Thailand is set to eliminate its tax exemption for low-value online purchases starting January 2026, imposing import duties and a 7 percent value-added tax (VAT) on all foreign goods purchased online, including items valued as low as THB 1 (USD 0.03).
Customs Director-General Panthong Loikulnan announced on 5 November that the country will abolish the long-standing exemption for imports valued under THB 1,500 (approximately USD 44), which had previously allowed many overseas purchases to bypass taxation.
According to Panthong, the policy change is designed to align Thailand with global practices by closing tax loopholes and leveling the playing field between overseas sellers and domestic retailers.
The Customs Department projects the new system will generate approximately THB 3 billion (USD 88 million) in annual revenue.
Panthong also acknowledged that consumers may face higher prices under the new tax regime. However, he emphasized that purchasing goods from foreign manufacturers does not contribute to domestic employment or support local raw material industries.
To facilitate implementation, authorities plan to collaborate with major e-commerce platforms operating in Thailand, including Shopee, Lazada, and TikTok, to integrate data systems for more efficient and accurate tax collection.


