BANGKOK, 8 December 2016: Kasikorn Research Centre estimates Bangkok residents will generate THB44,000 million in tourism-related revenue, up 5% on Q4, last year, as they spend their end-of-the-year holidays up-country during the last quarter.
The bank’s think-tank unit conducted a survey of 982 Bangkokians questioning them on travel plans in Q4. The survey was carried out 10 October to 18 November this year.
According to the survey, 66.0% of respondents plan to travel in the country at least one time mostly with their families and friends.
Chiang Mai was the top travel destination followed by Chiang Rai, Loei, Krabi and Chonburi.
Chiang Rai is a surprising second on the wish-list and that is partly due to Tourism Authority of Thailand ‘s promotions that identify its natural attractions and cool weather, November through to February.
The bank survey indicated domestic travellers would spend THB1,000 to THB2,000 per person per trip on food and beverage; THB1,000 to THB1,500 on accommodation; and THB500 THB1,000 on shopping.
In addition, 21.4% of those interviewed said they had not made a decision where to travel and this would give tour operators an opportunity to sell holidays to this group ahead of the New Year.
The government’s THB15,000 tourism tax break measure for December will help to encourage them. The majority of potential travellers are Bangkok residents ,who earn a salary of around THB30,000 to THB50,000 a month.
The tax rebate is a strong incentive to plan a trip.
The tourism stimulus package offers Thai citizens a tax break when they buy a domestic tour packages or hotel accommodation. When the same tax break was offered in the past it proved to be so successful it prompted hotel and travel agents associations to recommend it be reinstated this year.
Instead a limited version came into effect, 1 December and expires at the end of the year, a much shorter period than what was offered in previous campaigns.
An individual traveller can deduct expense for tourism purpose not exceeding THB15,000 for the month of December when they file their tax returns at the end of March 2017.
The Cabinet also agreed to reinstate hotel accommodation as a tax deductible item until the end of this year after the ruling expired 31 December last year. The maximum deduction is also THB15,000 per person, but must be supported by invoices.
Travellers have the right under the two schemes to deduct up to THB30,000 from their 2016 tax returns.
Travel and hotel associations also recommended that the scheme be limited only to registered and tax paying establishments, a point the government included in the tax rebate rules.
Kasikorn Research Centre is a subsidiary company of Kasikorn Bank, which conducts tourism and business research mainly on Thailand’s economy including tourism with reliable recommendations and indicators on business prospects.
