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Confusion over Tax Rates for Rubber Plantations Raises Concerns for Farmers

The Confusion Surrounding Agricultural Operations and Taxation of Rubber Plantations

An Investigation into the Minimum Rate of Agricultural Operations for Rubber Farmers

Recent discussions regarding agricultural operations and taxation of rubber plantations have raised concerns among farmers across the country. It appears that the minimum rate of agricultural operations per rubber plantation, as mentioned in the announcement made by the Ministry of Finance and the Ministry of the Interior, has caused confusion and uncertainty.

The issue stems from the fact that the minimum rate of agricultural operations per rubber plantation, which is set at 80 trees per 1 rai, does not take into account the mortality rate of rubber trees. This has led to concerns that farmers may be faced with difficulties and discrepancies when calculating the actual agricultural operations and taxation for their plantations, particularly in comparison to other crops.

Uthai, a representative of rubber farmers, expressed shock upon discovering the discrepancy, stating that the vast majority of rubber farmers, who collectively own an area exceeding 21 million, were unaware of these new regulations. This lack of awareness has the potential to cause tension between landowners and tenant farmers, as taxes are scheduled to be collected starting from the end of this year. Farmers, who have never previously been required to pay taxes, are now facing potential financial burdens due to inadequate organization and communication.

Consequently, there is a growing concern that these new regulations, if enforced, could lead to widespread protests and rallies within the rubber farming community, especially given the ongoing challenges with low rubber prices.

The Fight to Uphold Existing Agricultural Tax Regulations

Uthai emphasized that the agricultural tax rate for rubber plantations should remain at 25 trees per rai, in accordance with existing regulations outlined in the Rubber Act. He adamantly opposes any increase in the tax burden imposed on rubber farmers and vows to pursue legal proceedings in the Central Administrative Court to challenge the Regulations of the Ministry of Interior and the Ministry of Finance. Uthai aims to ascertain whether these regulations are in violation of the Rubber Act, and he will seek a temporary postponement of any changes until a court decision is reached.

The Criteria for Agricultural Use of Land

In addition to the concerns surrounding rubber plantation taxation, the Ministry of Finance and the Ministry of the Interior recently published a notice outlining the criteria for land use in agricultural activities. According to the published list, rubber plantations must adhere to a minimum rate of agricultural operations of 80 trees per rai. This taxation scheme would entail a tax rate not exceeding 0.15 percent of the tax base, based on the lowest rate.

The confusion surrounding the minimum rate of agricultural operations for rubber plantations highlights the need for transparent and clear communication between authorities and farmers. As the rubber farming community awaits the legal review of these regulations, the future of agricultural operations and taxation in the rubber industry remains uncertain.

Source: Sethakit Newspaper, No. 3,913, 13-16 August 2023, Page 9

References:

  1. Land and Building Tax Act 2019

  2. Decree Setting the Land and Building Tax Rates BE 2564

There are also additional comments The minimum rate of agricultural operations per crop of other crops in Annex A of the Notice is based on the rate of perennial fruit plots per 1 crop of planted area in accordance with the Handbook for Registration and Improvement of Registration of BE Farmers 2565 without mortality rate of the plant was considered to be deducted.

Therefore, if the lowest rate of agricultural operations per some ofrubber plantationminus the death raterubber treeThere may be confusion with other plants. which is from the results of the meeting which discusses the matter so it came to the conclusion that Maintain the lowest rate of agricultural operations per some of the rubber plantation, which is a total of 80 trees each, as it appeared in the announcement of the Ministry of Finance and r Ministry of the Interior.

“When I saw the reply letter, I was shocked because currently, rubber farmers across the country with an area of ​​over 21 million don’t know anything about it. As for the landowners, they have to pull with the tenants who are farmers. who will start collecting taxes at the end of this year Farmers never pay taxes. This time he will be hit. and at a high rate because it is not organized It is an agricultural area and if it is hit, it is believed that it will definitely cause a long crowd rally after the tax is collected. It’s like coming together again during the low rubber price.”

Uthai said that there is only a little of the government treasury. This can be an incentive for farmers to collect taxes, but they will do everything possible to keep the rubber plantation tax at 25 trees per rai, which is considered an agricultural tax according to the regulations. Go against the Rubber Act. So, he will not give up at all.

However, he will file legal proceedings with the Central Administrative Court to consider whether the Regulations of the Ministry of Interior and the Ministry of Finance are contrary to the Rubber Act or not and he will ask for a temporary postponement of the matter until by the court decision

In addition, the Ministry of Finance and the Ministry of the Interior have published a notice on the criteria for the use of land in agriculture. which in the list attached to the publication identifies plant species “rubber” There is a minimum rate of agricultural operations per Ra, 80 trees each, will pay tax at a rate not exceeding 0.15 percent of the tax base (the lowest rate).

Page 9, No Sethakit Newspaper, No. 3,913, 13-16 August 2023

refer to:

land and building tax act 2019

decree Setting the land and building tax rates BE 2564

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