Three Thai leading economists have warned the newly elected government to explore alternative ways of increasing government revenue rather than by hiking the capital gains tax in order to achieve the welfare state system goal.
“At the moment, VAT is the only tax that has the least impact on the economy. The government can collect up to 60 billion to 80 billion baht in the first year by simply increasing VAT by 1%. Every type of tax increase has an opposing voice and something to trade off. As a result, my approach primarily supports the method of increasing the cake size. Allow everyone access to a larger piece. Good taxation is based primarily on economic activity,” Supavud explained.
Source: www.nationthailand.com
