RSM Focus - Newsletter for January 2022 RSM Taxation Services Thailand Topic: New Year gifts from the government

by Kodchaporn Supramonklachai

1.    The government has approved the “Shop Dee Mee Kuen” (shop and pay back) program for shoppers, who are individuals, to claim a tax rebate on up to THB 30,000 worth of purchases for goods and services in Thailand from VAT registrants, including the purchase of books in the form of electronic data through the internet and goods from the One Tambol One Product (“OTOP”) registered with the Community Development Department based on the actual payment for goods and services up to THB 30,000.

This tax incentive starts on 1 January and ends on 15 February 2022. The program excludes some goods and services in categories such as alcohol, beer, wine, tobacco, accommodation, etc., which is in accordance with the announcement of the Director-General of the Revenue Department.

Please refer to the following link for more details.

2.    Exemption of license fees on businesses which sell liquor, tobacco, and playing cards starting from 1 January to 31 December 2022. This is to mitigate the impact that entrepreneurs have suffered from the COVID-19 pandemic during the year 2021.

3.    Excise tax rate reduction on airplane fuel (jet fuel) to 0.20 Baht per liter, effective from between 1 January and 30 June 2022. This is to stimulate the overall economy of the country as well as to support the tourism industry, especially airline businesses, to be able to restore and resume normal business as quickly as possible.

4.    Fees reduction on property transfers and mortgage registrations from 2% to 0.01% for residential and commercial buildings up to no more than THB 3 million. This campaign is valid until 31 December 2026. 

5.    An extension of tax exemptions i.e. corporate income tax (“CIT”), value added tax (“VAT”), specific business tax (“SBT”) and stamp duty (“SD”) on debtors and creditors for the debt restructuring of financial institutions' debtors, non-financial institutions’ debtors and debtors of other creditors who have negotiated with financial institutions according to the rules prescribed by the Bank of Thailand from 1 January 2022 to 31 December 2026.

6.    The Specialized Finance Institution under the Ministry of Finance has announced a low interest loan program to reduce interest rates, by levied state-run banks and cash back for customers with good credit ratings.

Please refer to the following link for more details.    (for No.2 – 6)

7.    The Ministry of Energy has capped petrol prices for 11 days and held diesel fuel prices, capped at THB 30 per liter, until 31 March 2022.

8.    The Ministry of Energy is also providing discount coupons of THB 500 for the purchase of electrical appliances with a “Number 5” maximum energy saving.

Please refer to the following link for more details. (for No. 7 - 8)

9.    Reduction of interest rates at pawn shops run by local administrative organizations.

Please refer to the following link for more details.

10.    An extension of the Tour Teaw Thai travel stimulus scheme from 31 January 2022 to 30 April 2022.

Please refer to the following link for more details.

11.    An extension of the loan repayments reduction period to the Student Loan Fund from 31 December 2021 to 30 June 2022.

12.    The Expressway Authority of Thailand has announced toll fee waivers starting from 30 December 2021 and ending on 3 January 2022 on tollways including the Burapha Withi Expressway (Bang Na - Bang Pakong), Kanchanaphisek Expressway (Bang Phli-Suksawat), etc.

Please refer to the following link for more details.

13.    The Ministry of Natural Resources and Environment has announced entrance fees waivers at 133 national parks starting from 31 December 2021 and ending on 1 January 2022.

Please refer to the following link for more details.

This article was put together by Khun Kodchaporn Supramonklachai one of RSM’s Senior Thailand Tax Consultants based on information released by the Thai Revenue Department. If you need any tax advice regarding government new year gifts or any other accounting or tax advisory services, she can be contacted on [email protected].