Excise Department Issues Draft Regulation on Compulsory Collection of Tax Arrears
The Excise Department has issued the Draft Regulation of the Excise Department Regarding the Practice of Compulsory Payment of Tax Arrears by Confiscation, Suspension, and Auction of Assets (No. ..) B.E. …. (the “Draft Regulation”), which is open for public consultation from 1 October 2025 to 15 October 2025.
Purpose of the Regulation
Under the existing Excise Department Regulation B.E. 2560 (2017) (the “Current Regulation“), enforcement mechanisms apply only to excise tax arrears assessed by officials under the Excise Tax Acts of 1984 and 2017. Notably, this excludes excise tax on imported goods assessed by the Customs Department, creating gaps in enforcement authority and procedural inconsistencies between the two departments.
To address these issues, the Excise Department has issued this Draft Regulation to establish a unified enforcement framework for tax arrears, improve transparency, and enhance coordination between the Excise and Customs Departments.
Key Amendments
The Draft Regulation introduces several significant amendments to strengthen the collection and enforcement of excise tax arrears:
- Expanded Definition of Tax Arrears and Taxpayers in Arrears – Broadens the scope to include both excise tax under the Excise Tax Act B.E. 2560 (2017) or the Excise Tax Act B.E. 2527 (1984), as well as excise tax assessed under the Customs Act B.E. 2560 (2017).
- Clarified Enforcement Authority – Empowers officers to issue orders for seizure, suspension, and auction of property in cases involving excise tax arrears under the Customs Act B.E. 2560 (2017), ensuring greater procedural clarity.
- Standardized Collection Procedures – Establishes transparent, step-by-step processes for the expedited collection and enforcement of tax arrears, promoting consistency and efficiency in practice.
Applicable Stakeholders
The Draft Regulation directly applies to importers liable for excise tax and customs tax who fail to remit payment within the prescribed period.
Conclusion
This Draft Regulation enhances the clarity, consistency, and efficiency of tax enforcement while safeguarding taxpayer rights. Applicable stakeholders should closely monitor the public consultation’s result and prepare for compliance with the new framework once finalized.
Author: Panisa Suwanmatajarn, Managing Partner.
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