Thailand faces mounting fiscal pressure with public debt nearing 70% of GDP and only 3–4% fiscal space remaining. Government economists highlight a critical need to expand the revenue base, with VAT at 7% (unchanged since 1999) cited as a key lever. Raising VAT by 1% could generate ~100 billion baht annually versus smaller gains from alternative levies (EV tax, tourism fees). A broader tax base and simplified, tech-enabled collection systems are proposed to boost compliance and revenue, though trade-offs and implementation timing remain contentious.