BANGKOK, 14 July 2016 (NNT) - In a new bid to stimulate the domestic economy and industries, the cabinet has given the green light to a plan to allow customers buying goods made by One Tambon One Product (OTOP) operators in August, to receive a deduction from their income tax.

Buyers of OTOP goods produced by VAT-registered operators will be able to enjoy income tax deductions of up to 15,000 baht, from 1st until 31st August. Deputy Director of the Fiscal Policy Office, Pornchai Thiraveja said the scheme was expected to raise sales income of OTOP products from eight billion baht to 10 billion baht next month.

The campaign applies to OTOP products offered by operators who are registered with the Community Development Department and the Revenue Department. More than 40,000 producers have registered with the Community Development Department. However, only 400 of them are registered with the Revenue Department. Around 80,000 OTOP items are VAT-inclusive.

OTOP operators wishing to join the campaign need to register with the Revenue Department first. Customers are required to ask for a full tax invoice from each purchase to claim tax refunds. It is believed the campaign will boost public spending and income distribution as well as encouraging more OTOP producers to enter the tax system.

National News Bureau Of Thailand | OTOP customers can get tax deductions in August