Customs to hold talks with private sector on luxury duties, duty-free
The Customs Department will this month discuss with the private sector a proposal to reduce the import duty on luxury goods and open more pick-up centres for duty-free goods.
"We will see what we can do to help, as part of promoting [domestic] spending and tourism.
"We will have a discussion [with the private sector] this month to finalise the direction and propose the issues for consideration to the Finance Ministry permanent secretary and those at the policy level," Kulit Sombatsiri, director-general of the department, said yesterday.
The pros and cons of the import-duty reduction would be taken into consideration and if the reduction were made, domestic businesses would not be affected.
The current import levy on luxury goods is 30 per cent of their declared prices.
The department is considering raising the number of pick-up centres for duty-free goods from about 10 duty-free shops and pick-up centres nationwide now. That would facilitate shopping by travellers.
Prasong Poontaneat, director-general of the Revenue Department, said his agency wanted to increase the number of shops that provide tax-refund services from 7,000 now to 100,000.
More shops are planned in the provinces to facilitate tourists and support small and medium-sized enterprises instead of the proposed reduction of luxury-goods duty.
"If we increase points of tax-refund services to facilitate tourists, that will entice them to spend," he said.
Late last year, the tax measures to promote tourism in Thailand expired and the department allowed domestic tourists to deduct Bt15,000 per person from personal income tax.
To receive the value-added-tax refund, tourists were required to purchase Bt2,000 or more of taxed goods from shops with a "VAT refund for tourists" sign.
