Doing business and investing in thailand pdf to excel
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Also, note that special rules apply if the foreign company plans to engage in the activities of retail sale of goods or wholesale sale of goods. Both of these activities are contained in List 3; therefore, in order for a foreign company to engage in either of these activities the company must first apply for and obtain a Foreign Business License.
For a foreign company to engage in the activity of retail selling, the exception is that if the company has a registered capital of million baht fully paid up or more or capital for each retail store of 20 million baht or more, the company is exempt from the Foreign Business License requirement. For a foreign company to engage in wholesale selling, the exception is that if the company has million baht capital or more for each of its wholesale stores, the company is exempt from the Foreign Business License requirement.
It states that the Committee is required to rule on the application within 60 days of submission. However, practically speaking, the application process has two distinct steps. The first is the process by which the presiding official at the Ministry of Commerce MOC accepts the application for review by the Committee, and the second is the Committees actual review of the application.
The presiding MOC official charged with accepting the application normally will not do so until he is satisfied that all documents are in order. Sometimes the official will perform the preliminary inspection upon presentation, but usually he will require the person submitting the application to leave it for later inspection. The time frame for the officials review of the application is not specified by statute. In order to avoid these delays, make sure that the person designated to submit the application is familiar with the intended operations of the company to respond on the spot to the officials questions regarding the application.
Review by the Board Once the official accepts the application and issues a receipt, the day consideration period begins. In , the Ministry issued a document advising foreign investors on how they should describe technology transfer in the license application. In addition, any planned programs the company has with Thai universities are taken under consideration by the committee.
In the event the Foreign Business License application is rejected, the law requires that the MOC inform the applicant within 15 days of the decision. The notification of rejection must be in writing and expressly state the reasons why the application was rejected. If the application is rejected, the applicant has the right to appeal the decision. The appeal must be submitted within thirty days of the date on which the applicant received the rejection notice.
The Minister of Commerce is required to rule on the appeal within thirty days of receipt. Work Permits The Alien Occupation Law, adopted in , requires all aliens working in Thailand to obtain a work permit prior to starting work in the Kingdom.
An updated version of the Act, adopted in , describes the procedures for issuance and maintenance of work permits and lists certain occupations from which foreigners may be excluded. Exemptions The Act grants exemptions from the work permit requirement to persons occupying the following professions: Members of the diplomatic corps Members of consular missions Representatives of member countries and officials of the United Nations and its specialized agencies Personal servants coming from abroad to work exclusively for persons listed under the above items Persons who perform duties on missions in the Kingdom under an agreement between the government of Thailand and a foreign government or international organization Persons who enter the Kingdom for the performance of any duty or mission for the benefit of education, culture, arts, or sports Persons who are specially permitted by the Thai Government to enter and perform any duty or mission in the Kingdom Taxation in Thailand 1.
Corporate Income Tax Corporate Income Tax CIT is a direct tax levied on a juristic company or partnership that is established under Thai or foreign law and carries on business in Thailand or derives certain types of income from Thailand. The term juristic company or partnership hereinafter called company means a limited company, a limited partnership, or a registered ordinary partnership incorporated under Thai or foreign law as well as an association or foundation engaged in revenue producing business.
The term also includes any joint venture and any trading or profit-seeking activity carried on by a foreign government or its agencies or by any other juristic body incorporated under a foreign law. A Thai company is a company incorporated under the law of Thailand. We do not pretend to provide all the answers in the guide, but novice exporters in particular will find it a useful starting point. Further assistance is available from the Department for International Trade team in Thailand.
Full contact details are available in this guide. Offering a unique range of individual and business membership benefits and a world renowned suite of qualifications and training, the Institute is the leading authority in best practice and competence for businesses trading globally. For more information visit: www.
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