Thailand BOI company.
Acclime can assist with a complete BOI company registration package including planning, BOI application, BOI work permits and visa, accounting and on-going BOI company reporting and compliance.
Tax incentives
Exemption or reduction of import duties- Exemption of a juristic person’s income tax and dividends
- Double deductions from the costs of transportation, electricity and water supply
- Eight-year corporate income tax exemption for:
- Knowledge-based activities focussing on R&D and design to enhance Thailand’s competitiveness, or
- Activities in infrastructure for Thailand’s development, or
- Activities using advanced technology to create value-added
- Five-year corporate income tax exemption for:
- High-technology activities which are important to Thailand’s development, with few investments already existing here.
- Three-year corporate income tax exemption for:
- Activities with lower technology than above, but add value to domestic resources and supply-chain.
Non-tax incentives
- Permits to bring in foreign skilled workers and experts
- Permit to own land Permit to remit money abroad in foreign currency
- Protection against nationalisation of the business
- The BOI will also announce a wide range of additional and often time-sensitive incentives for companies already operating under a BOI license.
Acclime has been selected as the official legal and accounting services partner at True Digital Park. TDPK is Thailand’s first, and Southeast Asia’s largest, start-UP ecosystem to promote innovation. Acclime will be providing administrative support to all start-UP businesses in all legal and accounting matters.
Other company registration options.
Thailand offers a number of different options for registering a company or business. Please visit our company registration section for additional information.
BOI company process and procedures.
1. Feasability study.
Before undertaking the boi application process in its entirety, we perform a pre-screening of your proposed BOI project directly with the relevant government officers. This allows us to access the viability and likelihood of the success of a BOI application. It also allows us to identify any changes that may be required to the overall BOI business plan and strategy before submission.
2. BOI application and interview process.
Our experienced BOI lawyers will prepare all the relevant application forms and documents based on your business plan and feedback. We submit all the BOI application forms and liaison with the officers directly to monitor your progress through the system. Care must me taken to ensure that all the requirements for certification are met. To avoid disappointment and wasted resources, expert assistance is essential. Our Private legal counsel will ensure your business is incorporated and certified in accordance with Thai law, offering peace of mind to the investor and ensuring your company gets the best possible start. In an effort to guarantee quality service to all of our clients, Acclime only offers assistance to clients who can be fully accommodated. Depending upon the venture, the Thai BOI certification process can be extremely time-consuming and if done improperly, could jeopardise the company’s investments.
Investment values < 200M THB
Consideration for BOI promotion is within 40 working days – after acceptance of complete applicationInvestment values > 200M THB
Consideration by subcommittee for BOI approval is within 60 working days – after submission of complete applicationInvestment Values > 2B THB
Consideration by subcommittee and then BOI board approval is within 90 working days – after submission of complete application
3. BOI approval and acceptance of terms.
The BOI offices will inform the applicant in writing within seven business days of the approval and detailing the conditions, boi privileges and benefits which have been granted. An application form for the BOI promotion certificate will be included. Upon receipt of official approval, the BOI applicant must reply by completing the details of promotion acceptance and returning to the OBOI within 30 days. If the applicant is unable to reply within 30 days, a letter of clarification should be sent to the OBOI, which may consider an extension of the timeline in 30 day intervals, no more than 3 times.
4. Registration of Thailand BOI company.
To receive the BOI investment promotion certificate, the applicant must establish a Thai company within six months of acceptance approval. The following documents must be submitted to the OBOI offices in due course:
- Application form for BOI promotion certificate
- Memorandum of association
- Certificate of company registration
- Certificate stating the registered capital, authorized directors indicating signing authority and the registered address
- Shareholder list
- Evidence of the transfer of funds from overseas, or an investment certificate issued by the Bank of Thailand
- A jv contract, licensing or franchise agreement, technical assistance contract and/or technology transfer contract
- Form outlining human resource requirements
If the applicant is unable to submit the documents within the required time frame, an explanatory letter must be sent to the OBOI, which will consider extending the deadline by four months at a time, up to a maximum of three times. The OBOI will issue the investment promotion certificate after receipt of all specified documents, and the promoted company must follow the conditions laid out in the Certificate.
5. BOI work permits and visa.
As pre-requisite to hiring foreign staff, the newly established BOI company must complete its registration into the e-expert system. This will allow the company to make subsequent requests for the consideration and approval of foreign workers.
Once a position has been submitted, opened and approved through the e-expert system the applicant is cleared to make their application for both visa and work permit through the BOI one stop service centre (OSOS).
6. BOI reporting & compliance.
After receipt of the investment promotion certificate, the promoted company must meet the following conditions and inform the OBOI at each stage, where applicable.
- Within 30 months, the machinery and equipment must be imported to benefit from the reduction of taxes and duties
- Within 36 months, construction must be completed, the machinery and equipment installed, and the factory ready to commence operations
- The company must ask for permission from the OBOI if the operation has to be halted for a duration longer than two months
- The OBOI must give written permission before a promoted company may mortgage, sell, lease, or transfer machinery which was imported either exempt from, or at a lower rate of tax. Permission must also be obtained to use machinery for non-approved purposes.
If a BOI inspector discovers that the company is not meeting the conditions, the OBOI will send an official warning note. If there are no valid explanations why the conditions are not being met, the OBOI will recommend to the Board that the promotion be revoked and notify the DBD and Revenue department, and other agencies accordingly.
7. BOI accounting.
BOI companies in Thailand must follow strict accounting and reporting protocols. In addition to the basic reporting of VAT, WHT and SSF, and the filing of half year and yearly auditing, a BOI company must make sure to follow the specific requirements set forth for each type of promotion category. Strict monitoring is carried out by both the revenue department officials and BOI inspectors. Subsequently, special considerations must be made for these BOI accounting requirements.
