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Govt Urged to Cut Oil Tax by 2 Baht/Liter

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BANGKOK, Feb 4 (TNA) – An academic proposed the government cut the excise tax on oil by two baht per liter to relieve the burden of the state Oil Fund that is subsidizing fuel prices.

 

Independent academic Praipol Koomsup said the Oil Fund was already 14 billion baht in the red for subsidizing diesel and cooking gas prices and the subsidization could not continue if the crude price reached US$100 a barrel due to conflicts in the Middle East and between Ukraine and Russia.

 

He proposed the government reduce the excise tax on diesel and petrol by about two baht per liter from nearly six baht per liter. Otherwise, the government could not continue to cap the diesel price at 30 baht per liter, he said.

 

Full story: https://tna.mcot.net/english-news-876177

 

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-- © Copyright TNA 2022-02-04
 

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"Govt Urged to Cut Oil Tax by 2 Baht/Liter"

 

And stupidity by 200%

6 baht a liter in tax revenue.

20% is pretty high.

 

 

17 hours ago, MrJ2U said:

6 baht a liter in tax revenue.

20% is pretty high.

 

 

Not really - 66% of the pump price in uk is taxes! It’s over double Thai price 

Complete waste of money, with other priorities far more pressing with regards to the economy.

2 minutes ago, Andycoops said:

Complete waste of money, with other priorities far more pressing with regards to the economy.

Submarines....?  ????

4 hours ago, nchuckle said:

Not really - 66% of the pump price in uk is taxes! It’s over double Thai price 

It's probably higher still in some countries.

 

Actually the tax in the UK is around 55% at the moment as the price has gone up. It was 68-70% in June this year and 75% in February 2016. There are 2 taxes on fuel. VAT at 20% so it goes up and down with the price and fuel duty which is 58p so becomes a greater or lesser percentage depending on price. It is slightly different depending on whether it's petrol or diesel as they are different prices. The higher the price the lower the percentage. In 2016 it was at a low price hence the high percentage and then it started to drop possibly due to uncertainty over the forthcoming referendum then after the Brexit referendum amongst other things the value of the pound dropped against the US dollar in which wholesale fuel is priced so making the price higher for a while and the percentage lower.

This is a good source for the percentage.

 

https://www.racfoundation.org/data/taxation-as-percentage-of-pump-price-data-page

 

I'm having trouble understanding the article. If you reduce the excise tax won't that reduce the money the government has to subsidise the fuel. I'm sure I'm just missing something here.

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