Govt endorses excise tax cuts
The Cabinet today approved the 2012 budget along side with excise tax cuts to boost the economy.
The Finance Ministry estimates the revenue at Bt1.98 trillion and expenditure at Bt2.28 trillion, said a source at the government.
The budget deficit for the fiscal year, starting on October 1, will then total Bt350 billion - unchanged from the level estimated by the previous government.
Many parties have expressed concerns that populist policies may raise the budget deficits and hurt the fiscal disciplines.
The Cabinet today approved the extension of diesel excise tax cut from September to end-December. The excise tax cut of Bt5.30 per litre was endorsed by the previous government. The Pheu Thai-led government topped up the policy with the suspension of Oil Fund levy on diesel, at Bt3 per litre.
The Cabinet also approved the maximum Bt100,000 excise tax cut for first-car buyers, for the purchases of vehicles with no more than 1,500cc engine during September 16, 2011 to December 31, 2012.
