The Cabinet approved in principle draft Royal Decree issued under revenue code on decreasing revenue rate (No....) B.E.... (Measure on personal income tax rate adjustment) following suggestion from the Ministry of Finance and passed it to Office of Council of State to examine for further procedures.
Gist of the draft royal decree
This draft royal decree is to adjust personal income tax rate for net income calculation from 5 rates to 7 rates and reduce the top marginal tax rate from 37 per cent to 35 per cent. Details are as follows:
Net Income Tax Rate Net Income Tax Rate
(Baht) (Per Cent) (Baht) (Per Cent)
0-100,000 5 0-300,000 5
100,001-500,000 10 300,001-500,000 10
500,001-750,000 15
500,001-1,000,000 20 750,001-1,000,000 20
1,000,001-2,000,000 25
1,000,001-4,000,000 30 2,000,001-4,000,000 30
4,000,001 onwards 37 4,000,001 onwards 35
Title: Operation Guideline for Thailand Privilege Card SchemeFollowing the resolutions made by Cabinet Subcommittee (economics) in its 11/2013 meeting chaired by Deputy Prime Minister Kittirat Na-Ranong on October 21, 2013, the Cabinet,
1. Acknowledged the operation of Thailand Privilege Card Co., Ltd., and its plan to rearrange classification of membership cards, prices, various privileges/services, and transfer fee to suit the target groups. Commission rate will also be adjusted.
2. Management Committee of Thailand Privilege Card Co., Ltd. can proceed with investment or joint investment should they consider such investment will be of the company?s, members?, and the country?s interests. Such implementation must be in accordance with the Act on Private Participation in State Undertaking B.E. 2556, and must propose to the Committee on State Enterprise Policy for its consideration before presenting to the Cabinet.
3. Assigned State Enterprise Policy Office to conduct study to determine a guideline for the establishment of state enterprise?s affiliated companies.
The Cabinet agreed on the following proposals made by Ministry of Commerce.
1. Granting of privileges to least developed countries (LDCs) through duty free and quota free scheme (DFQF) of 6,998 products or 73.21 per cent of the total list of products.
2. Assigned Commerce Minister or an authorized person to officially announce Thailand?s implementation of DFQF scheme during the ninth World Trade Organization Ministerial Conference to be held on December 3-6, 2013 in Bali, Indonesia.
3. Appointed Commission for Prevention of Consequences of ?granting of privileges to least developed countries (LDCs) through duty free and quota free (DFQF)? to oversee overall operation.
As proposed by Ministry of Industry, the Cabinet,
1. Agreed with the Protocol on Amendment of ASEAN Comprehensive Investment Agreement (ACIA).
2. Assigned Commerce Minister to be signatory of Protocol on Amendment of ASEAN Comprehensive Investment Agreement (ACIA). Full Powers will be issued by Foreign Affairs Minister to the signatory.
3. Ministry of Foreign Affairs will arrange for instrument of ratification for the Protocol on Amendment of ASEAN Comprehensive Investment Agreement (ACIA), and notify ASEAN Secretariat in order to enforce the aforementioned protocol.
Gist of Protocol on Amendment of ASEAN Comprehensive Investment Agreement (ACIA)
1. Main objective of the Protocol on Amendment of ASEAN Comprehensive Investment Agreement (ACIA) is to add an annex on the procedure on amendment of lists of restriction to endorse the following 3 amendments of restrictions.
1. Amendment for liberalization according to the AEC Blueprint
2. Additional legal amendment of measures within 12 months from the date ACIA is enforced (March 28, 2556).
3. Amendment to increase restriction to measures within 12 months after ACIA is effective.
Following suggestions from Ministry of Foreign Affairs, the Cabinet,
1. Agreed with draft Manama Declaration for the twelfth Asia Cooperation Dialogue (ACD) Ministerial Meeting.
2. Appointed Foreign Minister or an authorized person as signatory of the aforementioned draft Declaration.
3. Should necessity arise to amend the aforementioned document in inessential parts that will not result in the country?s loss of benefits, Ministry of Foreign Affairs may proceed without the Cabinet?s further approval.
Gist of draft Manama Declaration
Manama Declaration is a document on the progress of previous implementations and guideline for future implementations of the Asia Cooperation Dialogue (ACD). It is also a document of intent for country members to implement the policy on tourism cooperation within Asia and on other related areas, and to promote economic growth, as well as people-to-people connectivity through regional connectivity development in transportation and technology.
This draft declaration also emphasizes on promotion of free-trade and investment within Asia, development of mechanism for investment protection and cooperation on knowledge and expertise exchange between centers of financial institutions in Asia.
--Cabinet Meeting (Yingluck Shinawatra) November 19, 2013--