The Ministry of Finance today proposed a tax break of 15,000 baht per person in the ‘Shop for the Country’ campaign for the cabinet to approve today.
The shopping tax break is one of several financial measures it agreed to roll out to stimulate consumption in order to spur economy.
User this measure, consumers will be given tax breaks for purchases made from December 15-31.
It said the ‘Shop for the Country’ campaign is aimed at stimulating consumer spending in the period leading to year-end.
Under the plan consumers will be given a maximum tax deduction not exceeding 15,000 baht per person and even though this will mean that the government will be losing approximately 5 billion baht in tax income, this will be offset by an increase in Value Added Tax (VAT) of between 6 to 7 billion baht.
This in turn, will have a positive impact on the GDP of the country.
Source: Thai Public Broadcasting Service (Thai PBS)