Thailand to propose new green tax policy

Pongpanu Savettarun, director of Thailand’s Excise Department, said the agency will propose a new green tax policy, which will be carbon-based. The philosophy behind the new green tax policy is to make polluters responsible for the pollution they generate. He said the plan will affect several existing tax categories such as excise taxes on cars, which are currently based on engine size. Batteries will be taxed based on the environmental impact of their materials rather than on size, while lubricants and insecticides, which are currently exempt, will also start to be taxed. The tax reform is part of the Excise Department’s plan to increase efficiency in tax collection. Excise taxes make up 21% of the Thai government’s annual budget revenues. (July 28,2012)