Do you have a business idea in your mind that you wish to implement? If you think that Thailand is the best place for you to get your company registered, then there are a few things that you need to know about before registering your company in Thailand. You may get in touch with our legal professionals who will help you throughout the entire process of company registration in Thailand. The most important thing that you need to know is that you can get your company registered to the Board of Investment in Thailand, and enjoy a wide list of benefits.
The Office of the Board of Investment was established in 1977. It operates under the Office of the Prime Minister and is a government body that helps in promoting direct investment in Thailand by devising investment policies. Therefore, a BOI-promoted company can gain a lot of benefits and incentives thereby leading to successful businesses for entrepreneurs.
Following are the key roles that the BOI Thailand plays:
If you wish to apply for BOI Thailand, then the following procedure will come of help for you.
Before getting into the application process for BOI Thailand, there is an important step that we cannot miss at all. It is the feasibility study of your project, and we will help you in this regard. At this initial stage, we will be studying your BOI project idea, and presenting it in front of the government officers as it will allow us to get some relevant insight on your project, and whether or not it will be successful. Therefore, by doing this we will be able to identify any changes that need to be made with your BOI plan before you submit the application.
Once we have reviewed your BOI plan and strategy, and made the required changes on it after getting in contact with different government officers, our lawyers will be preparing your application form and attaching all the documents required based on your business plan. Our lawyers will then submit your application forms and the related documents to the government officers in order to monitor your progress properly as it will help us to ensure that all the requirements are met through every stage to avoid any disappointment in the future. Our legal counsels will ensure that your BOI business is completely certified and working in accordance with Thai law.
After the application gets submitted to the BOI, they will inform you in writing whether or not your application gets accepted after seven working days. They will also be informing the applicant about the benefits that are assigned in relation to the BOI project. Moreover, it is important to note that a separate application form will be required to be submitted for the issuance of the BOI promotion certification. Once the applicant receives the approval receipt from BOI Thailand, then he or she must complete the details and submit them to the BOI within 30 working days. However, in case any applicant is unable to do so and 30 days pass, then he or she will be required to send a letter of clarification to the BOI Thailand, which may get them an extension to submit the application and related documents. It is pertinent to note that such an extension will not be given more than 3 times, so it is better to submit it on time.
If you wish to receive the BOI investment promotion certification, then it is crucial for you to set up a Thai company six months after your application gets approved by the BOI Thailand. During this time, you must submit the following documents to the Office of the Board of Investment in Thailand:
The registration form is mostly 8-10 pages long and must include the following information:
Deadline for submission of documents:
It is crucial for the applicant to submit all these documents within the deadline. However, if the applicant is unable to submit all these documents to the Office of Board of Investment Thailand within the required time, then he or she must send an explanatory letter to the BOI Thailand, and they will extend your deadline to submit all these documents. You should keep in mind that this extension to submit the documents to BOI Thailand will not be for a period that lasts more than four months, and such an extension will not be made more than three times. Once the Office of Board of Investment Thailand has received all these documents, then they will be issuing you the investment promotion certification for your BOI Company, and it is mandatory for you to follow all the conditions mentioned in the certification related to your company.
After the company gets the BOI promotion certificate, it must make sure to register the company into the e-expert system before hiring foreign employees. Once the foreign applicants get approved from the e-expert system, then they can make their application for the work permit and visa in Thailand through the BOI one-stop service center (OSOS).
The BOI promoted company must meet with the following requirements after receiving the BOI promotion certificate, and make sure to report it to the OBOI:
In case you need more time to complete these steps then you must inform the OBOI about it in writing.
Every BOI registered company in Thailand must ensure to follow the accounting and reporting protocols strictly. The revenue department officials and BOI inspectors will be carrying out strict monitoring to make sure that the company is following all the basic reporting of Social Security Fund (SSF), Withholding Tax (WHT), Value Added Tax (VAT), and yearly auditing.
In order to know whether or not your company is eligible for a BOI promotion there are certain eligibility activities that you must know about beforehand. Your company is eligible for BOI promotion if it meets with the following criteria:
Now in order to know whether your company is performing the eligibility activities you must first know about what those activities are. To get a BOI Thailand promotion certificate you need to make sure that the type of business you plan on executing falls within one of the below mentioned business categories.
Once you have made sure that your company is doing business in any of the above mentioned 8 business categories, and then the next thing that you need to check is whether or not your company is performing the eligible activities mentioned on the BOI official website. In case your company is doing business in the technology and innovation development sector, then the following are eligible activities that your company must be performing for a BOI promotion certificate:
If your company is performing at least one of these eligible activities, then it is much closer to getting a BOI promotion certificate. However, one important thing that you must keep in mind that even if your company is doing business in one of the eight eligible business categories, but it fails to perform the BOI eligible activities, then you won’t be receiving the BOI promotion certificate.
There are certain tax schemes and regulations that apply to limited companies in Thailand, however if your company gets a BOI promotion certificate, then you will be benefiting from the following tax and non-tax incentives.
Following are some of the tax privileges attached with a BOI promotion certificate in Thailand:
Following are some of the non-tax privileges attached with BOI promotion certificate in Thailand:
You must keep in mind that the injection of funds needs to be done before the OBOI issues the BOI promotion certificate. The entire investment must be completed thirty days before the issuance of the BOI promotion certificate. In case you have a foreign ownership, then you will have to submit the evidence. The investment amount varies with the category of business you are carrying out, however the minimum capital requirement for the injection of funds in Thailand is 1M THB.
Now that you know the various benefits of registering your company in Thailand to the Board of Investment, you should definitely consider taking this step. Get in contact with our corporate lawyer in Thailand to learn more about this process. Our team of legal experts will make sure that the entire process of registering your company in Thailand goes smooth for you.