| The Tax Barometer is composed of four trip elements:
lodging, car rental, meals, and airport arrival and departure. Each element of the
trip is priced according to a standard purchase by a hypothetical "WTTC
Traveler" in each destination.
This trip includes
the purchase of four nights' lodging, four days'
car rental, twelve meals, and one set of international arrival and departure
airport charges. Taxes imposed on these purchases are then
identified, recorded, and developed into a sector index. Next, these elements are
aggregated into a composite index for the destination, based on the average cost of each
element included in the standardized trip. If you would like more information on the
development of the Tax Barometer, please refer to our research methodology. |
 |
Rank |
|
Total tax $ for 5-day/4-night trip: |
$74.02 |
6 |
|
Percentage of total item cost: |
7.80% |
8 |
|
Overall tax index: |
111 |
20 |
The first item in the above table represents
the combined tax total
paid by the WTTC Traveler in each of the four sectors in
Bangkok. The second
item (percentage of total
item cost)
indicates what percentage of the total bill
is devoted to taxes.
The last item (overall tax index)
reflects the cumulative change in the amount
of tax paid in U.S. dollars between June 1994 and
June 2002.
The rankings show how
Bangkok compares with other Tax Barometer cities; a ranking of 1
is most competitive, while a ranking of 52 is least competitive.
Summary:
Bangkok currently has an
overall Tax Barometer index of 111,
indicating an 11% increase in
travel-related taxes since June 15, 1994.
This increase can be solely attributed to changes in the air passenger
sector; taxes on car rentals, hotel rooms and restaurant meals remain at
the same levels as they were in the base index. Travelers can
expect to pay around $74.00 in travel-related taxes for a five-day,
four-night visit. This total ranks as the sixth lowest among all
surveyed destinations. |
 |
Rank |
|
Average price for 4-day rental (mid-size) without taxes: |
$181.76 |
- |
|
Value added tax (VAT): |
7.00% |
- |
|
Total charges for 4-day rental with taxes: |
$194.48 |
- |
|
Total tax $ for 4-day rental: |
$12.72 |
5 |
|
Percentage of total car rental cost: |
6.54% |
11 |
|
Car rental tax index: |
100 |
1 |
|
Summary:
Bangkok's car rental tax rate remains at the same level it was in
1994; the rate was raised to 10.0% in 1997, but was reduced to 7.0%
two years later. Bangkok is one of the most price competitive
destinations for car rentals, and its index of 100 ties it with 13
other cities for the lowest among all surveyed destinations. |
 |
Rank |
|
Average price for 4-nights lodging without taxes: |
$499.98 |
- |
|
Value added tax
(VAT): |
7.00% |
- |
| Total
charges for 4-nights lodging with taxes: |
$534.97 |
- |
|
Total tax $ for four-nights: |
$34.99 |
12 |
|
Percentage of total hotel room cost: |
6.54% |
12 |
|
Hotel
tax index: |
100 |
8 |
Summary: Bangkok's hotel tax rate rose
to 10.0% in 1997, but was reduced to its base index level of 7.0% two
years later. Bangkok's low tax rate, coupled with its below
average room prices, makes it one of the Tax Barometer's most price
competitive destinations. |
 |
Rank |
|
Average price for 12 restaurant meals
without taxes: |
$205.20 |
- |
|
Value added tax
(VAT): |
7.00% |
- |
|
Total charges for 12 meals with taxes: |
$219.57 |
- |
|
Total tax $ for 12 meals: |
$14.37 |
12 |
|
Percentage of total restaurant meals cost: |
6.54% |
13 |
|
Restaurant tax index: |
100 |
5 |
Summary: As is the case with the car rental and lodging sectors, Bangkok's
restaurant sector was affected by a 3.0% increase in the national VAT
in 1997. The VAT was subsequently reduced to 7.0% in 1999, and
average taxes paid on restaurant meals now rank as the 12th lowest
among all surveyed destinations. |
 |
Rank |
|
International passenger service charge: |
THB 500 |
- |
|
Total tax $ for international arrival and departure: |
$11.94 |
13 |
|
Percentage of total trip cost: |
1.26% |
21 |
|
Air passenger tax index: |
250 |
46 |
Summary:
Bangkok has increased its taxes on air passengers 150% since 1994.
The international passenger service charge was levied at a rate of THB
200 in the base index, and has since been increased two times: in
1996, from THB 200 to THB 250, and in 1998, from THB 250 to THB 500.
This percentage increase ranks as the seventh highest among all surveyed
destinations. However, the total amount of tax dollars collected
from air passengers remains below average (13th lowest out of 52)
compared to other Tax Barometer destinations. |
 |
|
Barometer No. 2:
A new 7.0% car rental tax was introduced.
Barometer No. 3:
The international
passenger service charge was increased from THB 200 to THB 250.
Barometer No. 5:
Thailand’s national
VAT was increased from 7.0% to 10.0%, affecting car rentals, meals,
and lodging.
Barometer No. 6:
The international
passenger service charge was increased from THB 250 to THB 500.
Barometer No.
8:
Thailand reduced its national VAT from 10.0% to 7.0%, affecting car
rentals, meals, and lodging.
|
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