Thailand’s Consumer Confidence Index rose in October

The Thai Chamber of Commerce University’s Economic and Business Forecasting Center announced that the country’s Consumer Confidence Index in October stood at 80.1, rising from 79.2 in September.
Center director Thanavath Phonvichai said the increase resulted from the government’s economic stimulus measures worth Bt360 billion for the fourth quarter of this year, lower oil prices, and increases in exports in September.
However, consumers were still worried about the low prices of farm products, the cost of living that remained high and the uncertainty of the global economy.
The center predicts that the Thai economy will grow by 1.3-1.5 percent this year and 4-5 percent next year due to government investment projects.
However, Dr Thanavath said, the unfolding global economic situation would be an important factor.
He projected that inflation would run between 2.3-2.8 percent and exports would grow by 3-5 percent next year. (MCOT)

Stricter measures to be imposed on direct sales

Deputy Commerce Minister Apiradi Tantraporn.

A request has been proposed to the Office of the Consumer Protection Board to be more careful before issuing a business license to operators of direct sales businesses following arrests of a Chinese national and three Thais recently, said Deputy Commerce Minister Apiradi Tantraporn.
Admitting that get-rich-quick scams are a national problem and could damage Thailand’s image and economy, Apiradi said her ministry, which oversees businesses in the country to ensure that they operate legally, would take stern action against illegal business owners.
She said the Business Development Department has been ordered to speed up investigations on the three Thais who acted as nominees for the Chinese national to establish a business in Thailand.
The Chinese man, identified as Zhang Jan, was arrested by police in the resort province of Phuket and charged with setting up a pyramid scheme under the business name of Yun Shu Mao, also known as YSLM, which he allegedly used to dupe people in China and Malaysia before coming to Thailand.
Zhang came to Thailand and set up the business in June. The Thais who worked for him asked for a revoke of the business license on October 28 with the Business Development Department and were apprehended before escaping.
If found guilty, Zhang would face a maximum three-year imprisonment or a fine of one million baht or both.
He could also face a criminal lawsuit, Apiradi added. (MCOT)

Thai inheritance tax expected in six months

Finance Minister Sommai Phasee.

Thailand’s Ministry of Finance proposed its inheritance tax bill to the cabinet this week and expects the tax will be imposed in six months without any retroactive effect.
Finance Minister Sommai Phasee said the ministry would seek cabinet approval for the tax. The bill will then be proposed to the National Legislative Assembly.
He believes the assembly will finish its consideration in about three months. Afterwards it will be published in the Royal Gazette and enforced in three following months.
The rate of the tax is set at 10 percent of the portion of each inheritance that exceeds Bt50 million.
The Revenue Department will amend the Revenue Code so that the acceptance of assets from living givers will also be subject to the same tax rate of the planned inheritance tax.
If an inheritor is unable to afford the tax at once, he will be allowed to pay in installments in 2-3 years. Assets subject to the inheritance tax are property, savings, shares and bonds.
Other kinds of assets such as gems and gold are not included. (MCOT)