Goods ordered from online platforms to be charged import duties from first baht of value next year

The Customs Department will begin collecting import duties on goods ordered from online platforms starting next year, with no exemption for items priced under 1,500 baht, the department’s chief announced on Wednesday.

End of Import Tariff Exemption

Phanthong Loykulnanta, Director-General of the Customs Department, stated that the department would not extend the exemption for goods priced below 1,500 baht, which is set to expire at the end of this year.

Without the extension, goods ordered from online platforms will be subject to import tariffs from the first baht of their price, with no exemptions, he explained.

Affected Platforms

The policy change will impact platforms such as Shopee, Lazada, TikTok, eBay, and Amazon, Phanthong added.

Implementation Under the Quick Big Win Policy

Phanthong clarified that the removal of the exemption is part of the government's Quick Big Win policy. He also mentioned that Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas had been informed of the Customs Department’s decision to end the import tariff exemption for low-priced goods.

Preparations for Platforms

Phanthong further explained that the Customs Department would meet with representatives from Shopee and Lazada to ensure that the platforms adjust their prices to include import tariffs. This adjustment will help buyers avoid the inconvenience of paying taxes separately later.

The platforms will also be asked to cooperate with Thai authorities to prevent the sale of unlicensed and substandard goods to Thai consumers.

Fairness to Thai Businesses

The removal of the tariff exemption will require platforms like Shopee, Lazada, and other international online shops to pay both import tariffs and VAT. Phanthong emphasized that this measure is designed to create fairness for Thai businesses that already pay taxes but struggle to compete with imported goods, which have previously been exempt from tariffs.

Revenue Projections and Impact

Phanthong estimated that this measure would add approximately 3 billion baht annually to the Customs Department’s revenue, based on the value of 30 billion baht of goods imported each year that are priced below 1,500 baht.

Quick Big Win Measures

Phanthong highlighted three main Quick Big Win measures that his department is focusing on:

1. Using customs measures to stimulate trade: Improving regulations, streamlining the goods inspection process, promoting rail transport for goods, enhancing transshipment and border crossing procedures, and allowing ICDs (Inland Container Depots) to directly clear export goods.
2. Protecting society from illegal goods: Signing MOUs with various platforms to control the sale of illegal products.
3. Fair collection of government revenue: Collecting over 600 billion baht in taxes, including 120 billion baht from import duties, 370 billion baht from VAT, and excise taxes.