(Bloomberg) -- Most institutional investors in Thailand won't be exempted from a tax levied on stock transactions that will resume next year after more than three decades, authorities said.
Most Read from Bloomberg
Musk's Neuralink Hopes to Implant Computer in Human Brain in Six Months
Goldman Jolts Traders With Bonus Warning After Bumper Haul
Musk Suspends Ye From Twitter After Offensive Image Post
Beverly Hills Cop Was California's Highest-Paid Municipal Worker
Larry Summers Says Fed Will Need to Boost Rates More Than Markets Expect
While pension funds and market makers won't have to pay, other institutional investors must do so, Thai government spokesman Anucha Burapachaisri said in a statement Saturday. Thailand defines institutional investors that will be subject to the levy as individuals trading on their own accounts, funds other than pensions, and securities companies, which aren't market-maker accounts, he said.
Reports on exemptions for institutional investors are "misleading," Anucha said.
A tax of 0.05% will be imposed on stock transactions, which will be raised to 0.1% sometime in 2024, according to a finance ministry document this week after the cabinet approved the policy. The levy will initially take effect 90 days after it's notified in the Royal Gazette. Thailand halted the tax in 1992 to help promote equity trading.
Anucha said the level was similar to or lower than in other Asian countries. The government expects to generate about 8 billion baht ($230 million) in revenue in the first year, which may double to 16 billion baht per year when the levy is raised.
Most Read from Bloomberg Businessweek
11 Hours With Sam Bankman-Fried: Inside the Bahamian Penthouse After FTX's Fall
TikTok's Viral Challenges Keep Luring Young Kids to Their Deaths
Forget Zoom Calls, Remote Work Startups Want to Build a Virtual Office
Ryanair, EasyJet Scale Back in Germany Over Airport Fees
How a Ruling Family Tipped Sri Lanka Into Economic Free Fall
©2022 Bloomberg L.P.