Government has no plan to raise VAT

BANGKOK, March 11 (TNA) -- The government has no plan to increase value added tax (VAT) above the current 7 per cent because it would only put more hardships to the people, said Deputy Prime Minister Somkid Jatusripitak. Reiterating that national economy is recovering, Mr Somkid, responsible for national economic affairs, said situation is not favourable for the government to raise VAT because the increase would only affect both the rich and the poor. National economy has started to improve, therefore, it should not be obstructed from the increase of VAT, he said. His assurance was made after Prime Minister Gen Prayut Chan-ocha earlier this week asked the people to be more responsible and said that the government only income is from tax and the increase of VAT by only 1 per cent could increase the government income considerably. Currently, public debt stands at only 44 per cent of gross domestic product and there is still enough room to create more debts than raising tax, Mr Somkid added. (TNA)