Tourism revolt in Thailand. Three industry groups oppose a ฿1,000 airport departure tax, warning of higher airfares and weaker demand. Minister Surasak was unaware that foreigners faced the levy. Meanwhile, the draft sets a legal maximum levy of ฿5,000.
Thailand’s Finance Ministry is pushing ahead with a controversial departure tax despite mounting opposition from tourism and aviation leaders. The proposed ฿1,000 levy would hit Thais and foreign visitors alike, with the power to raise it to ฿5,000. Yet Tourism Minister Surasak Phancharoenworakul admits he was unaware foreigners would be charged. Meanwhile, Finance Minister Ekniti Nitithanpraphas wants to discourage Thais from holidaying abroad. Three major tourism associations have formally objected, warning of higher airfares, lost business and reduced flights. The dispute comes as Thailand faces a staggering ฿898.8 billion fiscal deficit, missed tax targets and mounting public debt. Some African countries already impose combined departure charges approaching $300. Now, with a separate ฿450 tourist entry levy also planned, Thailand faces a growing battle over taxation, tourism and its deteriorating public finances.
Thailand’s Finance Ministry faces growing opposition to its proposed ฿1,000 departure tax on international air passengers. Three major tourism associations have formally challenged the plan, warning of damage to travel demand and airline connectivity.
Meanwhile, Tourism Minister Surasak Phancharoenworakul has revealed he was unaware foreign visitors would also be taxed. Finance Minister Ekniti Nitithanpraphas remains determined, arguing that the levy could discourage Thais from holidaying overseas.
Crucially, the proposed law permits the tax to rise fivefold to ฿5,000 per passenger. The initiative comes amid mounting budget deficits, missed revenue targets, weak economic growth and rising public debt.
Thailand proposes ฿1,000 air departure tax with power to raise levy fivefold to ฿5,000 per passenger
The Revenue Department opened public consultation on the proposed Departure Tax Act on September 30. The consultation closes on October 29. Under the draft, Thai citizens and foreign nationals would initially pay ฿1,000 whenever departing Thailand by air.
The charge would apply regardless of travel purpose. Consequently, holidaymakers, business travellers, students and overseas workers would all face the new expense, subject to specified exemptions.
Airlines and ticket agents would collect the levy through ticket sales. Land and sea departures would initially remain exempt. Additionally, children under two, qualifying transit passengers and certain official government guests would not pay. The draft also provides enforcement powers, financial penalties and surcharges for non-payment.
However, the legislation goes considerably further than the initial ฿1,000 charge. Section 8 establishes a maximum departure tax of ฿5,000 per passenger. Moreover, the government could adjust the rate through ministerial regulations. Future increases within that ceiling would therefore not require another Act of Parliament. If enacted, the legislation would take effect 180 days after publication in the Royal Gazette.
Finance Ministry revives departure tax after 35 years as Ekniti seeks to keep Thai spending at home
For now, the proposal remains under consideration. Cabinet approval has not been confirmed, and no implementation date has been announced. Nevertheless, the Finance Ministry continues the consultation process despite widening opposition from tourism businesses and aviation representatives.
The initiative would revive departure taxation under legislation introduced more than four decades ago. Thailand originally established the framework in 1983. Subsequently, land and sea departures received exemptions in May 1986. International air travel was exempted in July 1991. The latest proposal would therefore restore departure taxation for air passengers after 35 years.
Notably, the new legislation would extend coverage to travellers of every nationality. The earlier framework covered Thai citizens and foreign permanent residents. The Finance Ministry has presented the proposal as a means of strengthening government revenue and improving fiscal flexibility. However, Finance Minister Ekniti has identified another objective: encouraging Thai citizens to spend their holidays domestically.
On October 7, Ekniti publicly defended the proposal. He argued that discouraging overseas holidays could retain more Thai spending within the country. In turn, that spending would support domestic tourism, local businesses and communities. The Deputy Prime Minister therefore presented the levy as both a revenue measure and an instrument influencing travel choices.
Tourism Minister Surasak says he was unaware foreign visitors would face the proposed departure tax
Yet the proposed tax would not distinguish between overseas holidays and other international journeys. Thai citizens travelling for employment, education, business or family commitments would face the same initial charge. Equally, foreign tourists leaving Thailand would be required to pay. This wider application has become a central point of contention.
Indeed, the minister responsible for tourism was unaware that foreign visitors were included. On October 8, Tourism and Sports Minister Surasak Phancharoenworakul publicly questioned the Finance Ministry’s proposal. Speaking to Thai media outlet Thansettakij, he explained that he understood the measure to concern Thai citizens travelling overseas.
Surasak believed the revenue might support domestic tourism programmes, reducing the need for direct government subsidies. However, he had not previously been informed about the proposed tax on foreign tourists. In response, he said he intended to obtain the draft legislation and discuss the matter directly with Ekniti.
The Tourism Minister also questioned the wisdom of charging foreign visitors when another tourist levy was already under consideration. That separate proposal would impose a ฿450 entry charge on eligible foreign arrivals, initially targeting air passengers. Furthermore, Thailand already collects airport passenger service charges from international travellers.
Surasak questions overlapping tourist charges as travel agents launch formal opposition to departure levy
Surasak questioned whether foreign visitors should face additional charges both when entering and leaving Thailand. Instead, he suggested considering one collection mechanism rather than imposing overlapping fees.
No agreement between the two ministers has been confirmed. The intervention exposed differences between the Finance Ministry’s taxation plans and the concerns of the Tourism and Sports Ministry.
Meanwhile, private sector criticism has developed into organised opposition. The Association of Thai Travel Agents (ATTA) was among the first major organisations to challenge the draft legislation. Its secretary-general, Dr Adith Chairattananon, confirmed that the association had adopted a formal position against the proposal. The organisation, led by president Thanapol Cheewarattanaporn, prepared an objection addressed to Ekniti.
On October 8, local media reported six principal arguments raised by ATTA. The association first challenged the treatment of international departures as discretionary holiday spending. Thai citizens also travel overseas for education, employment, trade, investment and other economic activities. Accordingly, the proposed levy would affect people whose journeys had no connection with holidays.
Travel agents warn new tax could raise fares, cut airline routes and hit businesses recovering from floods
A second objection concerned the accumulation of travel charges. ATTA warned that passengers already faced higher airport fees, with another foreign tourist entry charge under consideration. The proposed departure tax would therefore increase costs across several categories of international travel.
The association also questioned the timing. Households and small businesses were still recovering from serious flooding, while economic conditions remained difficult. Against that background, ATTA warned that another charge would increase pressure on businesses and consumers.
A fourth objection concerned airlines. Higher ticket prices could weaken passenger demand and reduce aircraft load factors. Consequently, some international routes might become less commercially attractive. Airlines could respond by reducing flight frequencies, available seats or planned services.
ATTA also highlighted the wider economic importance of outbound travel. The association cited more than 13 million Thai outbound travellers and emphasised international commercial relationships. Overseas journeys support trade, investment, education and business cooperation. Therefore, the association argued that their economic importance extended beyond holiday spending.
Finally, ATTA demanded a comprehensive assessment of the measure’s economic consequences. It argued that projected tax receipts should not be considered separately from wider costs. The association urged the Finance Ministry to suspend progress while consulting tourism, transport and business representatives.
Thai Hotels Association opposes departure tax over risks to foreign tourism and international flights
On another front, the Thai Hotels Association (THA) joined the opposition on October 9. THA president Thienprasit Chaiyapatranun confirmed that the association had written to the Revenue Department’s director-general. Its submission opposed the draft legislation and warned about Thailand’s competitiveness against other regional tourism destinations.
The association identified potential consequences for hotels, restaurants, retailers, tour operators and smaller businesses dependent on foreign visitors. In particular, it warned that higher travel costs could weaken demand. The concerns also extended to international airline connectivity, which supports Thailand’s inbound tourism industry.
Airlines depend on passengers travelling in both directions when assessing international routes. Accordingly, weaker Thai outbound demand could affect services bringing foreign tourists into Thailand. The THA warned that reduced passenger volumes might eventually lead to lower flight frequencies or capacity.
Its objections therefore extended beyond the direct cost of the proposed tax. The association warned that airlines, hotels and other businesses could face consequences from weaker international connectivity. It requested withdrawal of the proposal or a comprehensive economic impact assessment before further consideration.
Aviation industry warns flat ฿1,000 departure tax could hit low-cost passengers and airline route demand
Separately, senior aviation industry sources criticised the measure in reporting published by The Standard on October 9. One source characterised the proposal as an easy way to raise revenue while imposing wider costs on tourism. Another warned that airlines were unlikely to absorb the additional expense. Instead, passengers would ultimately face higher ticket prices.
The potential impact is particularly significant for short-haul and low-cost travel. An additional ฿1,000 represents a larger proportion of a cheap regional ticket than an expensive intercontinental fare. Yet the draft makes no distinction between short and long journeys. Nor does it differentiate between economy and premium-class passengers.
As a result, passengers using low-cost regional services would face the same flat tax as long-haul business-class travellers. Aviation representatives also warned about the consequences for international route planning. Airlines assess passenger demand in both directions when determining commercial viability.
If outbound traffic weakened, some international services could become less profitable. Reduced frequencies or capacity could then affect inbound tourism. These remain industry forecasts rather than established effects. The proposed tax has not been implemented, and no resulting passenger decline has been measured.
Outbound travel operators challenge departure tax and warn of damage to Thailand’s aviation ambitions
Opposition intensified further when the Thai Travel Agents Association (TTAA) entered the dispute. On October 11, president Kalayanee Asanee confirmed that the organisation had written directly to Ekniti. The association represents businesses arranging overseas travel for Thai customers. Its submission opposed the proposed ฿1,000 charge on Thai citizens.
TTAA argued that the levy would impose a burden regardless of travellers’ financial circumstances or reasons for departure. Furthermore, it challenged the assumption that international travel simply removed consumer spending from Thailand. The association identified trade, investment and human resource development as important reasons for overseas journeys.
The organisation also warned about consequences for aviation and inbound tourism. According to TTAA, airlines depend on sufficient traffic in both directions to sustain international services. Lower outbound demand could therefore weaken the commercial case for maintaining routes. Operators might reduce frequencies, seating capacity or investment in new services.
TTAA argued that such consequences would conflict with Thailand’s ambition to become a regional aviation hub. It also identified unresolved taxation problems already affecting outbound tour operators. In particular, the association raised longstanding concerns about value-added tax on overseas travel services.
Thai travel agents challenge overseas tour VAT rules and question Revenue Department consultation process
Thai tour operators purchase accommodation, meals and other services in foreign destinations. Those purchases can already include taxes imposed where the services are consumed. However, TTAA argued that operators also face Thai VAT complications involving those overseas costs.
Some expenses cannot be used to claim corresponding Thai input tax credits, according to the association. Consequently, operators may face cumulative taxation on elements of their international tour packages. TTAA has repeatedly called for the government to review this treatment.
The association argued that taxation should reflect where goods and services are consumed. It therefore opposed introducing another international travel tax before resolving the existing VAT problem. These concerns added a separate business taxation dispute to the widening campaign against the departure levy.
TTAA also criticised aspects of the Revenue Department’s public consultation. Specifically, it questioned the reliability of responses collected through the online questionnaire. The association raised concerns about limitations in verifying respondents’ identities and the wording of certain questions.
One objection concerned the distinction between taxing Thai citizens and taxing foreign visitors. Respondents might oppose a tax on Thai nationals while holding different views about foreign travellers. However, TTAA argued that the questionnaire did not clearly accommodate those differences.
Three tourism groups oppose departure tax as airport charges and proposed tourist fees mount for visitors
The association requested additional opportunities for directly affected businesses to submit detailed responses. It also demanded an economic assessment covering citizens, businesses, airline connectivity and tourism competitiveness. By October 12, three major tourism associations had formally challenged the proposed legislation.
ATTA focused on wider economic consequences and international travel costs. The THA highlighted inbound tourism, hotel businesses and aviation connectivity. Meanwhile, TTAA raised outbound travel, aviation policy, VAT complications and the consultation process. Despite these objections, the Finance Ministry has not withdrawn the proposal.
The dispute comes after Thailand substantially increased existing airport charges. On June 20, Airports of Thailand raised its international passenger service charge from ฿730 to ฿1,120. That represented an increase of ฿390, or approximately 53.4%. Consequently, the proposed ฿1,000 departure tax would bring combined departure charges at AOT airports to ฿2,120.
For eligible foreign visitors, another proposed charge remains under consideration. The government is separately examining a ฿450 tourist entry fee, initially applying to air arrivals. If both measures proceeded, eligible visitors would face three separate travel-related charges.
These comprise the existing ฿1,120 airport fee, the proposed ฿1,000 departure tax and the proposed ฿450 entry charge. Together, they would total ฿2,570 per eligible passenger. For a family of four, the combined amount would reach ฿10,280. Of that total, ฿5,800 would arise from the two proposed new measures.
Draft tax ceiling of ฿5,000 would push combined passenger charges higher as Africa provides comparison
However, only the higher airport passenger service charge is currently in force. Neither the new departure tax nor the separate tourist entry charge has been implemented. The distinction is important because the government’s combined charging plans remain subject to separate decisions.
More significantly, the draft Departure Tax Act permits a much higher rate than the proposed initial ฿1,000. At the statutory ceiling of ฿5,000, the departure tax and existing AOT fee would total ฿6,120. Adding the proposed ฿450 tourist entry charge would increase the combined amount to ฿6,570 for an eligible visitor.
The maximum departure tax would therefore be five times the initial rate. Furthermore, the government could make increases through ministerial regulations within the proposed statutory ceiling. This would provide substantial flexibility to raise collections without passing another Act.
International comparisons show that several countries already impose substantial charges on departing air passengers. Notably, some of the highest combined taxes and airport fees are found in Africa. The African Airlines Association (AFRAA) examined passenger charges using data collected in September 2024. Its findings were published in June 2025.
Gabon and Sierra Leone approach $300 in combined air departure charges as regional differences widen
Gabon recorded the highest combined international departure charges in the African study, at $297.70 per passenger. Sierra Leone followed at $294, while Nigeria ranked third at $180. Djibouti recorded $168.70, placing it fourth among the countries examined.
Niger followed at $130.70, Benin at $123.40 and Senegal at $122.60. Liberia recorded $115, Ghana $111.50 and the Democratic Republic of Congo $109.90. Chad’s combined charges reached $105.70.
Importantly, these figures include government taxes, airport fees and other passenger charges. They are not standalone departure taxes directly comparable with Thailand’s proposed levy. Nevertheless, they establish the substantial costs attached to international departures in several African countries.
Sierra Leone’s combined figure had more than doubled from $139 in 2022. That represented an increase of approximately 111.5%. Nigeria’s charges also rose sharply, increasing from $120 in 2022 to $180 in 2024.
By contrast, Djibouti recorded a reduction from $184.40 to $168.70. Niger’s charges also declined, falling from $148.30 to $130.70. The figures show considerable differences between individual African countries and changes over the two-year period.
AFRAA also identified substantial regional variations. West Africa recorded the continent’s highest average international departure charges, at approximately $110 per passenger. Central Africa followed at $107, while Eastern Africa averaged $63. Southern Africa recorded $35 and Northern Africa $25.
African departure charges vary sharply as IATA study finds substantial aviation taxes in other countries
Across the continent, combined international departure taxes and charges averaged $68 in 2024. That compared with $66 in 2022. The figures include multiple passenger charges rather than government departure taxes alone.
Separate research by the International Air Transport Association examined specific aviation taxes across 55 countries. Argentina recorded the highest average among those studied, at approximately $138 per departing passenger. Mauritius followed at $64, while Mexico averaged approximately $50.
Britain averaged $37, the United States $29, Egypt $28 and Germany $20. However, individual British departure taxes can be substantially higher than the national average. The country’s Air Passenger Duty varies according to journey distance and travel class.
From April 2026, Britain’s long-haul economy rate reached £106 per passenger. Premium-class passengers on comparable routes faced charges of £253. Meanwhile, the highest rate reached £1,141 for passengers travelling on qualifying larger private aircraft.
The Netherlands imposes a flat departure tax of €30.25 in 2026. Australia also collects a Passenger Movement Charge of A$70. Thailand’s proposed initial ฿1,000 levy is equivalent to approximately $30.
However, the proposed ฿5,000 ceiling represents approximately $150. At that level, Thailand’s standalone tax would exceed Argentina’s $138 average in the IATA study. It would also exceed the averages reported for Mauritius, Mexico, Britain, the United States, Egypt and Germany.
Finance Ministry pursues new tax as Thailand faces ฿898.8 billion deficit and mounting public debt
By comparison, Gabon and Sierra Leone already record combined international departure charges approaching $300. Those African figures include airport charges as well as taxes. Nevertheless, they demonstrate the scale of passenger charges imposed in some international aviation markets.
The Finance Ministry’s determination to pursue another tax comes amid mounting pressure on Thailand’s public finances. The country’s fiscal 2025 accounts recorded a deficit of approximately ฿898.8 billion. That represented an increase of 20.6%. In addition, all three major tax collection departments missed their revenue targets.
Public debt reached approximately 65.08% of gross domestic product. Consequently, Thailand has limited headroom beneath its existing 70% public debt ceiling. Weak economic growth is also restricting the expansion of the government’s revenue base.
At the same time, expenditure commitments continue to place pressure on public finances. The combination leaves the Finance Ministry facing substantial financing requirements and limited fiscal flexibility. Additional revenue sources have therefore become increasingly important to the government’s financial position.
The proposed departure tax forms part of that broader fiscal picture. The Finance Ministry has presented the legislation as a means of strengthening government resources. Separately, Ekniti has argued that discouraging overseas holidays could retain more Thai spending within the domestic economy.
Departure tax targets all passengers despite Finance Minister’s aim to discourage Thai overseas holidays
However, those objectives affect different groups of travellers. The revenue measure would apply to all departing passengers covered by the legislation. By contrast, the domestic tourism argument principally concerns Thai residents choosing between overseas and domestic holidays.
Foreign visitors would also pay the tax, despite their spending already contributing to Thailand’s tourism economy. The legislation would therefore collect revenue from travellers whose journeys had no connection with the Finance Minister’s domestic holiday objective.
Moreover, the proposed ฿5,000 ceiling would give the government considerable scope for future increases. The initial ฿1,000 charge could rise fivefold without another Act of Parliament. That provision carries particular significance amid growing pressure on government revenue.
Thailand faces a deficit approaching ฿900 billion, missed tax collection targets and rising public debt. Furthermore, weak growth limits the expansion of revenue collections while spending commitments continue. These conditions have raised concerns about the country’s fiscal position in the coming years.
The figures establish mounting fiscal pressure, although they do not demonstrate that a fiscal crisis is inevitable. Nor does the supplied reporting identify a verified official revenue forecast for the proposed departure tax. The wider economic consequences identified by tourism associations also remain projections rather than measured outcomes.
Rising fiscal pressure fuels departure tax dispute as tourism groups warn of costs to international travel
Nevertheless, the fiscal pressures facing the Finance Ministry are substantial. A deficit approaching ฿900 billion creates significant financing requirements. Meanwhile, public debt is moving closer to the statutory ceiling. Weak economic growth further restricts the government’s ability to increase revenue through economic expansion.
Against this background, the departure tax has become a dispute over both government revenue and tourism competitiveness. The Finance Ministry would gain another source of revenue and the ability to increase rates. Tourism businesses, however, warn that higher travel costs could damage demand and international airline connectivity.
The political differences are equally clear. Ekniti has publicly defended the levy as a means of retaining Thai holiday spending domestically. Surasak, meanwhile, has questioned its application to foreign visitors and the prospect of overlapping entry and departure charges.
Three major tourism associations have now formally opposed the measure. Their submissions raise concerns about airline capacity, hotel demand, international business travel and existing taxation problems. Aviation industry representatives have added warnings about higher ticket prices and weaker route profitability.
Consultation closes October 29 with tax still unapproved and questions over foreign visitors unresolved
The next deadline is October 29, when the Revenue Department’s public consultation closes. Afterwards, the government must decide whether to advance, amend or abandon the legislation. Cabinet approval has not been confirmed, and no implementation date has been announced.
Several questions remain unresolved. The Finance Ministry has not confirmed whether it will reconsider charging foreign tourists following Surasak’s intervention. Similarly, the supplied reporting identifies no comprehensive economic impact assessment or verified official revenue forecast.
Failing foreign tourism sector at war over tourist levy and exactly who benefits from the billions raised
New taxes simply for going in and out of Thailand in addition to higher airport tax already implemented
The government has also not confirmed whether additional exemptions will be considered. Nor has it established how the departure tax would operate alongside the separate ฿450 tourist entry charge.
For now, the Finance Ministry continues to pursue the proposal despite increasingly organised opposition. Its draft would initially collect ฿1,000 from international air passengers, with legal scope to increase the charge to ฿5,000.
Meanwhile, the government faces weak revenue performance, a widening deficit and public debt approaching its statutory limit. The departure tax would introduce another revenue source as those pressures intensify. However, its final scope and rate remain undecided ahead of the October 29 consultation deadline.
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