Pensions for all only possible with higher taxes, slashed military budget, says Move Forward
The Move Forward Party plans to slap large corporations with higher taxes as well as reduce the military budget to raise 420 billion baht for pensions.
Dr Dejrat Sukkamnerd, a member of the party’s economic team, said Move Forward’s policy of providing a 3,000 baht monthly pension to the elderly will only be possible if taxes are raised and spending is reduced, especially expenditure on the military.
Dejrat was speaking at a seminar on the possibility of providing pensions to all elderly people in Thailand. The seminar was held on March 23 at Thammasat University’s Tha Prachan campus.
Dejrat said the state would require a budget of 420 billion baht to pay monthly pensions, adding that this would reduce the percentage of seniors living in poverty from 6% to 1%.
The 1% would be those who are struggling with loans or huge medical bills.
Dejrat reckons the state will earn about 90 billion baht from increasing corporate taxes on large companies. He said Move Forward will also propose increasing personal income tax and reducing exemptions, as well as increasing land tax. The state stands to earn some 150 billion baht from cancelling tax waivers alone, Dejrat said.
He added that the government will earn another 60 billion baht by slapping an extra 0.5% tax on super-rich people, and have about 200 billion baht left from cutting unnecessary expenses like the military budget.
He said Thais prefer donating money to temples rather than paying taxes, but they will be willing to pay higher taxes if they are convinced that the money will return to them after retirement.
