Tourism Sector Backs Travel Tax Review, Calls for Clarity on Why, When and How

Following the government's delay of plans to collect an outbound travel tax, Chotechuang Soorangura, Advisor to the Thai Travel Agents Association (TTAA) and Deputy Managing Director of NS Travel and Tours Co., Ltd., stated on 26 October 2026 that this presents a good opportunity for all parties to review the overall cost burden on travellers across the system, amid energy and aviation costs that remain persistently high and competitive conditions that limit operators' ability to pass costs on to customers.

Why, When and How to Collect: Three Questions to Answer Before Moving Forward

Chotechuang proposed that before any travel-related tax or fee is collected, the relevant agencies should clearly answer three questions: why to collect it, when to collect it and how to collect it, covering the purpose of collection, the appropriate timing, the collection method, as well as guidelines on how the revenue will be used and verifiable performance indicators.

He emphasised that people travelling abroad are not limited to leisure tourists, but also include those travelling for work, further education, business or family visits, each with different necessities and purchasing power. Any consideration of new financial burdens should therefore examine both the projected revenue and the impact on travel simultaneously. If the outbound travel tax is reconsidered in the future, it should be designed in line with each group's ability to pay and include appropriate exemptions so that it does not become an obstacle to travel or to the competitiveness of Thailand's tourism sector.

As for the foreign tourist fee, which is a separate measure from the outbound travel tax, if it is to be collected, the payer groups, objectives and revenue allocation should likewise be clearly defined to deliver tangible benefits to travellers and to the development of tourist destinations.

Foreign Tourist Arrivals Reflect All-Round Pressures

Chotechuang said that Thailand's tourism sector continues to face pressure from the global economy, geopolitical uncertainty, energy prices, aviation costs and competition from neighbouring countries. Data from the Ministry of Tourism and Sports indicate that cumulative foreign tourist arrivals in Thailand have declined compared with the same period last year, while the Tourism Authority of Thailand (TAT) has maintained its full-year foreign tourist target, making the end of this year a critical period for the industry.

Although these figures represent inbound tourism data, which differs from the outbound travel tax associated with outbound travel, the overall picture reflects pressure on the competitiveness of Thailand's entire tourism industry. Any consideration of additional taxes or fees should therefore take a comprehensive view of the impact on the travel ecosystem and related businesses.

Partnering with a Financial Ally to Ease Price Pressure

As price competition makes profitability more difficult, NS Travel and Tours Co., Ltd. has continued to work closely with Krungthai Card Public Company Limited (KTC), leveraging KTC's member base and communication channels to reach travel-oriented customer segments more effectively, while expanding payment options and privileges to match customer behaviour across different periods.

Chotechuang concluded that in an environment where costs are rising but businesses cannot pass the full burden on to customers, competition should not rely on price alone. Operators must deliver value, convenience and offers tailored to customer needs. Having partners that expand marketing channels and payment options is therefore another essential element in maintaining long-term competitiveness.

This development is relevant to tour operators and airlines planning their cost structures for future tax policies, hoteliers and event organisers indirectly affected by foreign tourist arrival numbers, as well as general travellers monitoring how travel expenses may change in the period ahead.