National —
At 12:40 PM on September 17th, 2024, Mr. Jirayu Huangsub, a newly-appointed advisor to the Prime Minister, announced the Thai Cabinet’s decision to maintain the current value-added tax (VAT) rate at 7% for another year.
During the Cabinet meeting, the economic situation was discussed, particularly regarding the VAT rate, which is set to expire on September 30. Despite earlier rumors of a possible increase to 11%, the Cabinet agreed to keep the rate at 7%, viewing it as a measure to stimulate the economy for both citizens and businesses.
This extension will take effect from October 1st, 2024, to September 30th, 2025.
The Thai Ministry of Finance has estimated that extending the VAT rate at 7% will not lead to further revenue losses for the government and will not affect the revenue projections for the 2025 fiscal year, according to Jirayu.
