Excise tax collection up 28.9% to Bt231 bn in first half

Meanwhile, the department said about 2,000 consumers who purchased cars under the first-car scheme had failed to keep up their instalment payments, citing information from leasing companies.

According to department director-general Somchai Poolsawasdi, the top five sources of excise tax in the first half were: fuel (Bt31 billion, up 3.83 per cent year on year but Bt8 billion lower than targeted); automobiles (Bt87 billion, up 102.19 per cent, 40.63 per cent higher than targeted); beer (Bt38 billion, 9.74 per cent higher than targeted); tobacco (Bt36 billion, up 5.48 per cent, 14.58 per cent higher than targeted); and liquor (Bt28 billion, down 3.07 per cent, 11.42 per cent lower than targeted). 

Car excise revenue increased thanks to the government’s first car scheme, Somchai said. He believes this trend will continue, given the large number of car-purchase orders placed at the Bangkok International Motor Show. If the economy remains healthy, car demand will continue growing, he said.

The first car scheme, which ended in December, saw 1.26 million participants, who qualified for total tax rebates of Bt92 billion. Somchai said that of the total buyers, about 2,000 had missed instalments, according to finance companies. 

As of yesterday, 153,000 car buyers were entitled to a tax rebate under the programme.

Of loans extended to customers under the scheme by lease-to-own market leader Thanachart Bank, 0.34 per cent were non-performing loans, said Somjate Moosirilert, president and chief executive officer. He added that the bank would closely follow the level of NPLs related to the scheme in the remaining months of the year.

TBank has extended 110,000 loans under the scheme, equivalent to 41 per cent of total new auto-loan bookings last year. About 55 have become NPLs, which Somjate considered an acceptable figure.

NPLs typically account for 1 per cent of new loans. This year TBank aims to reduce NPLs to 3 per cent of lending from 4 per cent last year.