Thai Revenue Department Confirms Reduced VAT Rate Extension and Exemptions

The Thai Revenue Department issued a notice on 2 August 2026 to confirm the extension of the reduced VAT rate of 7% for an additional year, from 1 October 2026 to 30 September 2027 (down from 10%). As previously reported, the extension was approved by the Thai Cabinet on 27 July 2026. In addition to the extension of the reduced rate, the notice further confirms that essential goods and services will remain exempt from VAT, such as unprocessed food ingredients (rice, meat, fruits and vegetabl…