Thailand is considering a 0.01% tax on gold transactions. This is part of broader efforts to combat money laundering linked to organized crime and illegal gambling.
The proposed measure is backed by several financial institutions, including the Bank of Thailand (BOT). It would create additional transaction records to improve transparency and help authorities identify suspicious financial activity.
Gold Transactions Face Greater Oversight
Gold can be used as a channel for moving or laundering illicit funds. A transaction tax would allow authorities to collect more information on gold trading. Therefore, they could potentially identify irregular transactions linked to criminal activity.
The proposal forms part of a wider effort by Thailand’s financial authorities. Consequently, it will help strengthen safeguards against fraud, scams and money laundering.
BOT Governor Vitai Ratanakorn said financial-sector initiatives that previously operated separately are now increasingly being brought together. They are moving into a more coordinated system.
BOT Expands Financial Information Sharing
The central bank plans to strengthen information sharing between commercial banks, state-owned banks and foreign banks. It also aims to increase cooperation with relevant government agencies.
BOT has also introduced reporting requirements for physical gold withdrawals of at least 2kg. According to Ratanakorn, the measure contributed to a decline in requests for physical gold from 20 billion baht to 3 billion baht.
The proposed transaction tax would add another layer of monitoring to Thailand’s financial system.
Illegal Gambling Drives AML Concerns
Thailand’s illegal gambling market is estimated to generate around 1.1 trillion baht annually. This highlights the potential scale of funds that criminal networks may need to transfer or conceal.
The proposed gold controls come as authorities face wider concerns over financial crime linked to illegal gambling and organized crime.
The Financial Action Task Force (FATF) has also highlighted money laundering risks associated with online gaming and land-based casinos. Its indicators include deposits from multiple third-party accounts, heavy use of cash or virtual assets, and betting patterns covering all possible outcomes.
FATF Highlights Gambling Red Flags
Other risk indicators include automated betting, repeated VPN use, multiple accounts created under false identities and attempts to bypass customer due diligence.
FATF President Giles Thomson said gambling platforms can become attractive channels for fraudsters, professional money launderers and organized criminal groups. This is especially true when effective safeguards are absent.
Thailand’s proposed gold tax and expanded financial information-sharing measures reflect a broader shift. Authorities are moving toward using transaction data and cross-sector cooperation to identify illicit financial flows.
