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It's a wait and see game - smokers and drinkers will discover tax fate on Saturday


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7 hours ago, fforest1 said:

Well if they get less tax money they will have to raise the tax even more to make up the difference...Which will cause tax money to go down even more so they will have to...you know the rest....

Yes, it's a bit like the bar turning the music up because they only have 1 or 2 customers, and when they suddenly have no customers they wonder why?

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8 hours ago, SABloke said:

They must think I love wine a lot more than I do. I spend 1,000 Baht a week on wine from the supermarket. They got some tax on that. If these figures are correct I can confidently say that from next week I will spend 0 Baht on wine. They will get nothing. Good plan - all for the 'health' of the Thai people.:saai:

I think that they mean that if the price is so much higher, Thai people will smoke and drink less - thus be healthier. Not by having the tax money to treat the related diseases. So if you are right and people will spend 0 baht on alcohol and smokes - they actually succeeded. 

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"Sanook said that the fundamental reasoning behind the new measures was to raise the health of the Thai people."

 

So, to achieve this, the government is raising prices assuming that Thai people will smoke less and drink less, thereby improving their health; I can't see that happening.  The result will likely cause more hardship for the poorer families, fleecing their pockets for every last baht, and will no doubt push the crime-rate up.

 

But, never mind!  When the Hi-end women start rolling in to play golf and swim in the cess-pit of a sea, TaT will anounce another bumper year for tourism, thanks to the extra money made available from the taxes.

 

Meanwhile, the carnage on the roads will continue, the first kilometre of the high-speed rail line will be nearly completed, and Pattaya will be like a ghost town.

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Yeah, interesting government strategy, as always.  Instead of concise, transparent and honest government communication, with a 2-3 month warning of a substantial "sin" tax increase, noooo.   They'll be secretive, aloof, show the false facade of good governance.  Kind of reminds me of the Thai police force, Thai justice system, Thai land ownership, Thai car ownership, Thai immigration, owning a Thai business and Thai women.  Rock solid, you always know where you stand........................or something :)

Edited by CanuckThai
penmanship
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If these numbers are to be believed, the street price of beers and wine are going to go through the stratosphere and definitely result in the highest retail prices for hooch in the world. However analysis reveals some strange numbers. On googling the highest alcohol prices in the world I found that the excise duty on beer and wine was highest in Singapore, Norway and Hong Kong. The rates for Singapore were stated as  "S$70 per litre of alcohol for wine and champagne (for a 750ml bottle of wine with an alcohol content of 13.5%, that's just over S$7) on top of which sits the 7% GST".

 

Therefore the devil is in the detail. What they are actually taxing is the alcohol content and not the balance. Hence the tax of 1400baht on a 13% bottle of wine would be 182baht. It's going to put the price up but not by as much as many may think. Same applies to beer.

 

Slange' guys and gals!

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These numbers can't be right. The author of the article likely can't count -- in general, math and Thai don't mix too well -- or doesn't understand the application of the new taxes. If prices went up by this much the trade in contraband alcohol and cigarettes would go through the roof due to the price differential between Thailand, and all the regional neighbors.

Saturday will likely be a dark day, but not nearly as dark as the article suggests.

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From left to right:
Cigs 3 to 5 THB
Whiskey (like khao lao) 160 to 312 THB
Beer 41 to 78 THB
Wine 225 to 1400 THB
 

Implementing morality and virtual prohibition through excessive taxation.  Grand plan.  If they implement it, they've just killed their domestic wine industry with other alcoholic beverages companies not far behind.  One of two things happen: Stills become popular, or the public simply revolts, especially those in the North and Northeast, and 'red' becomes a popular color again.  I know this will go over like a lead balloon in our village.  After a backbreaking day in the field, Thai country folks like their Khao Lao rice whiskey.  

Edited by connda
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I'm sure people will still pay, in Oz every time the government increases alcohol and cigarette tax they say Oh that's rediculouse I'm not going to pay that, but they still do. Same same "it's for your health, we will put the tax back into health programs"

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I went to a Big C Market store this evening and they were restricting sales to one per person, whether it was a box of 12 or a single bottle. So my wife went through with a box and I lined up behind her to pay for some wine separately.  No. Cannot. I had to use a different till, even as a different customer (<deleted>!). I also had bought three bottles and they at first refused to sell that to either of us. And then they did. TIT.

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2 hours ago, LukKrueng said:

I think that they mean that if the price is so much higher, Thai people will smoke and drink less - thus be healthier. Not by having the tax money to treat the related diseases. So if you are right and people will spend 0 baht on alcohol and smokes - they actually succeeded. 

You are hilarious!

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8 hours ago, idman said:

Pile as much taxes on to the price of cigarettes as they want and hopefully a lot less people will die. The only way to stop people from killing themselves and others with their second hand smoke is to make it economically painful to continue with this horrible habit. As for small increase in the price of alcohol, <deleted>, if you are penny pinching just make small changes in other areas and continue on. Or, instead of your Tiger, Carlsburg, Beer Lao, Corona, etc. lower your bloody standards and drink Archa. You can actually drink less and feel just as bad in the morning with Archa and you have outwitted the increase in price.

I agree but dont forget to tax cars out of existence , nasty pollution enablers and environmental disasters. Walking and riding bicycles is the way forward right ?

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Anyway this illegal government wants to attract more people ? Well I am sure that some, put off by immigration problems, feeling like being the enemy, now being punished, to drink booze that is at home a quarter the price, will certainly be motivated to look elsewhere. The farang has become under this government enemy n° 1, and just good to fill the pockets of the Thais. 

Edited by indieke
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So called "quality tourists" tend not to be stupid over prices, afterall you don't get rich by throwing your money away.  They also tend to be the major wine drinkers.  So now holidays in Lao, Viet and Cambodia will profit.  As for Pattaya - RIP.

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10 hours ago, Thian said:

Winelovers should go to the mediterraneancoast of Europe....very cheap and everything is perfect there. No humid air, great beaches, all safe and controlled by police, polite people with good manners, cigarettes for 4 euro, not many traffic accidents, good transport..and of course a very clean sea with great blue clear water.

So that's why the north africans are flocking there in great numbers......who'd have thunk they were wine lovers....learn something new everyday.

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5 hours ago, heybruce said:

I'm surprised, I'm pretty sure that brewing for personal consumption is illegal in Thailand.  Also, from what I can tell from the prices, home-brewing won't be cheap. 

 

You also will have to deal with the issue that you will need a cool (for ale) or cold (for lager) place to let the wort ferment for a few weeks.  There are also water quality issues, space requirements, etc.  Home-brewing isn't a realistic option for a lot of people.

In oz I used rainwater and the climate was similar to here....never any problems.

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11 hours ago, robblok said:

Yes it would, but excessive tax will backfire and result in lower tax income. I am not sure how stupid they are here but there must be some people who have heard of price elasticity of demand and studied commerce. So I would hope they are not going to shoot themselves in their foot. 

I think the objective here is to reduce consumption, not increase revenues. They did the same thing to soft drinks that are full of sugar. 

 

Market elasticity will determine the outcome. 

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