Thailand’s tourism industry is urging the Finance Ministry to delay a proposed 1,000-baht departure tax on international air passengers, warning that the additional charge could discourage travel and place further financial pressure on families, airlines and small businesses.
The Association of Thai Travel Agents (ATTA) agreed to issue a formal objection to the proposal, outlining six concerns and calling for a comprehensive economic assessment before the legislation moves forward.
ATTA Secretary-General Adith Chairattananon said the proposed charge would place an unnecessary burden on travellers, particularly those making overseas trips for education, employment, business or investment rather than leisure.
The association argued that a flat 1,000-baht charge would disproportionately affect families, students and small businesses travelling on limited budgets.
The proposal comes as Thailand’s Revenue Department holds a public consultation on a draft Departure Tax Act, which would apply to travellers of all nationalities leaving Thailand.
Under the current proposal, the tax would initially apply to air departures at 1,000 baht per person, with a maximum rate of 5,000 baht permitted under the proposed legislation. Land and sea departures would initially be exempt.
Public feedback is being accepted from September 30 to October 29, and the measure has not been approved or implemented.
ATTA also raised concerns about the combined impact of existing and proposed travel charges.
Airports of Thailand (AOT) increased its international passenger service charge from 730 to 1,120 baht on June 20 at six major airports, including Suvarnabhumi, Don Mueang and Phuket.
The government is separately considering a 450-baht entry fee for foreign tourists, with collection from eligible air arrivals targeted for 2027. Unlike the AOT charge, both the departure tax and tourist entry fee remain proposals.
The association warned that further increases in travel costs could reduce passenger demand, affecting airline occupancy rates and potentially prompting carriers to reduce flight frequencies, capacity or planned routes.
It also highlighted the financial difficulties facing households and small businesses recovering from recent flooding, arguing that additional travel expenses would be poorly timed.
ATTA said more than 13 million Thai travellers heading abroad also contribute to international trade, investment and people-to-people relations, particularly with countries such as Japan and China.
The association argued that restricting outbound travel through higher costs could undermine these relationships and weaken Thailand’s wider tourism economy.
Finance Minister Ekniti Nitithanprapas previously defended the idea, saying it could encourage more Thai people to holiday domestically and keep tourism spending within the country.
ATTA has called for the proposal to be delayed while the government works with tourism, transport and business representatives to assess its wider consequences.
The association wants the review to consider possible losses in employment, consumer spending, business competitiveness and other tax revenue, rather than focusing solely on the money the new departure tax could generate.
It also urged the government to consider alternative revenue measures that would not increase costs for travellers and small businesses.
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