Outbound tax faces axe if economic woes linger

Photo: Markus Winkler / Pexels

Thailand's Fiscal Policy Office (FPO) says a proposed tax on outbound travel could be postponed or revised if economic conditions turn out to be unsuitable. The Revenue Department is collecting public feedback until 29 October 2026, and no decision on implementation has been made. Details such as the rate and start date have not been published in the reporting so far.

What is being proposed

The FPO says a tax on outbound travel is being considered under the government's medium-term fiscal framework. FPO director-general Vinit Visessuvanapoom is the official speaking on the proposal.

The stated aims are to:

  • improve the government's revenue collection efficiency
  • strengthen fiscal stability
  • cover rising government expenditure obligations
  • ease long-term revenue constraints

The government describes the idea as a way to diversify revenue sources while keeping fiscal discipline and sustainable budget management.

Where things stand

The Revenue Department is gathering feedback from stakeholders and the public. The public hearing closes on 29 October. After that, the opinions and recommendations will be assessed to decide whether the measure is suitable for the next stage.

Vinit said the direction of the proposal depends on the public consultation and a comprehensive assessment of all relevant factors, and that no clear conclusion has been reached.

What could change the plan

Whether the tax goes ahead depends on two things: the outcome of the public consultation, and economic conditions at the time the tax would be introduced. If the assessment finds conditions unsuitable, the government can revise the proposal or delay implementation.

The government says it will weigh several factors:

  • the impact on the public, businesses and related economic activity
  • expected revenue versus the administrative cost of collection
  • potential adverse effects
  • the public's ability to bear the extra burden, so that spending and economic activity are not needlessly hurt

Vinit also said that when deciding which activities to tax, the government must consider the economic situation and the measure's cost-effectiveness.

What we don't know yet

The reporting gives no tax rate, start date or exemptions. It also doesn't say whether the tax would cover air, land or sea travel, or whether it would apply to foreign visitors leaving Thailand or only to Thai residents travelling abroad.

What it means for visitors and expats

Nothing is confirmed, so there is no immediate change to travel costs or plans. The tax is aimed at outbound travel, but who would pay it is unclear. It's worth watching for the assessment after 29 October and for any announced rate or details before drawing conclusions about your own trips.

Information sourced from Bangkok Post.