Thailand has no immediate plans to introduce its proposed 1,000-baht departure tax for air travellers, the Bangkok Post reported on Thursday (22 October). Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas told ThaiPBS that the government wants to keep the country’s tourism momentum going. No new start date has been set.
What was proposed
The Revenue Department’s draft law would charge travellers of every nationality 1,000 baht each time they fly out of Thailand. The draft caps the rate at 5,000 baht a departure, with the actual rate set by ministerial regulation, as the Bangkok Post set out. Airlines would collect the tax with the ticket price, and departures by land and sea would be exempt at first.
The Revenue Department opened a public consultation on the draft on 30 September. It runs until 29 October.
Why it is on hold
Ekniti tied the decision to the boost from Thailand hosting the IMF and World Bank annual meetings this month, with more arrivals expected in the final quarter of the year. He also pointed to the conflict in the Middle East, which has pushed up energy prices and airline operating costs, and warned that new taxes on travellers or airlines could stifle the recovery of the tourism sector.
Any future tax decision will follow Section 26 of the State Fiscal and Financial Discipline Act.
The industry’s estimate
The Association of Thai Travel Agents (Atta) estimates that the tax could cost Thai tourism between 50 billion and 150 billion baht in revenue a year. The tax itself was expected to raise 45.9 billion baht. Airlines opposed the levy over its timing, and Thaiger reported that the Thai Hotels Association also came out against it.
The 450-baht entry fee is separate
The pause covers only the departure tax. The proposed 450-baht tourist entry fee for foreign visitors is a separate measure under the Ministry of Tourism and Sports, and it remains under consideration. No start date has been set for it either.
