Thailand: VAT rate may return to 10% after a temporary reduction to 7%
As of October 1, 2021, Thailand temporarily reduced its standard value-added tax (VAT) rate from 10% to 7%. This reduction was initially set to expire in September 2021 but was extended. However, the Thai government is currently deliberating whether to reinstate the 10% VAT rate on September 30, 2023.
The government has not yet reached a final decision on whether to increase the VAT rate. Factors under consideration include the potential impact on businesses and consumers.
It’s important to note that if the government chooses not to extend the 7% VAT rate, it will automatically revert to the standard 10% rate on September 30, 2023.
