Thailand rejects introduction of tourist tax

tourist tax

Thailand will abandon an unpopular proposal to introduce a tourist levy at airports, Prime Minister Settha Thavisin confirms

Thai Prime Minister Settha Thavisin has said the government will drop the previous administration’s proposal to charge a 300 baht tourist levy on foreign travellers arriving in Thailand by air, the Asian News Network reported.

Settha revealed that the government needed to consider implementing the policy proposed in February 2023, which met with resistance from the private sector.

The prime minister said that while the 300 baht per person levy would generate short-term revenue, the broader perspective suggests that allowing more tourists to enter without the levy would encourage them to spend the money on shopping and other activities.

The prime minister added that this would stimulate the economy and generate more revenue for the government than the entry fee itself.

Seththa said the views of all stakeholders should be considered in any decision-making. The Prime Minister added that if the government could generate additional revenue from other sources of taxation, funds could be allocated to support tourism as and when required.

When asked about Thailand’s drop to 47th out of 119 countries in the World Economic Forum’s (WEF) Travel and Tourism Development Index—down six places from 2019—Settha said he wanted to be constructive rather than play the blame game.

Settha said: “The government is endeavouring to develop every aspect continuously. And we must respect the previous government because all governments agree that tourism is an important flagship that can generate significant revenue for the country.”

"Various surveys have recognised many cities and islands in Thailand as world-class tourist destinations. We should encourage reasonable views that can lead to further development rather than listen to some discouraging opinions."

Settha also spoke about the progress of talks with technology giant Apple on establishing a Startup Centre at Chiang Mai University’s Science and Technology Park. According to the Prime Minister, Apple is ready to make an initial deal, and the location has already been identified. Talks with the president of Chiang Mai University recognised the potential of this cooperation.

Settha added that he is very keen to expand this cooperation and open an Apple Developer Academy in Thailand. He also mentioned that the team is organising a visit by Apple executives to finalise the deal by the end of 2025.

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