The Ministry of Finance is not dropping its efforts to apply a 0.11% tax to the sale of company stocks despite the matter having been in the works for a long time. The ministry insists it will seek the approval of the incoming government for the taxation, while also gradually overhauling the national tax structure to increase state income.
Finance Ministry permanent secretary Krisada Chinavicharana revealed his ministry has completed ironing out details for the measure to collect a 0.11% tax on the sale of traded shares. The measure has already been sent for Cabinet endorsement and has passed the Office of the Council of State’s inspection. However, the enforcement of this tax will not be approved by the current administration due to there being many limitations associated with the caretaker nature of the current government.
Mr. Krisada added the finance ministry has also studied the matter of potentially collecting tax from the profits generated from stock sales. He noted that it will be some time before this tax could come into effect, if at all.
The permanent secretary also revealed that his ministry has readied measures to stimulate the economy late this year as well as early next year. The details, however, cannot yet be divulged as the implementation of these measures is dependent on the incoming government’s economic policies.
Mr. Krisada also spoke of proposed reforms to the tax structure for the purpose of boosting the state’s income to a level that sufficiently meets expenses. He said this reform must be undertaken gradually to prevent a shock to the economic system. He affirmed the reform is necessary, as the government’s tax revenue only amounted to 14% of GDP at present, which is below the intended level of 15-16%. (NNT)
