Thailand to Impose VAT and Import Duties on All Goods Worth 1 Baht and Above from 2026

Thailand to End Import Duty Exemption for Low Value Goods on 31 December 2025

• Thailand’s Customs Department has issued Customs Department Announcement No. 219/2568, revising the criteria for customs duty exemptions, particularly affecting Type 12 exemptions, which will now only apply to items with a customs value not exceeding THB 1.
• As a result of this change, the long-standing de minimis duty exemption for low-value imports (previously applicable to consignments valued up to THB 1,500) will be abolished effective January 1, 2026, with the last day for its application being December 31, 2025.
• Interim measures have been implemented to collect a 7% VAT on imported low-value goods with a CIF value exceeding THB 1 and up to THB 1,500, and this interim VAT collection will continue until December 31, 2025.

Source Orbitax

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• Thailand will impose VAT and import duties on all imported goods valued at 1 Baht or more starting January 1, 2026, removing the current duty-free threshold.
• The policy aims to protect domestic businesses, ensure fair competition, and address tax avoidance and under-declaration of goods.
• The government expects to generate at least 3 billion Baht in annual revenue and enhance local business competitiveness.
• Tax collection procedures will differ for Thailand Post and express couriers, with streamlined payment options for recipients.
• Online sales platforms are updating systems to collect VAT at the point of sale, simplifying the process for consumers.

Source: pattayamail.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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