Two more boat taxes dropped to zero
PHUKET CITY: In the wake of the dropping last week of customs duty on yachts comes more good news for the local yachting industry with the announcement that excise tax has been reduced from 5% to zero. A third impost on yachts, the Ministry of Interior Tax, which is calculated as a percentage of excise tax, also automatically falls to zero. The announcement was made in the Royal Gazette on Friday and came into effect yesterday. The reduction in taxes is expected to boost further the island’s popularity both among visiting yachtsmen and among those involved in the industry on Phuket. VAT, pegged at 7%, is still charged on imported boats but this is a fraction of the 230% tax total that was levied on vessels until recently.
