People in Thailand may have to shell out more money for sugar drinks as the Thai government increases sugar taxes, which is going to take effect from October 1.
In line with the Excise Tax Act 2017, sugary beverages are going to be taxed at a higher rate. Tax will be calculated on per 100 ml of the beverage volume.
This is the second time government hiked sugar tax, and according to the reports third increase is scheduled for October 1, 2021. Also, it is likely that with the surge in a sugar tax, it may impact on sugar usage. It has been introduced to reduce sugar consumption and to promote a better and healthy life.
Sugar drinks containing 10g of sugar per 100 ml of the product will not be taxed. But drinks in the 10-14g range will be taxed 1 baht per litre, from 14 to 18 g – 3 baht per litre, and over 18 g of sugar per 100 ml – 5 baht per litre.
Many countries, like the United Kingdom, France, Ireland, Saudi Arabia, Portugal, and as well some US states, have introduced a tax on sugary drinks over the past few years.
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