Mr Apisak says the VAT payback scheme will go before the cabinet next week or the week after. The six-month period of value-added tax (VAT) payback to welfare smartcard holders is estimated to cost the government 3 billion baht. Based on the 7% VAT, welfare recipients must purchase 7,000-8,000 baht a month to receive 500 baht back from VAT return. The VAT payback is the government's new short-term measure to assist low-income earners by creating more disposable income for them to strengthen their purchasing power and boost domestic consumption. Mr Apisak said recently that the VAT payback is not considered a tax refund, as it will be financed by the state's annual budget.

Source: Bangkok Post September 07, 2018 21:11 UTC