Thailand is ready to introduce a new excise tax law, which is a result of the consolidation of seven existing excise-related laws, on September 16 to help the government more effectively collect taxes while ensuring a fair treatment of all affected entrepreneurs.
In a nutshell, the new law will result in the calculation of tax from retail prices, not wholesale prices, and from the level of alcohol content, as well as the increase in the fees for alcohol sale and import licenses.
Pending details in the new law are the exact tax rates for alcohol beverages, tobacco and playing cards, which the Cabinet is yet to approve before the law comes into effect due to concerns over possible stockpiling of these items that will affect consumers later.
Related business operators have welcomed the government's move as they believe that these changes will offer a level ground for all businesses while effectively tackling the problems of illegal and fake alcohol beverages, which have evaded the tax system and been blamed for health hazards due to the presence of such dangerous substances as methanol, arsenic and certain types of insecticide.
Available studies already suggested that alcohol consumption has been responsible for 2-3 million deaths around the world each year, with ethanol noted as the main factor behind these fatalities.