How tax is calculated on Thai market cars
For domestically produced cars, or cars that are import-duty-free under a free-trade-agreement, there are three taxes that apply:
* Excise tax (See table below)
* Interior tax (which is 10% of the calculated excise tax value)
* VAT (7%)
Calculations:
Excise Tax: Factory Cost * Excise Tax Rate / (1-(1.1 * Excise Tax Rate))
Interior Tax: Excise Tax * 0.1
VAT: (Factory Price + Excise Tax + Interior Tax + Profit) * 0.07
Total Taxes: Excise + Interior Tax + VAT
For imported (new) cars, there are 4 taxes that apply:
* Import Duty (80%)
* Excise tax (See table below)
* Interior tax (which is 10% of the calculated excise tax value)
* VAT (7%)
Import Duty: (Cost + Insurance + Freight) * 0.8
Excise Tax: (CIF + Import Duty) * Excise Tax Rate / (1-(1.1 * Excise Tax Rate))
Interior Tax: Excise Tax * 0.1
VAT: (CIF + Import Duty + Excise Tax + Interior Tax + Profit) * 0.07
Total Taxes: Import Duty + Excise Tax + Interior Tax + VAT