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The Revenue Department believes the tax deduction campaign recently approved by the government will push up public spending during the Songkran festival.
Director General of the Revenue Department, Prasong Poontaneat has disclosed that the campaign which runs from 9th to 17th April enables holidaymakers to deduct up to 15,000 baht in their tax returns. The incentives apply to food, tour packages and hotel rooms offered by VAT-registered operators. The campaign is expected to increase the rate of spending during the Songkran holiday to a total 10 billion baht.
The cabinet has also approved a plan to extend the previous tax deduction campaign offering vacationers the same amount of tax deduction to the end of the year, in order to promote domestic tourism and boost spending. The offer, however, does not cover tobacco, alcoholic beverages, petrol or gas. Vehicles are also excluded.
Consumers eligible for the two campaigns can have their tax bills cut by up to 30,000 baht. Tax payers are required however to ask for detailed receipts as a claims reference.