Thai Police Bust Multi-Million Baht Sex Toy Smuggling Ring

[webfact]

Booked Out: Tax laws lined up to target Phuket Airbnb rentals, unregistered hotels
Tanyaluk Sakoot


Officials are targeting the slew of low-key illegal accommodation venues in Phuket. Photo: Tanyaluk Sakoot

PHUKET: -- Governor Chamroen Tipayapongtada has assembled a task force to investigate the scourge of illegal hotels on the island, with more than three of every four hotels in Phuket believed to be operating illegally.

“Non-registered hotels offering rooms for rent is a worrying issue, and for this I am not working with the Phuket office of Tourism Authority Thailand (TAT),” Gov Chomroen told The Phuket News this week.

“Only the Revenue Department, the Tourism Business and Guide Registration and some other officials are involved,” Gov Chamroen said, though declined to identify specifically which officials.

“The committee is to conduct in-depth investigations. They will report their findings directly to me by the end of March, and we will consider what action to take then,” he added.

Confirmation that the Revenue Department will be among those spearheading the purge concurs with the strategy proposed by Tourism Minister Kobkarn Wattanavrangkul in Bangkok last Friday (Mar 4).

Full story: http://www.thephuketnews.com/booked-out-tax-laws-lined-up-to-target-phuket-airbnb-rentals-unregistered-hotels-56561.php


-- Phuket News 2016-03-11

[trogers]

This who answer the question on whether it is legal to rent out your condo unit like a hotel...

[sunnyjim5]

Airbnb claims 300+ available rentals on Phuket !

[Goldieinkathu]

It's was obvious that this was coming.

[simon43]

2 weeks ago, all those who offer accommodation in Amphur Thalang were summoned to a meeting at the amphur where it was explained that due to complaints from the major 4 and 5-star hotels about unregistered hotels and private accommodation, all such accommodations had to legally 'upgraded' to hotel status, if they had more than 4 letting rooms.

(Quite how this cracks down on private rented accommodation that is listed on Airbnb is not clear - lettings of this type are usually a single condo room).

The irony of this is that many of us who attended the amphur meeting have been operating legally-registered guesthouses of 10 guest rooms or less, and we all had the correct licencing documents, as issued by our local OrBorTor.

Now all of us are being 'upgraded' on paper to hotel status.

Why is this necessary when our current documents/licences are correct? I guess it has to do with the tax document that I received a few days ago in the post. As my little B&B is now a 'hotel', (same as JW Mariott), I am now required to pay an additional 'hotel' tax of 1% of my estimated income, (in addition to the 'guesthouse' tax that I have been paying to the OrBorTor'.

Oh, I'm still not permitted to join the Thai Hotels Association, (who represent legally-registered 'hotels'), because they don't allow small 'hotels' to join their wonderful association.

[sunnyjim5]

2 weeks ago, all those who offer accommodation in Amphur Thalang were summoned to a meeting at the amphur where it was explained that due to complaints from the major 4 and 5-star hotels about unregistered hotels and private accommodation, all such accommodations had to legally 'upgraded' to hotel status, if they had more than 4 letting rooms.

(Quite how this cracks down on private rented accommodation that is listed on Airbnb is not clear - lettings of this type are usually a single condo room).

The irony of this is that many of us who attended the amphur meeting have been operating legally-registered guesthouses of 10 guest rooms or less, and we all had the correct licencing documents, as issued by our local OrBorTor.

Now all of us are being 'upgraded' on paper to hotel status.

Why is this necessary when our current documents/licences are correct? I guess it has to do with the tax document that I received a few days ago in the post. As my little B&B is now a 'hotel', (same as JW Mariott), I am now required to pay an additional 'hotel' tax of 1% of my estimated income, (in addition to the 'guesthouse' tax that I have been paying to the OrBorTor'.

Oh, I'm still not permitted to join the Thai Hotels Association, (who represent legally-registered 'hotels'), because they don't allow small 'hotels' to join their wonderful association.

I was under the impression that the 1% tax is the "tax" paid to the OrBorTor.

A friend in Patong tells me this and he runs a small, legal guest house/hotel.

He has not been asked to pay any additional tax.

NB

I doubt the "big" hotels are losing much business to small hotels/guest houses who cater to a very different demographic than do 4* & 5* places.

[simon43]

I doubt the "big" hotels are losing much business to small hotels/guest houses who cater to a very different demographic than do 4* & 5* places.

You might well be correct. But it is the association which represents these major hotels that has been complaining about loss of business to small hotels and the Airbnb rooms.

I was under the impression that the 1% tax is the "tax" paid to the OrBorTor.

In Amphur Thalang, the OrBorTor levies a tax based on expected occupancy levels and facilities offered by the hotel or guesthouse, such as restaurant and swimming pool.

The 1% tax is a tax levied only on registered hotels, not on registered guesthouses. In 12 years of operating licenced guesthouses in Thalang, I have never been asked to pay the 1% hotel tax because my business was not a 'hotel'.

But back to the original news story about Airbnb, I am sure many licenced hotels and guesthouses have lost business to these condo lets on Airbnb. Personally for me, I'm doing fine.

The crackdown on Airbnb sounds similar to the crackdown on GrabTaxi.

[user82374298374]

And I'm sure that you're refunded any excess taxes if the estimates are too high, yes? Right?

[LivinginKata]

And I'm sure that you're refunded any excess taxes if the estimates are too high, yes? Right?

I've always been refunded any excess income tax paid. I overpaid most years, get a cheque sent about a couple of months after I file my annula tax return ... really no problem there.

[simon43]

And I'm sure that you're refunded any excess taxes if the estimates are too high, yes? Right?

Happily, I've always thought their estimates were very fair, so never had cause to request a refund.

[DrDave]

2 weeks ago, all those who offer accommodation in Amphur Thalang were summoned to a meeting at the amphur where it was explained that due to complaints from the major 4 and 5-star hotels about unregistered hotels and private accommodation, all such accommodations had to legally 'upgraded' to hotel status, if they had more than 4 letting rooms.

(Quite how this cracks down on private rented accommodation that is listed on Airbnb is not clear - lettings of this type are usually a single condo room).

The irony of this is that many of us who attended the amphur meeting have been operating legally-registered guesthouses of 10 guest rooms or less, and we all had the correct licencing documents, as issued by our local OrBorTor.

Now all of us are being 'upgraded' on paper to hotel status.

Why is this necessary when our current documents/licences are correct? I guess it has to do with the tax document that I received a few days ago in the post. As my little B&B is now a 'hotel', (same as JW Mariott), I am now required to pay an additional 'hotel' tax of 1% of my estimated income, (in addition to the 'guesthouse' tax that I have been paying to the OrBorTor'.

Oh, I'm still not permitted to join the Thai Hotels Association, (who represent legally-registered 'hotels'), because they don't allow small 'hotels' to join their wonderful association.

So according to the Governor's figures then, I suppose that only 1 in 4 businesses offering accommodation in Thalang actually showed up for the meeting ?

I don't know how they could actually go after the AirBnB guys, as they're typically just individuals living outside of Thailand casually renting out single units. How would they go about identifying them and collecting any tax??? On the other hand, it seems it would be very simple to catch the unregistered guesthouses. In Patong, for example, just cruise along Sai Kor, Nanai and the side sois looking at the guesthouse signs and cross-reference to a list of licensed businesses. How difficult could that be? They could nab dozens in a single day with very little effort.