Trading value on the Stock Exchange of Thailand (SET) could drop 40% if a capital gains tax on share sales is imposed, with the higher cost driving investors away from the market, says Paiboon Nalinthrangkurn, chairman of the Federation of Thai Capital Market Organizations (Fetco).
Mr Paiboon said he understands the government need to secure more tax revenue, but taxing share sales will exacerbate the situation by reducing the liquidity of businesses in all sectors.
