What is the "Tourism Transformation Fund"?
The “Tourism Transformation Fund” was introduced as part of the Thai government’s industry restructuring program in 2021. Its goal is to shift the focus of the local tourism industry from catering to mass-market tourists to attracting a ‘quality market’ (i.e those who contribute greater value and income to Thailand).
It was announced that a tourist entry fee will be collected for all tourists coming into Thailand, whether via Bangkok, Chiang Mai, Phuket, Pattaya or other entry points. The fund was originally planned to be used toward creating more safe and clean places for sustainable, eco-friendly and higher-value tourism. In April 2022, the Thai government adjusted the objective of the fund. It will now be used to “develop tourist sites and offer tourists insurance“.
Background of Thailand's tourist entry fee
In 2021, the National Tourism Policy Committee approved a tourist entry fee of THB 300 per person, set to be implemented for tourists arriving in 2022. However, on 4 October 2021, Yuthasak Supasorn, the governor of the Tourism Authority of Thailand (TAT), unexpectedly announced a proposed increase to THB 500 per person. The government projected that THB 5 billion would be collected in 2022 based on an expected 10 million tourist arrivals.
The fee increase was later scrapped after protests from tourism operators, and the fee was reverted to THB 300. The collection was postponed twice, first to the last quarter of 2022 and then to the first quarter of 2023.
On 11 January 2023, the Thai Tourism and Sports Minister announced the fee would be collected starting in June 2023. The proposal was approved by the Thai Cabinet on 14 February 2023, and the fee was expected to take effect around 1 June 2023, or 90 days after publication in the Royal Gazette.
However, on 19 April 2023, the Tourism Minister announced a third delay, with the fee collection pushed back to September 2023. As the deadline approached, the plan remained uncertain, and the Tourism Authority of Thailand governor speculated that it would begin in 2024.
In an unexpected twist, former Thai Prime Minister Srettha Thavisin announced on 8 June 2024, that his government would cancel the THB 300 tourist fee proposed by the previous administration. As a result, tourists will no longer be required to pay the entry fee for visiting Thailand in the foreseeable future.
Thailand revives THB 300 tourist fee
On 27 February 2025, Thai Tourism and Sports Minister Sorawong Thienthong announced the reinstatement of the proposed THB 300 tourism tax. Foreign travelers arriving by air will be charged THB 300 per person, per trip. Those entering by land will pay the same fee but will not be subjected to additional taxes for re-entry within a 30 to 60-day period.
The tax is set to take effect by the end of 2025, with collection to be facilitated through the Thailand Digital Arrival Card (TDAC), which will be implemented starting 1 May 2025.