On 19 September 2024, the Thai Revenue Department published Royal Degree Nr 790 B.E. 2567 (2024) concerning the reduction of the VAT rate.

A Thai royal decree (No. 790) issued on September 19, 2024, extends the reduced VAT rate of 7% (including municipal tax) for an additional year, until September 30, 2025. This extension delays the planned increase back to the standard rate of 10%, which is set to take effect on October 1, 2025, unless further extended. The decree aims to support economic stability and consumer spending by maintaining lower VAT rates on the sale of goods, services, and imports in Thailand.

A Thai royal decree (No. 790) issued on 19 September 2024 extends the period during which Thailand’s statutory VAT rate is reduced from 10% to 7% (inclusive of municipal tax) for an additional year, through 30 September 2025.

If not extended again, from the 1 October 2025, the rate will revert back to 10%.