VAT rate to remain steady at 7 per cent

Economy August 15, 2017 17:18

By The Nation

The Cabinet on Tuesday gave the green light to maintain value added tax (VAT) at 7 per cent for one more year to the end of September 2018, although it could cost the government about Bt232.6 billion in lost revenue for the period.

Finance Minister Apisak Tantivorawong said the rate would be on hold from October 1, 2017 to September 30, 2018 as part of efforts to relieve people's cost-of-living burden without any impact on the private-sector investment plan.

According to Vice Minister at the Office of Prime Minister, Kobsak Pootrakool, any attempt to collect VAT at the official rate of 10 per cent would slow down the economy.