"A Family of Four Could Pay an Extra 160,000 Won"... Thailand Weighs Reviving Departure Tax After 35 Years
Thailand Weighs Reviving Departure Tax... 40,000 Won Per Person
Tourism Industry Pushes Back... Fears of Declining Travel Demand
The Thai government is considering reimposing a departure tax for the first time in 35 years. If introduced, passengers departing Thailand by air would have to pay an additional 40,000 won per person. Local tourism businesses are pushing back, saying the tax would increase the burden on travelers.
Thailand Weighs Reviving Departure Tax After 35 Years... 40,000 Won for Both Thai and Foreign Travelers
According to foreign media outlets, including the Bangkok Post, on October 13 local time, Thailand's Revenue Department is considering a bill to impose a departure tax of 1,000 baht (about 40,000 won) per person on passengers flying abroad. The measure could apply not only to Thai nationals but also to all foreign travelers, including South Koreans.
If introduced, the tax would most likely be collected by airlines or ticket sales agencies as part of the airfare.
Lavaron Sangsnit, deputy permanent secretary at Thailand's Ministry of Finance, said, "The draft legislation allows for a tax of up to 5,000 baht, but the departure tax actually applied is expected to be 1,000 baht under subordinate regulations."
The Thai government aims to ease its fiscal burden and support the recovery of the tourism industry by taxing people who can afford to travel abroad.
Deputy Permanent Secretary Sangsnit said, "Some of the departure tax paid by foreign visitors could also be used to fund insurance or emergency medical assistance for them."
Thailand introduced a departure tax in 1983 to curb foreign currency outflows associated with overseas travel by Thai nationals and foreign permanent residents. At the time, the tax was 1,000 baht for people departing by air and 500 baht for those leaving by land or sea. The tax on land and sea departures was abolished in May 1986, and collection of the tax on air departures was suspended in July 1991. If the measure is implemented, the departure tax on air travel will have been revived after about 35 years.
"Could Reduce Tourist Numbers"... Tourism Industry Voices Opposition
Thailand's tourism industry is strongly opposed to introducing the departure tax. The additional charge could increase travelers' costs and dampen demand for tourism in Thailand.
Chai Arunonchai, president of the Tourism Council of Thailand (TCT), said he had sent a letter to the finance minister, the minister of tourism and sports, and the director-general of the Revenue Department, conveying concerns that the economic losses from introducing the tax could outweigh the revenue it generates.
Critics say the added costs could weigh particularly heavily on family travelers, students studying abroad, small business owners, and employees who frequently travel overseas for work.
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Travel already involves considerable costs, including airfare, accommodation, and insurance, and adding a departure tax could reduce demand for overseas travel. Tourism businesses are concerned that a decline in visitor numbers could hurt related industries, including airlines, travel agencies, accommodation providers, and restaurants.
Meanwhile, Thailand's Revenue Department will seek public feedback on the departure tax bill through October 29. Whether the measure will be introduced and when it will take effect will be decided after the legislative process.
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