BANGKOK, 10 May 2019 (NNT) - The motorcycle excise tax restructuring which changes from calculation of the capacity of the cylinder to the volume of carbon dioxide emission will be effective early next year which will raise the retail prices of most motorcycles in the country of less than 150 CC by 100-200 baht to support the measure to reduce PM 2.5.


The motorcycle tax restructuring is due to be announced in the Government Gazette so that it will be effective on January 1, 2020. Motorcycles that use electrical energy will be taxed at a rate of one percent of the retail price while the motorcycles that release below 50 grams of carbon dioxide will be subject to a three percent tax rate. The motorcycles that release from 51-90 grams of carbon dioxide will be subject to a five percent tax rate. The motorcycles that release from 91-130 grams of carbon will be subject to a nine percent tax rate. The motorcycles that release more than 130 grams of carbon dioxide will be subject to a 18 percent tax rate. The motorcycle prototype for research will not be taxed. The measure will cause the retail prices of motorcycles of below 150 CC which account for 90 percent of all motorcycles to rise by 100-200 baht.


Mr. Natthakon Utensut, Director of the Excise Departmentís Tax Planning Department, said the restructuring of the motorcycle tax will allow the Excise Department to collect an annual revenue of about 30-40 percent or 600-800 million baht more than last year when over two billion baht was collected in accordance with the principle of taxation for the environment and support the competitiveness of the industries with regard to energy efficiency, reducing PM 2.5 and various pollution problems.


As for the increase in the excise tax on tobacco that was effective after midnight on May 7 from five stang for 10 grams to one baht for 10 grams, it is expected to yield an additional income of two billion baht from raising the tax from the total tobacco excise tax, totaling approximately 60,000 million baht per year.


National News Bureau Of Thailand