Excise tax collection above target

Excise tax collection in March rose 15% over the target, the Excise Department said.

It said excise tax collected in March this year or the sixth month of the 2015 fiscal year was 5.8 billion baht or 15% over the target.

It attributed the rise to the increased excise tax on diesel which was 6.8 billion baht above the target or equivalent to 123%.

Moreover trade hoarders also added to increased excise tax collection in March.

According to Thailand Sports Act which was passed by the National Legislative Assembly and already announced in the Royal Gazette, alcoholic drink and tobacco prices will be higher by two percent possibly in March as exporter, importer and producer are mandated to contribute 2% of their annual excise tax to the Sports Fund.

This prompted traders to hoard.

The Excise Department reported over the target excise collection on beer of 960 million baht, on liquor of 320 million baht, on tobacco of 595 million baht, and on beverages of 110 million baht as traders rushed to hoard them  to sell during the Songkran festival and prior to the enforcement of the 2% contribution of excise tax to the Sports Fund.

But excise tax collection in March on automobiles is 3 billion baht below target as the result of the economic slowdown.

However it was optimistic that April collection could improve due to high car sales during the Motor Show held between end of March and early of April.