Passengers at the Departures hall at Suvarnabhumi International Airport in Thailand. Narin Nonthamand / Shutterstock.comThailand’s proposed ฿1,000 departure tax is prompting concerns over travel costs and destination competitiveness, as hotel and travel-agent associations urge the government to reconsider a measure that could add to the cost of international air travel.
The proposal comes as Thailand’s tourism industry faces an uneven recovery. The Thai Hotels Association (THA) has warned that visitors from ASEAN markets are down around 20% and expects tourism performance in the fourth quarter of 2026 to remain broadly flat compared with the same period last year.
Under a draft law published by the Revenue Department, the proposed tax would initially apply to eligible air passengers of all nationalities leaving Thailand, at a rate of ฿1,000 per departure. The legislation sets a statutory ceiling of ฿5,000 per departure, although the initial proposed rate is ฿1,000.
Public consultation runs until 29 October 2026. The measure has not been approved or implemented.
Travellers could face higher combined charges
The Thai Hotels Association has formally opposed the proposal, warning that additional charges could make Thailand less competitive against destinations elsewhere in Asia.
In its submission to the Revenue Department, the association estimated that foreign travellers could face combined travel-related charges of ฿2,570 per person if three separate measures apply: the existing ฿1,120 international Passenger Service Charge at Airports of Thailand (AOT) airports, the proposed ฿450 foreign tourist fee and the proposed ฿1,000 departure tax.
The international Passenger Service Charge increase took effect on 20 June 2026, rising from ฿730 to ฿1,120 per departing international passenger at six AOT-operated airports: Suvarnabhumi, Don Mueang, Chiang Mai, Mae Fah Luang Chiang Rai, Phuket and Hat Yai. The charge is incorporated into air tickets.
By contrast, the proposed ฿450 tourist fee and ฿1,000 departure tax remain separate measures under consideration. Neither should be treated as an existing charge.
The Association of Thai Travel Agents has also questioned the departure tax, adding to calls for the government to assess its potential effects on travel demand and the wider tourism economy.
Tourism industry weighs the cost of travel
The debate comes as Thailand seeks to sustain international visitor demand and strengthen tourism revenue.
According to the Ministry of Tourism and Sports, Thailand welcomed 32.97 million international visitors in 2025, generating approximately ฿1.54 trillion in foreign tourist revenue. International arrivals declined by 7.23% from 2024, while revenue from foreign visitors fell by 4.71%.
Thailand’s source-market performance was mixed in 2025, with Malaysia and China remaining its largest visitor markets despite declines of 8.71% and 33.55%, respectively, while India and Russia recorded growth of 16.82% and 8.80%, respectively. India, Russia and the UK also delivered strong tourism revenue growth of 22.61%, 9.77% and 21.70%, respectively, with India, Russia, the UK, Germany and France all reaching historical highs in visitor numbers.
Against this backdrop, tourism businesses are concerned that higher travel costs could influence destination choices, particularly among price-sensitive travellers and regional visitors with multiple destinations within reach.
The THA has warned that additional charges could make Thailand less attractive compared with destinations such as Vietnam and Hong Kong. It has also raised concerns that weaker outbound travel demand among Thai residents could affect airline route economics, potentially leading to reduced flight frequencies or fewer new routes.
Such changes could affect inbound tourism as well as outbound travel, limiting flight options for international visitors and potentially increasing fares. These remain industry concerns rather than confirmed outcomes of the proposed tax.
The implications extend beyond hotels. Airlines, travel agencies, restaurants, retailers and local tourism operators could also be affected if additional costs influence booking decisions or reduce discretionary spending during a trip.
However, the extent of any effect on travel demand remains uncertain. The proposed tax has not been implemented, and no quantified assessment of its likely impact on visitor numbers has been published.
Consultation remains open
The Revenue Department opened its public consultation on the draft Departure Tax Act on 30 September, inviting feedback from travellers, airlines, ticket agents, airport operators, businesses and the general public. Submissions can be made through the department’s official consultation page until 29 October.
If enacted, the legislation would take effect 180 days after publication in the Royal Gazette. Under the draft, tickets purchased before the law takes effect would be exempt from the new tax, even if departure takes place on or after its commencement date.
For now, travellers do not need to pay the proposed levy.
The consultation gives tourism businesses and other stakeholders an opportunity to present evidence on the proposal’s potential economic effects before the government determines the next steps.
For Thailand’s tourism industry, the outcome will matter not only for the cost of air travel, but also for how the country balances revenue generation, domestic tourism support and its position in an increasingly competitive regional travel market.
