Economic Cabinet Approves Tax Breaks to Boost Tourism
BANGKOK, Oct 15 (TNA) - The Thai economic cabinet, headed by Prime Minister Anutin Charnvirakul, approved a concise package of tax measures and spending acceleration aimed at reviving the domestic tourism sector and boosting the nation's GDP by 0.4%.
Deputy Prime Minister and Finance Minister Ekniti Nitithandprapas announced the key incentive is a personal income tax deduction for travel up to 20,000 Thai Baht (THB) per person, applicable from October 29 to December 15, 2025. To encourage travel beyond major cities, expenses in main provinces qualify for a 1x deduction, while travel to secondary provinces earns a more generous 1.5x deduction.
To immediately push cash into the economy, government agencies must spend 60% of their THB 6 billion seminar budget by January 2026. Furthermore, the government introduced a double tax deduction (2x) on renovation costs for hotels in secondary provinces until March 2026, covering expenses like solar panel and water system installations.
Finally, the economic cabinet reduced the tax on entertainment venues from 10% to 5% and set aggressive disbursement targets for the 2026 budget to ensure the stimulus measures take effect quickly.
