The Study of Fiscal Instruments for Increasing Land Use in Thailand
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Published:
Jun 2, 2019
Keywords:
Land Tax Land Holdings Vacant Land
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Abstract
This research is concerned with the study of fiscal instruments for increasing land use in Thailand. The aim of this study are to analyze land use in Thailand and evaluate the economic loss of vacant land. This research also reviews some of the fiscal instruments related to land taxation. Based on the GIS database in 2015, provided by the Land Development Department to analyze the land use, and characteristics by region and province. It was found that, over the last eight years, the rate of vacant land in Thailand has been in decline. The largest area of vacant land was in the north, while Ubonratchathani province used land the least. Most of the vacant land was agricultural , which included meadows, natural woods and low-land areas. When the vacant land was assessed in terms of economic loss, it was currently found that Thailand has inefficient land use for agricultural, commercial, industrial and residential areas. If these areas are used more effectively, it can increase the value of land use by 4.41 percent of the GDP, which presents the amount of opportunity cost from using land ineffectively about 640,440 million baht. Recently-used land taxation, e.g. local administration tax, still results in the concentration of land possession, which indicates the ineffectiveness of tax instrument. Therefore, the government should use other types of land taxes, such as wealth tax ,land and buildings taxes in order to decrease the rate of uncultivated or vacant land possession, The study, however, has proven that only wealth tax was significantly efficient to stimulate the use of this vacant land.
Article Details
How to Cite
Thananupappun, A., K.perpoomwiwat, C., & Ananapibut, P. (2019). The Study of Fiscal Instruments for Increasing Land Use in Thailand. Journal of Management Science Chiangrai Rajabhat University, 14(1), 139–170. Retrieved from https://so03.tci-thaijo.org/index.php/jmscrru/article/view/147044
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Research Articles
Views and opinions expressed in the journal do not necessarily reflect those of the editors.
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Towbina and Weberb (2014) .Speculation and the U.S. Housing Boom. Retrieved June 2, 2016, from https://www.bundesbank/.
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Yasith, P. (2015). Land and building taxation. Retrieved November 24, 2015, from https://library2.parliament.go.th (in Thai)
Ainembabazi, J.H. & Angelsen, A. (2016). Land Inheritance and Market Transactions in Uganda. Retrieved 30 July, 2017, from https://le.uwpress.org/content/by/year
Ananapibut, P. (2012). The reform of the tax system for thai society equal. Retrieved May 12, 2017, from https://www.econ.chula.ac.th/public/publication/project/Poli/Full-Paper_tax_pan.pdf (in Thai)
Fatta, G. (2014). The Effect of Land Speculation on the Housing in the City of Jeddah. Retrieved March 3, 2015, from https://cardinalscholar.bsu.edu/bitstream/handle/123456789/198189/FattaG_2014-2_BODY.pdf;sequence=1
Felipe, M., Alexandra, P., & Miguel, V. (2008). Determinants of Urban Vacant Land Evidence form , Chile. Retrieved July 29, 2017, from https://portal.lib.ku.ac.th.
Fiscal Policy Office. (2016). Land and building tax rates. Retrieved May 5, 2017, from https://www.mof.go.th/home/eco/200659.pdf (in Thai)
French-property. (2015). French Wealth Tax. Retrieved March 3, 2015, from https://www.french-property.com.
Garner, O. & Gary, O. (2010). Approaches for Calculation of Holding Costs in the Context of Greenfield Residential Development. Retrieved July 29 ,2017, from https://www.prres.net.
Government Housing Bank. (2016). Land evaluation in 2016-2019. Retrieved July 28, 2017, from https://www.ghbhomecenter.com (in Thai)
Groves (2009). The Impact of Positive Property Tax Differentials on the Timing of Development. Retrieved February 6,2016, from https://www.sciencedirect.com/journal/regional-science-and-urban-economics.
Japanese Fixed Property Tax. (2003). Land and Property Taxation. Retrieved 29 March 3, 2015, from https://www.worldbank.org.
Khuprakhon, K. (1999). Land economics. Bangkok: Ramkhamhaeng University Printing House. (in Thai)
Laovakul, D. (2012). Fiscal policy and measures for fairness in income distribution. Retrieved August 1, 2017, from https://v-reform.org (in Thai)
Land Development Department. (2015). Land use condition of 77 provinces in 2015 – 2009. Retrieved March 27, 2017, from https://www.ldd.go.th/ (in Thai)
Land Development Department. (2017). Land use map of Thailand in 2015-2016. Retrieved July 28, 2017, from https://www1.ldd.go.th/WEB_OLP/result/map58-59/58-59A0.jpg (in Thai)
Li, M., & Daowei, Z. (2011). Impacts of property tax on land use change decisions in Georgia.Urban. Retrieved 29 July 2017, from https://portal.lib.ku.ac.th.
Natalia, C. & Chris, E. (2013). Too rich to rein in. Retrieved July 29, 2017, from https://www.business.unsw.edu.au/.
Newman, G., Gu, D., Kim, J., Bowman, A.M. and Li, W. (2016). Elasticity and urban vacancy: A longitudinal comparison of U.S. cities.Retrieved February 3, 2016, from https://www.researchgate.net
Newman, G., Bowman, A.M., Lee, R. and Kim, B.(2016). A current inventory of vacant urban land in America. Retrieved April 4,2017, from https://www.tandfonline.com/doi/abs/10.1080/13574809.2016.1167589?journalCode=cjud20
Newman, G., Park, Y., Bowman, A.M. and Lee, R. (2018). Vacant urban areas: Causes and interconnected factors .Retrieved March 30, 2017, from https://linkinghub.elsevier.com/retrieve/pii/S0264275117301944
Ngamarunchote, B., Rerkasupon, P., Borwornrongchai, T. and pongbangli, P. (2012). Concept of land and property tax : a case study of land and building tax. Retrieved April 14, 2015, from https://v-reform.org (in Thai)
ManasBoonpheampool, A., Charukratanapong, R., Auamjang, V. (2009). A study to review the land management tools thailand and overseas.Retrieved July 28, 2017, from https://landforum.trf.or.th (in Thai)
Meng, L. & Zhang, D. (2014). Impacts of property tax on land use change decisions in Georgia . Retrieved 15 July 2017, fromhttps://www.auburn.edu/~zhangd1/RefereedPub/Urbanecosystems2013.pdf
Morande, F., Petermann, A. & Vargas, M. (2010) .Determinants of Urban Vacant L and: Evidence from Santiago, Chile. Retrieved 15 March 2017, from https://link.springer.com/journal/volumesAndIssues/11146.
Office of the National Economic and Social Development Board. (2015). Report situational poverty and inequality in thailand in 2013. Retrieved July 28, 2017, from https://www.social.nesdb.go.th (in Thai)
Pascal, T. & Sebastian, W. (2014). Speculation and the U.S. Housing Boom. Retrieved 30 July 2017, from https://www.bundesbank.
Patmasiriwat, D. (2009). Distribution of wealth in Thailand Empirical research and policy to increase the power of the poor. Retrieved July 1, 2017, from https://doi.nrct.go.th (in Thai)
Permpoonwiwat, C.K. (2009). Study on land tax policy. Retrieved March 24, 2017, from https://landforum.trf.or.th/attachments/article/34/PDF10-02.pdf (in Thai)
Phiphatserithum, K. (2009). Fiscal allocation and distribution. Bangkok: Thammasat University Printing House.(in Thai)
Pietola, K., Myyrd, S. & Pouta, E. (2009). The Effects of Changes in Capital Gains Taxes on Land Sales: Empirical Evidence from Finland. Retrieved June 5, 2017, from https://search.ebscohost.com
Poolmak, P. (2014). Influence of land tax on fairness of income distribution:case study in sisaket province. Retrieved July 26, 2017, from https://www.econ.tu.ac.th (in Thai)
Puapanichya, C. (1992). Basic land economics. Bangkok: TP Printing CO., LTD.(in Thai) Real estate Information center. (2016). Draft of land and building tax. Retrieved July 28, 2017, from https://www.realist.co.th (in Thai)
Seung, G.K., Seong, H. & Roger, C. (2012). Exploring Spatially Heterogeneous Effect of a Property tax Scheme on Land Development. Retrieved 29 July, 2017, from https://ageconsearch.umn.edu/bitstream/124709/2/Kim_924_Rev.pdf.
Thailand Development Research Institute Foundation. (2013). Policy studies poverty and income distribution. Retrieved July 22, 2015, from https://tdri.or.th (in Thai)
Thammanoo, A. (2005). General knowledge of public finance. Bangkok: Thai Research and Training Co., Ltd.(in Thai)
Thedwanich, J., SriSaowarak, E., Nabangchang, O., Sajjanan, S. and Permpoonwiwat, C.K. (2009). Assessment new land and building tax impact on land use. Retrieved March 23, 2017, from https://landforum.trf.or.th/attachments/article/35/PDF10-03.pdf (in Thai)
Towbina and Weberb (2014) .Speculation and the U.S. Housing Boom. Retrieved June 2, 2016, from https://www.bundesbank/.
Wongharnchao,W., Nabangchang, O., SriSaowarak, E., SimaPichaichet, P. Pinitphowadol, S. and Thedwanich, J. (2001). Study land holding and economic and legal implications for maximizing land use. Retrieved June 2, 2016, fromhttps://landforum.trf.or.th/attachments/article/70/PDF01-01.pdf (in Thai)
Yasith, P. (2015). Land and building taxation. Retrieved November 24, 2015, from https://library2.parliament.go.th (in Thai)