Finance Ministry to Distribute 5,000 Baht to Daily Wage Workers Outside Social Security Starting This April

        Deputy Prime Minister Somkid Jatusripitak, along with Permanent Secretary of the Ministry of Finance Prasong Poontaneat, Director of the Fiscal Policy Office Lawaron Sangsanit, and Director-General of the Revenue Department Aekniti Nitithanprapas, announced measures to address and alleviate the impacts of the coronavirus (COVID-19) on the Thai economy, both directly and indirectly, in Phase 2.

Deputy Prime Minister Somkid Jatusripitak stated that the assistance measures will support "workers, temporary workers, and freelancers not covered by the social security system" with a financial aid of 5,000 Baht per month for a duration of 3 months. This is believed to help those affected initially. If this amount is still insufficient for their expenses, the government will also provide emergency loans and additional special loans, which are expected to be adequate for spending during these three months, along with other measures to assist concurrently. Currently, the government does not want Thai citizens to panic too much about the current situation, as it prioritizes health care and the prevention of the spread of the virus and ongoing fatalities. It is crucial for the public and private sectors to cooperate, as this can help reduce contact and the spread of the virus. Certainly, the temporary closure of various establishments must be accepted as a sacrifice that directly impacts the Thai economy.

“However, if Thailand can successfully stop the COVID-19 virus, the next phase will be economic recovery. Initially, preparations for measures to support the public from April to July have been made to address drought issues while simultaneously stimulating the economy,”

For the measures to address and alleviate the impacts of the coronavirus on the Thai economy, both directly and indirectly, Phase 2 includes the following:

1. Measures to support and alleviate the impacts on “workers, temporary workers, and freelancers not covered by the social security system” affected by the COVID-19 outbreak, consisting of 8 measures:

1.1 Income compensation measures for workers, temporary workers, and freelancers not covered by the social security system or other affected individuals from the COVID-19 outbreak such as boxing stadiums, sports fields, pubs, entertainment venues, theaters, traditional massage, spas, fitness centers, and other services, etc. or other affected individuals (including those who pay their own social security contributions).

This does not include insured persons under Section 33 who meet the criteria for receiving unemployment benefits from the Social Security Office, government officials, pensioners, and farmers (farmers already receive other assistance from the government).

Additionally, Krung Thai Bank Public Company Limited will be responsible for registering participants in the program, with a total target of 3 million people, providing 5,000 Baht per month for 3 months (April – June 2020) through registration to verify eligibility and transfer funds via electronic systems such as PromptPay linked to their ID card, bank accounts, or electronic wallets.

Initially, citizens can register at bank branches or register at the website www.เราไม่ทิ้งกัน.com (follow the steps) which is expected to start registration from this Saturday onwards.

1.2 Emergency loan project to temporarily increase liquidity for citizens affected by COVID-19 without the need for collateral, with the Government Savings Bank and the Bank for Agriculture and Agricultural Cooperatives (BAAC) supporting a total loan amount of 40 billion Baht (20 billion Baht from the Government Savings Bank and 20 billion Baht from BAAC), with a maximum loan amount of 10,000 Baht, a fixed interest rate not exceeding 0.10% per month, a loan period not exceeding 2 years and 6 months, with a 6-month grace period for principal and interest payments, accepting loan applications until December 30, 2020.

1.3 Additional special loan project to temporarily increase liquidity for citizens with regular income, with collateral, with the Government Savings Bank supporting a total loan amount of 20 billion Baht, a maximum loan amount of 50,000 Baht, a fixed interest rate not exceeding 0.35% per month, and a loan period not exceeding 3 years, accepting loan applications until December 30, 2020.

1.4 Low-interest loan project for the Thana Welfare Office to assist grassroots citizens affected both directly and indirectly by the COVID-19 outbreak, with the Government Savings Bank supporting low-interest funds totaling 2 billion Baht to the Ministry of Social Development and Human Security on behalf of the Thana Welfare Office (TWO), with an interest rate of 0.10% per year, and the TWO charging citizens an interest rate not exceeding 0.125% per month, for a period of 2 years.

1.5 Knowledge enhancement measures to consider organizing training to enhance skills and support professions for those affected by the COVID-19 outbreak or interested individuals, along with organizing corporate social responsibility (CSR) activities.

1.6 Extension of the personal income tax payment deadline by extending the deadline for personal income tax payments from June 30, 2020, to August 31, 2020, to alleviate the burden on personal income taxpayers and increase liquidity.

1.7 Increase in the deduction limit for health insurance premiums by increasing the deduction limit for health insurance premiums from the actual payment not exceeding 15,000 Baht to not exceeding 25,000 Baht, and when combined with the deduction for life insurance premiums and savings-type life insurance, the total must not exceed 100,000 Baht, starting from the 2020 tax year onwards, to provide citizens with increased health insurance coverage and reduce their healthcare expenses, allowing the government to use the reduced public health expenditures from citizens' health insurance to assist low-income groups in both health and other areas more effectively.

1.8 Exemption from personal income tax for hazard pay for medical and public health personnel by exempting personal income tax for (1) hazard pay for monitoring, investigating, preventing, controlling, and treating patients from COVID-19, (2) compensation for non-government officials or officials with knowledge, skills, and experience in providing medical and public health advice to deal with the COVID-19 outbreak situation appointed by the Ministry of Public Health, which is taxable income received in the 2020 tax year, to support medical and public health personnel working on the COVID-19 outbreak without tax burdens for special compensation from such work and to increase morale in performing their duties.

2. Measures to support and alleviate the impacts on “entrepreneurs” consisting of 7 measures as follows:

2.1 Loan project to assist small entrepreneurs affected by the COVID-19 outbreak to enhance liquidity in business operations and alleviate the cost burden for small entrepreneurs affected by the COVID-19 outbreak, including tour businesses, spas, related transportation businesses (buses, vans, taxis, tour boats, car rentals), travel agencies, hotels, accommodations, and restaurants, with the Small and Medium Enterprise Development Bank of Thailand (SME Bank) supporting a total loan amount of 10 billion Baht, with a maximum loan amount of 3 million Baht, an interest rate of 3% for the first 2 years, and a maximum loan period of 5 years, accepting loan applications until December 30, 2020.

For the low-interest loan measures to assist entrepreneurs affected both directly and indirectly by the COVID-19 outbreak under the measures to address and alleviate the impacts of COVID-19 on the Thai economy, Phase 1, to enhance the efficiency of the project, the Cabinet has assigned the Government Savings Bank to take the lead in providing loans to affected entrepreneurs as soon as possible to help businesses survive in this situation.

2.2 Extension of the corporate income tax payment deadline by extending the corporate income tax payment deadline for companies or partnerships not registered on the Stock Exchange of Thailand as follows:

(1) For the accounting period of 2019 (Form 50), for cases that must submit tax payment from April 1, 2020, to August 30, 2020, the deadline is extended to August 31, 2020. (2) For the accounting period of 2020 (Form 51), for cases that must submit tax payment from July 1, 2020, to September 29, 2020, the deadline is extended to September 30, 2020, to provide entrepreneurs with increased liquidity from the extension of tax payments under Form 50 of approximately 120 billion Baht and from the extension of tax payments under Form 51 of approximately 30 billion Baht.

2.3 Extension of the deadline for filing tax returns and payments by extending the deadline for filing tax returns and payments of all types collected by the Revenue Department, such as value-added tax, specific business tax, etc., for entrepreneurs affected by the COVID-19 outbreak, including (1) entrepreneurs who must close their establishments as ordered by the government, such as the Ministry of Interior, local administrative organizations, the Ministry of Public Health, etc., (2) other entrepreneurs affected by the COVID-19 outbreak who have reasonable grounds for extension, with the Ministry of Finance considering each case to reduce the burden of documentation and increase liquidity for affected entrepreneurs.

2.4 Extension of the tax payment deadline for oil and petroleum product manufacturers to alleviate the tax burden on taxpayers affected by the economic slowdown due to the COVID-19 outbreak, with the Excise Department allowing oil and petroleum product manufacturers to extend the tax payment deadline from 10 days to the 15th of the following month after the products are released from the factory or bonded warehouse, for a period of 3 months (April – June 2020).

2.5 Extension of the deadline for filing tax returns and payments for entertainment establishments classified as services under the excise tax rate schedule, to alleviate the tax burden on entertainment business operators affected by the temporary closure of crowded venues at risk of COVID-19 transmission, with the Excise Department extending the deadline for filing tax returns and payments for entertainment establishments, including nightclubs, discotheques, pubs, cocktail lounges, and places serving food and alcoholic beverages with entertainment performances, which close after midnight, and bathhouses or spas, as well as gambling businesses like horse racing and golf courses, to file returns and pay taxes by July 15, 2020.

2.6 Exemption from import duties for items used to treat, diagnose, or prevent COVID-19 by exempting import duties for items used to treat, diagnose, or prevent COVID-19 as specified by the Ministry of Public Health from the date the Ministry of Finance's announcement takes effect until September 30, 2020, to increase access to treatment, diagnosis, or prevention of COVID-19.