Phuket tax revenue plummets during pandemic – VIDEO
The Covid-19 pandemic led has tax revenue in Phuket to be cut in half. Border closures, banning international tourists, has caused the tax revenue for the popular island destination to plummet. From January to August, total tax receipts year on year fell by more than 46%, according to data from the Phuket Area Revenue Office, obtained by The Phuket News.
In January, while the virus was still concentrated in China, Phuket’s tax revenue year on year increased by 5.38%, rising from 1.03 billion baht to 1.09 billion baht. As the coronavirus spread, by the end of the month, tax revenues fell by 5.22%, going down to 1.03 billion baht.
The numbers plunged even more when the outbreak spread over the world and Thailand closed its borders, banning international tourists. In March, when the Covid-19 outbreak was declared a pandemic by the World Health Organisation, Phuket’s tax revenues fell by 42.31%, going down from 1.13 billion baht to 797 million baht. The next month, they drastically dropped 296.86%, going down from 1.24 billion baht to 313 million baht.
Tax revenue continued to drop…
- May – year on year decrease by 175%, dropping from 1.36 billion baht to 495 million baht.
- June – year on year decrease by 210%, dropping from 1.72 billion baht to 555 million baht.
- July – year on year decrease by 104%, dropping from 861 million baht to 422 million baht.
There was a year on year increase in April, going up 38.5% from 1.12 billion baht to 1.81 billion baht, but The Phuket News notes that this increase was because the deadline for filing tax returns was postponed as a relief from financial trouble brought on by the pandemic.
Tax receipts dropped year on year from January through August…
- Personal income tax receipts fell by 40.8%.
- Corporate income tax fell by 68.9%.
- VAT receipts fell by 32.5%.
- Special business tax receipts fell by 77.4%.
- Revenue stamp receipts fell by 44.4%.
- Tax revenues categorised as “others” fell by 72.8%.
SOURCE: Phuket News
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