Alcohol, cigar duty cuts dangled to lure foreigners

[reader]

Planners of this scheme seem to believe that if you are a wealthy foreigner then you must automatically be a cigar-smoking alcoholic who'll move to Thailand so you can buy a bottle of Scotch at almost the same price you can at home.

From Bangkok Post

The Customs Department is preparing to lower duty on the import of alcoholic beverages and cigars by 50% for five years in line with the government's economic stimulus and investment promotion package.

Patchara Anuntasilpa, director-general of the department, said the cuts are in accordance with the Sept 14 cabinet resolution involving plans to revive the post-Covid-19 economy by encouraging wealthy foreigners and highly skilled professionals to stay and work in the country.

The scheme is hoped to draw more than a million qualified people to Thailand over the next five years and generate about a trillion baht over the period. Cuts in import duties will be part of the mix.

The group is expected to spend on average 1 million baht per person per year while staying and working here.

Benefits in the package also include a 10-year Thai visa for approved special visitors along with their spouses and children, the same rates of income tax as Thai citizens, a tax exemption for income earned abroad, and the right to ownership of property and land.

Mr Patchara said that about 30% of products are likely to be covered by the planned cuts and ministerial regulations will be announced after the changes are made. He said the department is also preparing to revise custom procedures for personal items for arriving and departing passengers.

Meanwhile, Roengrudee Patanavanicha, a researcher on tobacco control, said the Customs Department's move caught her off guard because the new excise tax structure for cigarettes is expected to take effect next month.

Under the new system, a flat tax rate of 40% will be applied to cigarettes, regardless of the retail price.

She said the new tax could help reduce smoking among teenagers and generate revenue for the state.

She dismissed claims that maintaining high cigarette prices will result in an increase in the smuggling of contraband cigarettes.

https://www.bangkokpost.com/business/2184367/alcohol-cigar-duty-cuts-dangled-to-lure-foreigners

[spoon]

The next question is will drink price in bars reduced though? Hehe

[Guest]

5 minutes ago, spoon said:

The next question is will drink price in bars reduced though? Hehe

According to the type of bar I'm in, a beer usually costs me between 79 and 450 baht.    Water costs something similar.

In the supermarkets and 7-Elevens, it's around 40 baht.

I suspect the official taxation is not a significant component of the price I pay in bars, although unofficial taxation in the form of bribes paid by the bars probably is.