Thailand to revive 300-baht tourism tax to boost revenue

Tourism Minister Sorawong Thienthong reignited plans for a 300-baht tourism tax, which was put on ice by former Prime Minister Srettha Thavisin. The move is set to help rake in a whopping 3 trillion baht in tourism revenue this year.

Sorawong, who stepped into his role yesterday, September 16, believes the tax will be a game-changer for the industry.

“This fee is crucial for the growth of our tourism sector. It will fund better infrastructure, enhance attractions, and ensure the safety of tourists.”

Originally given the green light by the cabinet in 2022, the tax still awaits its official nod in the Royal Gazette. Travellers flying into Thailand will face a 300-baht charge, while those arriving by sea or land will pay 150 baht.

Sorawong mentioned that more time is needed to fine-tune the system before it could be rolled out, potentially in the final quarter of the year. The aim is to ensure the tax doesn’t put off visitors.

As the third tourism minister in a year under the Pheu Thai-led government, Sorawong will continue the Ignite Tourism Thailand policy started by Srettha. This includes plans for new entertainment hubs, an aviation centre, and a push to promote second-tier cities.

“We’re determined to support new attractions and boost secondary cities. We’ll offer incentives like tax breaks to attract private investment.”

High Season

The ministry is also looking at reviving successful pandemic-era stimulus schemes, such as the We Travel Together programme, which subsidised hotel stays and flights.

With the High Season approaching, Sorawong is banking on events like marathons, Loy Krathong, and New Year’s celebrations to help hit the 3 trillion baht revenue target from both domestic and international visitors.

Although the government has a four-year goal to generate 3 trillion baht solely from foreign tourists, Sorawong is confident they’ll meet this ambitious target.

On the topic of attracting a Formula One race to Thailand, Sorawong backed the idea but suggested a street circuit on Ratchadamnoen Road could offer a more unique boost to the economy.

Addressing the issue of price-dumping tours, Sorawong acknowledged that while the number of illegal operators may not have risen, the financial impact is expected to be larger. Measures are being put in place to tackle these illicit practices.

Tomorrow, Sorawong will meet with 20 key private tourism operators, including the Association of Thai Travel Agents and the Tourism Council of Thailand, to hash out new tourism policies.