Thai govt unveils tax measures to spark tourism surge
The Thai Cabinet today approved a series of tax measures aimed at boosting domestic tourism during the low season, announced the deputy finance minister.
These measures will be in effect from May to November and include tax deductions for companies organising conventions and seminars, according to Paopoom Rojanasakul.
Further initiatives target increased domestic travel to secondary cities by allowing income tax deductions for expenses incurred on homestays and non-hotel accommodations.
Prime Minister Srettha Thavisin acknowledged that these measures would cost the government 1.5 billion baht (US$41 million) in revenue. However, he emphasised that the anticipated benefits would outweigh the costs.
“The benefits will be greater.”
Tourism and Sports Minister Sermsak Pongpanich highlighted ongoing weaknesses in Thailand’s infrastructure and services. He noted that many destinations have not developed quickly enough to meet rising demand, despite the government’s commitment to improving the nation’s tourism development index over its four-year term.
“Thailand still has weaknesses in infrastructure and services.”
The government remains determined to enhance the country’s standing in the global tourism market, promising significant improvements in infrastructure and service quality, reported Bangkok Post.
In related tourism news, Thailand will host the filming of Jurassic World 4, the latest instalment in the iconic Jurassic Park series providing an enormous boost to the nation’s tourism industry. The Department of Tourism’s Director General, Jaturon Phakdeewanit, announced that the production will span from today, June 4, until mid-July, covering several locations such as Bangkok, Krabi, Trang, Phang Nga, Phuket, and Chiang Mai.
This film project is anticipated to bring significant economic benefits, with an estimated injection of 650 million baht. Local businesses related to equipment rental, accommodations, venue hire, transportation, Covid-19 safety measures, and catering services stand to benefit greatly from this influx.
The Hollywood production team will take advantage of the Thai government’s incentive program, which provides a 20% rebate for international films that spend more than 100 million baht in the country. This incentive is designed to attract major film projects and further boost the local economy.
