Fiscal 2013 revenue target in sight despite corporate cut, Kittiratt says

Finance Minister Kittiratt Na-Ranong said yesterday that this fiscal year’s 3-percentage-point reduction would not have more of an impact than last fiscal year’s 7-point slash from 30 per cent to 23 per cent.
“In the first year of the cut, we expanded part of the tax base, so there’s no worry about that,” he said.
The economic situation started improving in the latter half of this year, particularly the fourth quarter, which could expand faster.
“It’s enough for tax collections to meet the target. We didn’t set a high target for tax receipts. If tax revenue is too much, the economy may see a contraction and the budget deficit will miss the target,” he said.
The Revenue Department has expressed concerns over its tax take. More than 80 per cent of taxes collected could be at risk from the corporate-tax cut. The department forecast a 9-per-cent rise in its tax collections from the previous fiscal year and has no plan to collect additional taxes.
Tax rebates from the government’s first-car-buyer scheme will not cramp government expenditures, as it already taxes car purchases, Kittiratt said. The rebate is the car buyers’ tax.