Government Continues to Subsidize Tax on Hotel Owners

Mrs. Boonkrit Kusonwit, Chairwoman of the Thai Hotels Association Eastern Chapter (THA-EC) said, “ We have submitted seven factors to the government to help increase revenue for hotel owners and two factors have so far been approved. The seven factors that we submitted in June were

■ Get the government to negotiate with the banks to extend  loan payments for  three years.

■ Get the government to negotiate with the banks to give the owners six more months to repay money borrowed.

■ Get the government to help with paying interest; 3% for hotel owners in Bangkok and 2% for hotels in other provinces.

■ For the hotel owners to be exempt for this year’s property tax.

■ For hotel owners to be exempt from paying ‘80 baht per room per year’ fee for one more year.

■ Get the government to allow a budget of 12 million baht for the THA-EC to hold Human Resource Development training programs to improve the quality and service standards of hotel workers.

■ For hotel owners and employees to be exempt from Social Security payment contributions until the end of 2011.

So far the government has allowed hotel owners to be exempt from paying ‘80 baht per room per year’ fee until December 31, 2011. In addition, the government has also granted a budget of 12 million baht to be used for the THA-EC to hold Human Resource Development training programs to improve the quality and service standards of hotel workers as well.”

“Projects to help hotel owners to increase revenue will still continue even though the economy has already improved. Our tourism level is not yet as good as expected so we will still continue to ask the government for help in terms of being exempt from tax. Other factors that we submitted are still under consideration and if approved, hotel owners can expect a better year ahead,” added Mrs. Boonkrit.