Thailand‘s Revised Sin Taxes Announced
New excise taxes will see “moderate” rises in the prices of alcoholic beverages, sugary drinks and cigarettes, the Director General of Excise Department Somchai Poolsavasdi, said today.
He told the press conference that new taxes rates effective immediately would not increase the price of many items, and that some items would be taxed less. He also said producers may absorb rising costs for products facing high market competition, but in any case consumers would not pay much more for these products.
The new excise system is based on retail price, while the previous system was based on ex-factory or CIF (cost, insurance and freight) prices.
The details are:
The tax per bottle of wine priced more than 1,000 Baht will be 110 Baht upwards, depending on the price.
The tax on locally made wine will decrease by 25 Baht per bottle.
The tax per can of beer will be 0.50 Baht higher, and for bottles of beer it will be 2.66 Baht more.
For higher-priced beer, the tax will decrease by between 0.99 Baht and 2 Baht.
White spirit will be taxed more by 0.84 - 3.49 Baht per bottle.
For other kinds of locally produced spirit, the additional tax will be 8 Baht per bottle for 28 per cent alcohol content and 30 Baht for 40 per cent alcohol content.
The tax on other imported spirits, such as Johnnie Walker Red and Blue Label Scotch whisky, will be a little less, from 3 Baht to 26 Baht depending on alcohol content.
For cheap cigarette brands, the tax will add 4 Baht to 15 Baht more per pack, while higher-priced cigarettes will be taxed at 2 - 19 Baht more per pack.
Sugary drinks also be subject to higher taxes. Soft drink taxes will be 0.13 - 0.50 Baht per bottle, but sugar-free soft-drink will be taxed less by 0.28 - 0.36 Baht per bottle.
Energy drinks will be taxed more, ranging from 0.32 - 0.90 Baht per can or bottle.
Green tea will be taxed 1.13 - 2.05 Baht more per bottle, and the tax on coffee will be 1.35 Baht more per bottle or can.