Pollution Tax?
Thailand is all set to introduce a new Pollution Tax soon. The law, which puts controls only on wastewater and air pollution, lists tax rates that vary with the size of a plant and the quantity of its toxic emissions.
Of the total taxes collected, 3 per cent will go to the Excise Tax Department, 25 per cent to the Industry Ministry as the budget for its plant audits, and the rest to a research and development (R&D) fund.
The R&D fund would be used to improve environmental quality by building up the central waste-treatment facility and monitoring pollution. The fund will also provide low-interest loans for factories to meet environmental standards.
Way back in 2000, the IIT Kharagpur in a study had recommended imposition of taxes for pollution.
Several countries have experimented with this pollution tax. Now we should decide, whether this will also be part of our GST.