Thai Finance Ministry says no VAT hike - yet

[webfact]

Finance Ministry Says No VAT Hike - Yet
By Khaosod English


Prime Minister Yingluck Shinawatra and Finance Minister Kittirat Na Ranong

BANGKOK: -- The Ministry of Finance has aborted its plan to increase VAT by 3%, to 10%, this September, its Permanent Secretary says today.

Mr. Rangsan Sriworasart said the hike would not benefit the public as the current economic situation is not in "desirable" shape.

Nevertheless, Mr. Rangsan added that he has instructed the Fiscal Policy Office to determine how much longer Thailand's valued added tax can be pegged at its current 7% rate.

The Permanent Secretary also expressed his concern to the reports that the taxes collected by the authorities in the first 5 months of the 2014 fiscal year have missed its target by at least 38 billion baht. The Ministry of Finance will discuss the issue with representatives from the Revenue Department, the Excise Department, and the Customs Department in order to remedy the missed target, Mr. Rangsan said.

Income tax particularly yielded a low collection, Mr. Rangsan said, and he speculated that a recent income tax restructing may contribute to the pitfall.

According to Mr. Rangsan, VAT collection also falls below the standard rate, but its current collection ratio remains similar to the same period last year, indicating that consumers' pattern has not been largely affected by the ongoing political crisis.

He said the Ministry will "do its best" to meet the goal of a total of 2.275 trillion baht in tax collection by the end of this fiscal year.

Source: http://en.khaosod.co.th/detail.php?newsid=1396431333


-- Khaosod English 2014-04-02

[patjem]

Are they allowed to push for a change like this when in caretaker-mode, or perhaps this is an attempt by Khun Kitty to find money to pay the farmers, that will flat on it's a$$?

[Pib]

When not bringing in enough tax revenue to pay current bills why is the typical politician's answer to raise taxes versus lower costs? I will say I've seen these govt media releases regarding the 7% to 10% VAT possible increase at least once a year for the past five or so years. I think it's just a periodic release by the govt to try to imply to the public that the current ruling party should be able to keep the VAT at 7% if they can stay in power.

[Baerboxer]

When not bringing in enough tax revenue to pay current bills why is the typical politician's answer to raise taxes versus lower costs? I will say I've seen these govt media releases regarding the 7% to 10% VAT possible increase at least once a year for the past five or so years. I think it's just a periodic release by the govt to try to imply to the public that the current ruling party should be able to keep the VAT at 7% if they can stay in power.

You are probably right.

In which case wouldn't this be blatant electioneering? Can they do that now? Since the Feb election is null and voided, and before a new date is announced, are they allowed to make promises like this? Not that anyone believes their vows and promises. Another one for the EC?

[shirtless]

Governments raise taxes instead of reducing their spending, Its far easier to raise taxes than reduce spending , its entrenched reaction in governments today.reduce spending hell no increase taxes hell yes.

[i claudius]

Governments raise taxes instead of reducing their spending, Its far easier to raise taxes than reduce spending , its entrenched reaction in governments today.reduce spending hell no increase taxes hell yes.

Just like the British Labour party ,tax and spend ,mainly on immegrants and scroungers who will never ever work while they can live on the taxpayers money.

[Craftsman258]

Governments raise taxes instead of reducing their spending, Its far easier to raise taxes than reduce spending , its entrenched reaction in governments today.reduce spending hell no increase taxes hell yes.

I often here this sort of argument here in the UK and ask the question "What services would you cut?". I don't know about much about Thailand or what services the government supplies but the question is still relevant.

[davidmann]

Vat In the UK is 20% ,maybe if they increase Vat they can try to get the children of Thailand a good standard of education ,country may then have some future

[fletchsmile]

This "news" seems to be just a regular formality. Its been this rate "temporarily" since around the Asian crisis. The news would be if they actually changed the rate

It's typically Thai tho to answer "not yet" rather than simply no to questions with a time frame. More polite

Sent from my GT-I9152 using Thaivisa Connect Thailand mobile app

Edited April 3, 2014 by fletchsmile

[robblok]

Vat In the UK is 20% ,maybe if they increase Vat they can try to get the children of Thailand a good standard of education ,country may then have some future

Thailand already spends more as many other counties on education. The problem is corruption and incompetence.. More money means more corruption not better results.

http://www.thaivisa.com/forum/topic/665764-thailand-education-low-ranking-for-quality-despite-high-spending/

[Loles]

If the money is not enough the Chinawattra klan can't steal enough also. Greedy hungry chinese family.

[Krataiboy]

Governments raise taxes instead of reducing their spending, Its far easier to raise taxes than reduce spending , its entrenched reaction in governments today.reduce spending hell no increase taxes hell yes.

Just like the British Labour party ,tax and spend ,mainly on immegrants and scroungers who will never ever work while they can live on the taxpayers money.

If you are going to spew racist rubbish, at least learn to spell the word which describes the objects of your displeasure. It's immigrants, not immegrants. Incidentally, possessive nouns need an apostrophe.

You are the living proof that, for all its faults, Labour is absolutely right to make education a priority.

Interesting avatar, by the way. One can only assume you are unaware that the Roman emperor Claudius and his legions were among our very first "immigrants and scroungers".

Such a pity you were not around in 43 AD to welcome them.

[mccw]

^ technically speaking - it's the immigrants doing most of the hard work low level jobs in UK. UK Citizens youth are think it's beneath them- they would rather claim benefits and get high. Refugees get an even better free ride and actually are forbidden from working until their status is established- which takes years and years.

Facts

Not racist - plain strait facts.

Look up the numbers.

Welfare, NHS and pensions 3 biggest budgets. What ever is saved on welfare will just get eaten by the other toe as the ageing demographics take effect.

Doomed I tell ye ; DHoooooomed 55

[samran]

Fark. Didn't take the whinging Brits long to turn a thread on Thai VAT into one about immigrants in the UK.