The Thai government will discuss the taxation of both land and property at a cabinet meeting later this month or early in March.
The move, part of the government’s plans for tax reforms, involves the modification of existing customs and excise tax regulations as well as collection of inheritance tax and land and property taxes.
Thailand’s Ministry of Finance has expressed its confidence that this year’s economic growth will hit four percent as expected, saying that the government’s economic stimulus plans are beginning to take effect.
According to Ministry of Finance Permanent Secretary Rangsan Siworasat, the four percent economic growth forecast will be attributed to an increase in value-added tax to be collected this year thanks to a rise in public consumption and the investment-boosting strategies.
Although the amount of corporate income tax collected as of now is still below the target, Rangsan said the drop actually resulted from the government’s offer of tax cuts to business operators as part of the efforts to boost investment.
To expedite the economic expansion, the government this year will focus on development of infrastructure, establishment of special economic zones and issuance of tax and non-tax incentives for investors and small and medium-sized enterprises.
For the grassroots economy, the Ministry of Finance will launch a nano-finance project to offer low income earners access to funds which is expected to reduce their reliance on loan sharks.
Andrew Batt, International Group Editor of PropertyGuru Group, wrote this story. To contact him about this or other stories email andrew@propertyguru.com.sg
