The Thai Cabinet, during its meeting on 13 September 2011, has approved the
guidelines to refund the excise taxes for the qualified first time car buyers
in order to promote the auto manufacturing industry and to increase purchasing
power by lowering the cost burden for people acquiring the necessities for
daily living. At the same time, it would enable the Government to earn more from the collection of corporate income tax, value-added tax, and car excise tax.
How to become eligible for excise tax refund as a first time car buyer?
According to the scheme, the following criteria to become eligible for the excise tax
refund are as follows:
– The first time car buyer must be at least 21 years old and the car purchased must
also be manufactured in Thailand, excluding those produced with imported used parts.
– The car purchased is the first car of the buyer and the purchase is made during September 16, 2011 to December 31, 2012.
– The car must be a passenger car with the engine capacity of not over 1,500 CC or
pick up or double cab and must not be assembled from used parts imported from
– The buyer must possess the car for at least 5 years and the buyer must claim for
the refund with the Excise Department along with a letter confirming the
non-transfer of car within 5 year period and copies of hire purchase contract
in case the car is hire purchased.
– The Department of Land Transport will record the 5 year non transfer condition in
its data base and also in the car registration book and will also check and disallow any such transfer within the 5 year period.
How much excise tax can be refunded?
The excise tax will be refunded based on actual excise tax paid but not exceeding
THB 100,000 per car. The refund will be made after one year of possession
starting from October 1, 2012.
For questions about Thailand accounting and taxation, please contact MSNA, Thailand Accountant.