Govt slices excise tax for vehicles to boost industry, safety and reduce pollution
The Royal Gazette website on Wednesday published an announcement by the Finance minister on the new excise tax rate for passenger vehicles with less than 10 seats, pickup trucks and motorcycles.
The announcement, signed by Minister Arkhom Termpittayapaisith, stipulated that the move aims to promote the automotive industry and vehicle safety standards plus reduce carbon dioxide emissions which add to air pollution.
The new rate seeks to collect lower excise tax for vehicles fitted with active safety equipment that emit less carbon dioxide across all three categories. The rate will be further reduced after 2025 until 2027.
For example, for a passenger car of less than 10 seats, an engine not over 3,000cc and with active safety equipment, the excise tax rate from June 9 this year to December 31, 2025, is set at 25 per cent if it has a CO2 emission rate of less than 150 grams/kilometre, 30 per cent for CO2 emissions of less than 200g/km, and 35 per cent for emissions of over 200 g/km. However, from January 1, 2026, to December 31, 2027, the excise tax for such vehicles will be reduced to 13 per cent if they have a CO2 emission rate of less than 100g/km, 22 per cent for less than 120g/km, 25 per cent for under 150g/km, 29 per cent for less than 200g/km, and 34 per cent for over 200g/km.
The full details of the new tax rate for all applicable vehicles can be viewed here