Investment in Thailand

2012-10-30 10:45:36 ใน ข่าวน่าสนใจประจำสัปดาห์ » 0 1809 Asking for the licensing to invest in Thailand/ A request for investment in Thailand
The overview of regulation to establish business in Thailand is as follows:
            The establishment business in Thailand, like other countries, the business was founded by three categories: Natural Person, Partnerships, and Limited Company. Limited Company is a form of establishment that is the most popular for foreign investors.
            The Limited Company requires a minimum of three promoter, filing a memorandum of association, convene a statutory meeting, register the Limited Company, and obtain a company income tax identity card. They must also follow accounting procedures specified in the Civil and Commercial code, the Revenue Code and the Accounts Act. A balance sheet must be prepared once a year and field with the Department of Revenue and Commercial Registration. In addition, companies are required to withhold income tax from the salary of all regular employees.
            Ministry of Industry’s Regulation under Factory Act stipulates regulations for factory construction and operation, safety requirements and also imposes strict controls on industrial pollution. In some cases, the factories do not require licensing in construction, but only required to notify the officials in advance of the start of operations. Factories have to file the licenses before starting the operation. Licenses granted are valid until the end of the fifth calendar year from the year in which the business started operations. The license can be renewal.
            Thailand protects intellectual property rights via 3 states. These states include the Patent Act, Trademark Act and Copyright Act. The Patent Act issued by the government to protect an invention, a design of product, utility model and also medicine invention as provided under the laws. The Copyright Act protects the creator of an original works of literary, artistic, and cultural work. Any of the following acts against a copyright work by virtue of this Act without the permission shall be deemed as an infringement of Copyright: reproduction or adaptation, communication to public and letting the original or copy of the work. The Trademark Act protects all the commonly protected marks such as Trademark, Service Mark, Certification Mark and Collective Mark. To be registrable, a trademark must be distinctive, and not identical or confusingly similar to another.
            Alien Working Act stipulates that foreigner is required work permit from the Registrar office in order to do work in Thailand. He/she must submit for the application within 30 days, except for those coming into Thailand in accordance with the Law Governing Investment Promotion, and holding the Non-Immigrant Visas. He/she shall be able to work during the waiting period of the Permits.

The Law Governing Investment Promotion Policies.
            To relieve the fiscal burden of the government and to respond to current and future economic situations, the Board of Investment prescribes policies for investment promotion as follows: 

1. Enhanced the efficiency and effectiveness of tax privileges. Privileges will be granted to projects that actually benefit the economy and good governance. The application of tax and duty privileges will be applied. Promoted entitles will report the operating results of their promoted projects to the Board of Investment for review prior to the application of tax and duty privileges for that year.
2. Support the industry to develop quality and production standards to compete in the world market, every promoted project that has an investment capital of 10 million baht or more (excluding cost of land and working capital) must obtain ISO 9000, ISO 14000 or similar international certification.
3. To adjust the measure of investment promotion in line with an agreement on trade and international investment by cancelling the conditions of exporting and using of parts in country.
4. Special investment support will be given to regions or areas with low income and deficient investment facilities. Maximum tax and duty privileges will be given to these regions or areas.
5. Give precedence to small and medium Industrial Promotion.  The minimum capital investment requirement of each promoted activity is 1 million baht (excluding cost of land and working capital).
6. Priority is given to agricultural activities and agricultural products, projects related to technological and human resource development, public utilities, infrastructure and basic services, environmental protection and conservation and targeted industries.

Set the criteria to approve the project.
In determining the suitability of the project for the Investment Promotion. The Board has guidelines for consideration as follows:
source : Board of Investment Thailand/ www.boi.go.th