6 Tax Relief Measures Mid-Year 2019: Don't Forget to Request Your Receipt After Shopping
As we all know, the economy in our country is currently experiencing a continuous slowdown. This has certainly impacted Thailand's exports and services, as well as consumer purchasing power. A clear indication of this is the (high) expenses that do not correlate with income (which remains the same or has decreased). But don't lose heart just yet...
Recently (April 30, 2019), the Ministry of Finance has taken action to help us breathe a little easier by introducing urgent measures to support the economy during mid-2019, aimed at preventing and managing economic risks. These measures include personal income tax relief, which should please travelers and shoppers alike, as well as parents who need to spend money for their children's school opening. Let's take a look at the measures that the general public can apply for tax deductions to promote domestic spending and the electronic tax system (e-Tax).
1. Tax Measures to Promote Tourism Across Thailand
For service fees paid to tour operators, accommodation, hotels, and Thai homestays certified by the Department of Tourism, Ministry of Tourism and Sports, as well as accommodation in non-hotel lodging:
– Main cities: up to 15,000 THB
– Secondary cities: up to 20,000 THB
– Total combined: up to 20,000 THB
Effective: April 30, 2019 – June 30, 2019
2. Tax Measures to Stimulate Purchases of Educational and Sports Products
For purchases of educational and sports products from VAT-registered businesses that provide tax invoices under Section 86/4 of the Revenue Code:
– Actual amount paid, up to 15,000 THB
Effective: May 1, 2019 – June 30, 2019
3. Tax Measures to Promote Local Thai Products
For purchases of One Tambon One Product (OTOP) items that have been registered with the Community Development Department:
– Actual amount paid, up to 15,000 THB
Effective: April 30, 2019 – June 30, 2019
4. Tax Measures to Promote Reading
For purchases of books and electronic book services via the internet (e-Books) from companies or legal entities:
– Actual amount paid, up to 15,000 THB
Effective: January 1, 2019 – December 31, 2019
5. Tax Measures to Promote Home Ownership
For the purchase of real estate, including buildings with land or condominiums valued at no more than 5 million THB:
– Actual amount paid, up to 200,000 THB
Effective: April 30, 2019 – December 31, 2019
6. Tax Measures to Promote and Support the Electronic Tax System (e-Tax)
Allowing companies or partnerships to deduct expenses at double the amount of investment expenses to support the electronic tax system, including:
– Cash register machines and Point of Sale (POS) systems linked to electronic payment systems
– Development costs or services related to e-Tax Invoice & e-Receipt
– Development costs or services for e-Withholding Tax
Effective: April 30, 2019 – December 31, 2019
While these tax relief measures may not be the immediate solution or main factor to revive Thailand's economy, they at least help improve the quality of life for many Thais, alleviate the financial burden on low-income individuals, and stimulate domestic spending once again. So, plan your spending wisely and go shopping. And importantly, don't forget to request a receipt every time!
Source: Ministry of Finance
