Thailand’s Excise Department is prioritizing the development and implementation of a blockchain-based tax collection system. According to officials, it will increase the efficiency of the procedure and help restore the country’s economy from the consequences of the coronavirus pandemic.
The Thai Excise Department is a division of the Ministry of Finance. The department’s task is to collect taxes on certain groups of goods that are sold in the country. Blockchain aims to modernize this. The idea of implementation is to avoid a forced increase in taxes. The country’s governing bodies are looking for ways to optimize economic performance in any other way available, and blockchain has been recognized as an effective solution at the state level.
Department General Director Lavaron Sangsnit announces the launch of the program in fiscal 2021. The Tax Administration and the Customs Administration will join the initiative subsequently.
Representatives of the three departments promise that the new blockchain-based system will solve a number of bureaucratic issues. It is expected that the quality of interaction between departments will improve, and a number of tax evasion schemes will become impossible in the new format. The Excise Department project was launched in 2020 to evaluate tax returns for oil exports. The need arose due to the increased income from the industry. The first quarter of 2021 should be the launch moment of the system.
In addition, Thai Courts Administration presented its blockchain project earlier in 2020. They expect to use a distributed network to store court documents. The launch is also announced for 2021. At the same time, Thailand’s SEC has already simplified the introduction of digital assets into the fixed assets of companies.