Thailand Promotes Electric Vehicle (EV) by Reducing Excise Tax
On 12 May 2022, the Cabinet of Thailand has approved in principle a draft Royal Decree Reduction of Yearly Excise Tax Rate for Completely Built Electric Vehicles B.E. …. (“Draft Royal Decree”) as proposed by the Ministry of Transport . The Draft Royal Decree will be reviewed by the Office of the Council of State with consultation of the Office of the National Economic and Social Development Council. Afterwards, the Ministry of Transport and other related ministries shall take suggestion from the Ministry of Transport, Ministry of Industry and Office of the National Economic and Social Development Council into consideration.
The tax measure in reducing the excise tax rate under Motor Vehicle Act B.E. 2522(1979) to 80% is applied for completely built EV cars registered between 1 October 2022 to 30 September 2025 for 1 year since their registration date. The incentives vary depended on the types and models of vehicle as follows:
Please note that the yearly excise tax rate for completely built electric vehicles for item nos. 2-8 will be reducing for 50% of the rates as specified in the Motor Vehicle Act B.E. 2522(1979).