Connect with us

Phuket

Phuket tax revenue plummets during pandemic – VIDEO

Caitlin Ashworth

Published 

 on 

Phuket tax revenue plummets during pandemic – VIDEO | The Thaiger
  • follow us in feedly

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

Catch up with the latest daily “Thailand News Today” here on The Thaiger.

Keep in contact with The Thaiger by following our Facebook page.
Never miss out on future posts by following The Thaiger.
7 Comments

7 Comments

  1. Avatar

    James Scott

    October 15, 2020 at 2:29 pm

    Expect it to worsen.

    Thailand is likely to become one of the poorest countries in south east Asia as this continues, with the working class being impacted more than anyone else. Phuket is a dead zone at this point, as are Pattaya, Chiang Mai and any other place in Thailand dependent on tourism. Without taxes, these cities will not survive.

    Every non-Thai I know except one has now left the country, and every Thai I know living in Phuket has moved back to northern Thailand.

    Civil war is on the horizon for Thailand as the economy collapses. Farangs still living there may want to think about leaving as things will be very bad in Thailand in late 2020 and on into 2021.

    It is a tragedy as Thais deserve much better than the corrupt government they currently have. A government killing the country’s economy and its people’s future.

    • Avatar

      Toby Andrews

      October 15, 2020 at 4:32 pm

      I totally agree Mr Scott.
      They could save money by firing all the civil servants that still shine the seats of their trousers in air conditioned offices.
      There is a much smaller population, so there should be a much smaller number of paper shufflers.
      And how about the police? They do not need as many now. Fire a few.
      Let them seek gainful employment out on the high seas all night fishing.
      There will be a lack of brown envelopes, but a healthy life of honest toil in the open air is good for the soul.
      Let them keep their guns so that they can shoot any fish close to the surface. They could then scoop them out with nets.

      lol

  2. Avatar

    Perceville Smithers

    October 15, 2020 at 3:30 pm

    How old is that pic? The Pizza Company is on the other side (opposite) now.

    Gov greed instead of a sensible plan to allow tourists back in.

    1. Two Covid-19 test prior to departure (covering the incubation period and the 2nd 72 hrs prior to takeoff).

    2. Test on arrival at the airport.

    3. Thailand accepts insurance from known, intl companies not just Thai.

  3. Avatar

    Thomas

    October 15, 2020 at 4:02 pm

    After the last 24hours, it will become much much worse for all of Thailand. There is no Thailand 4.0 anymore, they do a reset to Thailand 1.0 – Unfortunate and sad for most, but they want it like that.

  4. Avatar

    Jitendra Bahubali

    October 15, 2020 at 4:20 pm

    All borders closed Because the fools and idiots responsible for attracting tourist are the ones repelling them. I am talking about Thailand specifically. Look at the statements of the clowns every day. Just a big ridiculous joke everyday suggesting something like 14 day quarantine but can go out of the hotel but cannot be near to the Thai public and one officer with them always on the special roads only for tourists. They just vomit 🤮 everyday all the pathetic thoughts they have at night while drinking.

  5. Avatar

    EdwardV

    October 15, 2020 at 9:27 pm

    Water is wet. Considering Phuket gets some 90% of their revenue from tourist, and there is no tourism it only makes sense revenue would plummet. It has to be dawning on those in charge, the high season is lost. All these businesses who were limping along wait for it, who shut down to save cost till it arrived, they are all dead men walking. This unfortunately goes for all the tourist sections of the country, and to an extent the entire country. You cut off 20% of your GDP you might last several months, but at some point the bank comes calling. And when they don’t get their money, they start failing. There has to be tens of thousands of NPLs out there, zombie loans and deeds the banks are carrying so as to not fail themselves. The government has to know this, yet they continue to come up with crazy plans to reopen the tourist sector that are designed to fail. They create fictitious Chinese tour groups who will come in to save the day. Makes you wonder are they living in Bizarro world where everything is backwards? Regardless of what it is, there is no denying the fact the economy cannot stay locked down. Hopefully they come up with a plan and quickly. Unfortunately I think their focus is going to be somewhere else for the time being.

  6. Avatar

    West Tiger

    October 16, 2020 at 12:33 am

    The blame for this lays firmly at the door of the Government. Thailand under this government is heading into the abyss.
    Things are going to get a whole worse for the average Thai in the very near future.

Leave a Reply

Your email address will not be published. Required fields are marked *



Read more headlines, reports & breaking news in Phuket. Or catch up on your Thailand news.

Caitlin Ashworth is a writer from the United States who has lived in Thailand since 2018. She graduated from the University of South Florida St. Petersburg with a bachelor’s degree in journalism and media studies in 2016. She was a reporter for the Daily Hampshire Gazette In Massachusetts. She also interned at the Richmond Times-Dispatch in Virginia and Sarasota Herald-Tribune in Florida.

Coronavirus (Covid-19)

Officials to choose “low risk” countries for possible reduction in quarantine

Maya Taylor

Published

on

Officials to choose “low risk” countries for possible reduction in quarantine | The Thaiger
PHOTO: Nation Thailand

The Thai government is to compile a list of countries considered “low risk” for the Covid-19 virus, as it considers a reduction in the mandatory 14-day quarantine period for foreign arrivals. Nation Thailand reports that, once finalised, the Public Health Ministry will submit its list to the Interior Ministry, who will use it to decide the criteria for reduced quarantine.

Danucha Pichayanan, from the National Economic and Social Development Council, says there must be clear criteria for the admission of foreign visitors to the Kingdom. Currently, all those arriving must carry out 14 days’ quarantine, regardless of the Covid-19 situation in their country of origin.

It’s understood the government’s Centre for Economic Situation Administration is considering a proposal from the private sector to ease up on some entry restrictions for foreign investors and businesspeople, including a reduction in the quarantine period.

SOURCE: Nation Thailand

Keep in contact with The Thaiger by following our Facebook page.
Never miss out on future posts by following The Thaiger.
Continue Reading

Business

Approval sought for multi-billion-baht Phuket medical hub

Maya Taylor

Published

on

Approval sought for multi-billion-baht Phuket medical hub | The Thaiger
Mai Khao beach in north Phuket - PHOTO: www.makemytrip.com

Industry officials are seeking the go-ahead for a project to transform over 140 rai of government land in Phuket into a world-leading medical hub. The project is budgeted at 3 – 4 billion baht, depending on which report you read. Kitkong Tantijaraswarodom, from the Federation of Thai Industries, believes the development of a medical and wellness hub in the sub-district of Mai Khao, north Phuket, will help revive the southern island’s battered economy. Phuket has become increasingly reliant on a steady flow of tourists over the past 2 decades.

The southern division of the FTI covers Phuket, Krabi, Phang Nga, Nakhon Si Thammarat, Trang, Patthalung, Surat Thani, Ranong, Satun, Chumphon, and Songkhla.

“The FTI will ask the government to green-light the project during the scheduled mobile cabinet meeting on the island on November 3.”

Kitkong says businesspeople in the south are anxious for the government to approve the project, which will provide both locals and foreign medical tourists with state-of-the-art medical care. The facility is expected to include long-term care, hospice and rehabilitation services, in addition to a dental hospital, sports therapy centre, and a medical training school for doctors, nurses, pharmacists and medical laboratory scientists.

The chair of the FTI’s southern chapter is also calling on officials to provide small and medium-sized businesses with additional support, in the form of access to loans, in order to deal with cash shortages.

“In the short term, the FTI wants the government to help SMEs, especially those in the tourism sector.”

SOURCE: Bangkok Post

Keep in contact with The Thaiger by following our Facebook page.
Never miss out on future posts by following The Thaiger.
Continue Reading

Economy

Permanent residency, changes to quarantine period – Government mulls strategies to revive economy

Maya Taylor

Published

on

Permanent residency, changes to quarantine period – Government mulls strategies to revive economy | The Thaiger
PHOTO: Pracha Hariraksapita / Shutterstock

“The government is considering offering permanent residency to those buying condos in the Kingdom.”

Energy minister and deputy PM Supattanapong Punmeechaow has outlined a number of strategies the government hopes will help the Thai economy recover from the Covid-19 fallout. Permanent residency for some condo purchases, changes to the mandatory quarantine and incentives for foreign investment are all under discussion.

The Eastern Economic Corridor, the special economic zone covering the eastern provinces of Rayong, Chon Buri and Chachoengsao, continues to eye foreign investors with a number of large infrastructure projects in the pipeline.

One of those is a high-speed rail link between the 3 closest airports to Bangkok – U-Tapao, Don Mueang and Suvarnabhumi airports. Also in the works is a 290 billion baht project to develop U-Tapao Airport, with plans for a new, third terminal, and an aviation training centre, among other facilities. Last year Airbus pulled out of a multi billion baht joint project with Thai Airways to develop a maintenance hub for the region.

Supattanapong adds that the Board of Investment is considering a range of incentives to encourage foreign investors to purchase property in Thailand. The government is considering offering permanent residency to those buying condos in the Kingdom, provided they don’t mortgage, transfer, or sell the units within 5 years of purchase.

In relation to foreign arrivals, he says the government will clarify its plans on any further re-opening to tourists and investors, in addition to any potential reduction in quarantine. He adds that if the current 14 day quarantine period is to be reduced, this would only apply to those coming from countries considered “low risk” for Covid-19. It’s understood the Public Health Ministry is working on categorising countries into low, medium, and high risk, in order to determine the new mandatory quarantine period for international arrivals.

Officials are also considering how foreigners can be encouraged to up their spending from the current average of 50,000 baht per person to 100,000 baht. Since the closure of Thailand’s borders due to the Covid-19 pandemic, the country’s tourism sector, once welcoming around 40 million visitors a year and generating 3 trillion baht in revenue, has been decimated.

Meanwhile, the government continues to target domestic tourists and residents through a number of stimulus measures, including a recently announced co-payment scheme aimed at boosting spending.

SOURCE: Nation Thailand

Keep in contact with The Thaiger by following our Facebook page.
Never miss out on future posts by following The Thaiger.
Continue Reading
Thailand News Today | Immigration deadline, quarantine update?, arrests averted | October 30 | The Thaiger
Thailand7 hours ago

Thailand News Today | Immigration deadline, quarantine update?, arrests averted | October 30

Thailand News Today | STV updates, fuel tanker explodes, 19 dead in Viet typhoon | October 29 | The Thaiger
Thailand1 day ago

Thailand News Today | STV updates, fuel tanker explodes, 19 dead in Viet typhoon | October 29

Thailand News Today | Big Bike licenses, Parliament latest, Zombie saleswoman | October 28 | The Thaiger
Thailand2 days ago

Thailand News Today | Big Bike licenses, Parliament latest, Zombie saleswoman | October 28

Thailand News Today | German Embassy, More STV tourists, Thanathorn in trouble | October 27 | The Thaiger
Thailand3 days ago

Thailand News Today | German Embassy, More STV tourists, Thanathorn in trouble | October 27

Thailand News Today | German Embassy rally, permanent residency prospect, crowds in Pattaya | Oct 26 | The Thaiger
Thailand4 days ago

Thailand News Today | German Embassy rally, permanent residency prospect, crowds in Pattaya | Oct 26

Thailand News Today | State of Emergency lifted, Quarantine latest, Phuket Light Rail | October 22 | The Thaiger
Video & Podcasts1 week ago

Thailand News Today | State of Emergency lifted, Quarantine latest, Phuket Light Rail | October 22

Thailand News Today | STV arrivals, Released then re-arrested, Petition to oust PM | October 21 | The Thaiger
Thailand1 week ago

Thailand News Today | STV arrivals, Released then re-arrested, Petition to oust PM | October 21

Thailand News Today | Media censorship, Thai parliament to meet, STV flight arrives | October 20 | The Thaiger
Thailand1 week ago

Thailand News Today | Media censorship, Thai parliament to meet, STV flight arrives | October 20

Thailand News Today | Protest update, Samui wants cheap flights, Isaan croc hunters | October 19 | The Thaiger
Thailand2 weeks ago

Thailand News Today | Protest update, Samui wants cheap flights, Isaan croc hunters | October 19

Thailand News Today | Bangkok protests, Special Tourist Visa, Prisoners slippery escape | October 16 | The Thaiger
Thailand2 weeks ago

Thailand News Today | Bangkok protests, Special Tourist Visa, Prisoners slippery escape | October 16

Thailand News Today | State of Emergency, Pattaya ‘online’, Veggie Festival plea | October 15 | The Thaiger
Thailand2 weeks ago

Thailand News Today | State of Emergency, Pattaya ‘online’, Veggie Festival plea | October 15

Thailand News Today | BKK protest update, Chiang Mai ‘quiet’, Baby klong crocs | October 14 | The Thaiger
Thailand2 weeks ago

Thailand News Today | BKK protest update, Chiang Mai ‘quiet’, Baby klong crocs | October 14

Thailand News Today | No STV tourists, Boss in Dubai, border fears in Tak | October 13 | The Thaiger
Thailand2 weeks ago

Thailand News Today | No STV tourists, Boss in Dubai, border fears in Tak | October 13

Thailand News Today | Land bridge project, “Thai Bridge”, Chaing Mai black widow | October 12 | The Thaiger
Thailand3 weeks ago

Thailand News Today | Land bridge project, “Thai Bridge”, Chaing Mai black widow | October 12

Thailand News Today | Army v Twitter, Tourism interrupted, Thailand World’s #6 | October 9 | The Thaiger
Thailand3 weeks ago

Thailand News Today | Army v Twitter, Tourism interrupted, Thailand World’s #6 | October 9

Follow The Thaiger by email:

Trending