 2022, 233,000 EVs have been registered, with the government having paid out 11.2 billion THB in subsidies.
In addition to the vintage car tax, the department is studying several other tax reforms, including a new tax on batteries, a sweetness tax on beverages, and a careful review of the current two-tier tax structure for cigarettes./.
