Tax on items delivered by post into Thailand

[Jing Joe]

I just heard about a tax that gets collected on items on delivery by post into Thailand from overseas if it is estimated the value to be over 1000 baht.    Is this new?

Any clues about this please?  What about declarations of gift, merchandise, etc etc. Do parcels get opened for valuation?  How does one escape it, and is it a rort?

Edited July 10 by Jing Joe
edit

[Eloquent pilgrim]

 

Hello Joe

Over the last 8 years I have had many items posted to me from the UK. My system has always been; a friend packs the items in an old turned inside out plastic carrier bag, and hand writes the label, making it look as unprofessional as possible.

 

Last year I had some Paul Smith and Oliver Spencer shirts valuing £450 sent this way. My friend wrote a value £37.40 on the declaration slip, and like everything else I have had posted they arrived without a problem.

 

However, just an hour ago, I received a parcel with some M & S underwear and a book posted by my friend last week. He wrote £25 on the value, and this time the parcel arrived with a customs paper attached with a scan code to pay the tax of 14 Baht … yes, 14 Baht.

 

I don’t know how it has been calculated but £25 is circa 1,160 Baht, so it only represents less than 1.5%.

 

Remember, if you buy from an online store to be posted here, they will always declare the correct amount, so you will pay the scaled code depending on what it is.

Also remember that my system is taking a risk to an extent., if they open a parcel and deem the item to be worth more than the declared amount. My friend always removes price tags and labels to try and negate this.

 

 

[Jing Joe]

2 hours ago, Eloquent pilgrim said:

 

Hello Joe

Over the last 8 years I have had many items posted to me from the UK. My system has always been; a friend packs the items in an old turned inside out plastic carrier bag, and hand writes the label, making it look as unprofessional as possible. etc...

"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""

Hello pilgrim, and thank you so much, that was most eloquent 😀, and appreciated.

My latest gift is soon to arrive there and I might post the resulting tax here.

I understand that JingJoe in Thai means kangaroo. 🦘

 

 

 

 

Edited July 10 by Jing Joe
edit

[Liverpool Lou]

4 hours ago, Jing Joe said:

I just heard about a tax that gets collected on items on delivery by post into Thailand from overseas if it is estimated the value to be over 1000 baht.    Is this new?

It was a recent change.  Previously items valued at less than B1,500 were free from VAT and import duty, now they are not, duty, in theory, can be charged.

 

4 hours ago, Jing Joe said:

What about declarations of gift, merchandise, etc etc. Do parcels get opened for valuation?  How does one escape it

Imports are imports, gift declarations are irrelevant to Customs and parcels can be opened.  Unless your package avoids examination or charges it cannot be escaped.  Pay it, same as everyone else does.  Having said that, in the last couple of weeks I have had overseas packages delivered that fall into the revised category and I have not been charged.

[NoDisplayName]

Can't say anything about newly implemented fees, nothing I've ordered from Lazada imported from China has been taxed yet.

 

Relocated from China to Thailand twice.  First time mailed four 12-kg boxes of misc. personal items via China Post, second time 14 boxes.

 

Nothing opened, nothing delayed, nothing taxed.

 

From what I've read on this here forum, you're more likely to be hit with customs fees if sending through DHL or Fedex instead of regular post.

[paahlman]

13 minutes ago, NoDisplayName said:

Can't say anything about newly implemented fees, nothing I've ordered from Lazada imported from China has been taxed yet.

 

Relocated from China to Thailand twice.  First time mailed four 12-kg boxes of misc. personal items via China Post, second time 14 boxes.

 

Nothing opened, nothing delayed, nothing taxed.

 

From what I've read on this here forum, you're more likely to be hit with customs fees if sending through DHL or Fedex instead of regular post.

Lazada i guess, but for sure Aliexpress include the tax in the price. Its prepaid. At least Ali does that for other countries and since tax on all values are now implemented i guess they include Thailand to avoid hassle.

[digbeth]

the online platforms, Lazada, Shopee and maybe Aliexpress are supposed to collect the tax before it ever enters, 

previously anything over 1,500 baht get assessed by the post office and you get a card in your post box to come and pay the tax at the post office, making this for lower amount would mean more workload for the post office, plus most of them use their own courier now

 

[RocketDog]

I guess I just dodged a bullet.

A parcel was delivered to my house yesterday by Thai post that was mailed from the USPS in colorado June 26th.

By complete accident the Customs form that was attached to the Box did not match the contents of that box in any way or shape. The box was obviously opened by customs and there was some broken glass items because of box was half crushed.

 

For the most part the contents seemed undisturbed and nothing was stolen. Nor was there any notice given that the box had been opened by customs as is done in USA.

The most amazing thing of all was that there was some Thai documents taped to the box in an envelope claiming that I had to pay 105 baht VAT and they gave me a link to the several bank accounts that I could wire the money to. The document said the value was less than 1500thb, which it was, so only VAT was charged, no duty.

Why they let the Customs form being completely mismatched from the contents in without comment is anybody's guess.

 

My first reaction after finding broken items was that there was no way I was going to pay them 105 baht. Once I sobered up a little bit I realized that yes of course I would pay them 105 Baht because if I didn't who knows when it might come back to bite me at immigration or some other time coming or going from the country.

 

Their country, their rules. Play the game or leave.

 

I've got four other boxes coming over in the next few weeks so I'll find out if this was an anomaly or not and whether Duty will be charged or not.

 

They only safe observation is that like so many things in this country, inconsistency in application of rules and laws is the norm. It just happened to work in my favor (mostly) this time.

 

[Jing Joe]

4 hours ago, Eloquent pilgrim said:

 

 

 

 

 

Edited July 10 by Jing Joe
deleted. repeat.

[Jing Joe]

Seems  like this has opened a can of varied worms with lots more good information thanks.

Just remembered that about 8 years ago the overseas suppliers had to collect Goods and Sales Tax (GST) at the point of sale and probably passed that to the Australian Gov because thats where the goods were going to.  Messy.  Havent seen this since then, dont know, dont care.

[Ohyesuare]

Yeah it's new. They don't want cheap Chinese goods competing with local Thai goods so their solution is to tax it.

[sandyf]

1 hour ago, RocketDog said:

I've got four other boxes coming over in the next few weeks so I'll find out if this was an anomaly or not and whether Duty will be charged or not.

 

The recent proposals on items coming into Thailand were only regarding VAT, the exemption from import duty for goods under 1500 baht was to remain.

[RocketDog]

14 minutes ago, sandyf said:

The recent proposals on items coming into Thailand were only regarding VAT, the exemption from import duty for goods under 1500 baht was to remain.

For the moment. Enjoy it while it lasts.

[sandyf]

11 minutes ago, RocketDog said:

For the moment. Enjoy it while it lasts.

Obviously you can back that up with some indication of the proposal to apply import duty to goods under 1500 baht.

It doesn't help anyone creating unsubstantiated rumours.

[Luuk Chaai]

I got a box last week from my son that was mailed thru the US Postal Service..

Customes form clearly showed Guitar parts approx $150.00 and 6 bars of soap $6.00

no tax or questions ..  and it got here in 7 days

[LukKrueng]

2 hours ago, RocketDog said:

Once I sobered up a little bit I realized that yes of course I would pay them 105 Baht because if I didn't who knows when it might come back to bite me at immigration or some other time coming or going from the country.

1. It won't come back to bite you at immigration as the systems are not linked, and for good reasons. 

2. When there is any charges for an item mailed into the country, the customs\post office won't release the item BEFORE you pay the taxes\fees. Otherwise nobody is going to pay.

 

A while back I received a replacement item from Australia. In previous cases by the same company on similar replaced items, the invoice showed 0 value so no tax, no VAT. That last time they put a A$100 value and I had to pay about 400 THB. I saw the package at the post office and I was told I could take it up with customs in Bangkok, meaning my local post office will send it back, I'll have to contact customs and wait for it to be sent back to my local post office. I decided that was too much hassles for 400 THB so I just paid and took the package...

[freeworld]

This is the tax news.

 

From May 2024 onwards, the Thai government plans to introduce a 7% value-added tax (VAT) on all imported goods valued at one baht or more, regardless of their origin. However, imported goods priced below 1,500 THB per parcel will be exempted from this tax initiative to alleviate the burden on smaller transactions

[Paris333]

You can search online for Thai Special Customs Fees as it exists in E.U States.

The importation of shipments and parcels into Thailand can be divided into two type.....

Source:

https://www.customs.go.th/list_strc_simple_neted.php?ini_content=individual_160503_03_160922_01&lang=en&left_menu=menu_individual_submenu_01_160421_02

You can also call for confirmation in DHL or any other delivery company.

 

[Letseng]

4 hours ago, RocketDog said:

I guess I just dodged a bullet.

A parcel was delivered to my house yesterday by Thai post that was mailed from the USPS in colorado June 26th.

By complete accident the Customs form that was attached to the Box did not match the contents of that box in any way or shape. The box was obviously opened by customs and there was some broken glass items because of box was half crushed.

 

For the most part the contents seemed undisturbed and nothing was stolen. Nor was there any notice given that the box had been opened by customs as is done in USA.

The most amazing thing of all was that there was some Thai documents taped to the box in an envelope claiming that I had to pay 105 baht VAT and they gave me a link to the several bank accounts that I could wire the money to. The document said the value was less than 1500thb, which it was, so only VAT was charged, no duty.

Why they let the Customs form being completely mismatched from the contents in without comment is anybody's guess.

 

My first reaction after finding broken items was that there was no way I was going to pay them 105 baht. Once I sobered up a little bit I realized that yes of course I would pay them 105 Baht because if I didn't who knows when it might come back to bite me at immigration or some other time coming or going from the country.

 

Their country, their rules. Play the game or leave.

 

I've got four other boxes coming over in the next few weeks so I'll find out if this was an anomaly or not and whether Duty will be charged or not.

 

They only safe observation is that like so many things in this country, inconsistency in application of rules and laws is the norm. It just happened to work in my favor (mostly) this time.

 

The very same rules get applied in EU countries. I had to pay on a 40€ value, VAT, duty, 10€ admin cost.

[Liverpool Lou]

2 hours ago, freeworld said:

owever, imported goods priced below 1,500 THB per parcel will be exempted from this tax initiative to alleviate the burden on smaller transactions

That is incorrect, goods valued less than B1,500 are to have VAT levied.

[freeworld]

12 hours ago, Liverpool Lou said:

That is incorrect, goods valued less than B1,500 are to have VAT levied.

Thank you, you are correct, my first post was probably old news.

 

The latest 1st July 2024 update:

 

THAILAND REGULATORY CHANGES ON VAT COLLECTION FOR IMPORTED GOODS VALUED 1-1,500 BAHT 

Last update: July 1, 2024

On Jun 19, 2024, the Ministry of Finance has issued an exemption of customs duties for items with a value lower than 1,500 baht to align with the government's policy to solve the unfair competition of imported goods in which foreign sellers are currently exempt from Value Added Tax (VAT) while the VAT is imposed for sellers in Thailand. Additionally, Thailand must comply with international agreements, which determines the minimum prices for each imported item to ensure the adequacy of customs duties.

According to the Customs Department Announcement No. 116/2024, the Director-General of the Customs Department with the approval of the Minister of Finance, therefore, has implemented a temporary measure through the Customs Department to collect Value Added Tax (VAT) for imported goods with a value not exceeding 1,500 baht, effective from July 5 to December 31, 2024.

 

Edited July 11 by freeworld

[RocketDog]

12 hours ago, Liverpool Lou said:

That is incorrect, goods valued less than B1,500 are to have VAT levied.

Yes Lou. That's exactly what happened to me.

I was just sharing the facts of my experience.

 

 

Furthermore, as a warning to people using the US POSTAL SERVICE to ship parcels to Thailand, be aware that regardless of their advertised guaranteed delivery dates if they deem flight cancellations as the cause their guarantee is void.

So I paid for 3-5 l day delivery which took 13 days to arrive (crushed and damaged) but will not be compensated. Very nice!

 

As for another reply stating that there is no link to immigration, with all due respect,  I will pay their fee anyway.

 

I have zero faith in the fair machinations of Thai bureaucracy.

 

[Jaggg88]

On 7/10/2024 at 3:27 PM, Ohyesuare said:

Yeah it's new. They don't want cheap Chinese goods competing with local Thai goods so their solution is to tax it.

Correct. There is no import duty on goods under 1500 baht but they now charge VAT on goods of that amount. China is adversely affecting most countries economy by sending low value goods at below cost value. In the UK I used to buy cables from China that were valued at below one pound and were delivered free. It surely must cost more than £1 to post even a small item from China to the UK

[Ohyesuare]

8 minutes ago, Jaggg88 said:

Correct. There is no import duty on goods under 1500 baht but they now charge VAT on goods of that amount. China is adversely affecting most countries economy by sending low value goods at below cost value. In the UK I used to buy cables from China that were valued at below one pound and were delivered free. It surely must cost more than £1 to post even a small item from China to the UK

 

$0.69 for the first 50g. https://www.travelchinaguide.com/essential/postal-service/rate.htm

[john donson]

iherb did go overboard, not 7% VAT but a total of 17% ... wth...

 

and off course you pay tax on SHIPPING COSTS too ????????