Late last week, Xing Jingwei, 38, filed a report to local police, claiming he was robbed by a motorcycle taxi driver in front of a hotel on the Phra Metta Road, Thaiger news site reported.
Officers then managed to track down and arrest the driver who pleaded innocence.
He said they only engaged in a fare dispute before he left the scene.
He explained that he picked up the Chinese man in the Ban Mon area and dropped him off in front of the hotel.
The tourist complained about the expensive fare, and both had a quarrel due to the language barrier, the Phuket News reported.
Police questioned the Chinese tourist again until he confessed that he faked the complaint.
The tourist didn’t explain why he had done so.
Under the Thai law, he could face up to six months in prison or a hefty fine for reporting false information.
The incident has sparked a wave of criticism among Thai netizens over the past day.
"Free visa, only focus on quantity not quality," a netizen wrote.
"Anything is possible in Phuket," another wrote.
Thailand expects to welcome at least 8 million Chinese tourists this year, double last year's figure, after both countries agreed to waive visas for each other's citizens beginning in March.