FAQ I Taxation and Company / Juristic Registration
If a foreign company intends to hold a meeting in Thailand, are they required to re-register if they have registered before?
No. If companies have been registered, there is no need to do so again.
If a foreign company arranges a meeting in Thailand, do they have to pay tax?
According to corporate income tax regulations, a foreign company who is an employee, agent, or intermediary for conducting business in Thailand, must pay corporate tax to the Department of Revenue of Thailand, due to receiving income or profits in Thailand.
If a foreign company having no agent or go-between for carrying on business in Thailand intends to hold a meeting in Thailand, they must pay a corporate tax to the Department of Revenue of Thailand, unless the period of stay is 180 days or less.
If a meeting is arranged for a foreign company, does the meeting organiser have to pay tax?
The company does not have to pay tax. However, if there are Thai attendees, the company must pay VAT (value-added tax) according to Phor Phor 36 form.
If a company is located in Europe, does it have to pay tax?
It depends on the definition of the place of business for each country providing a registration.
Do foreign persons acting as meeting organisers have to pay tax?
Foreign persons acting as meeting organisers should refer to Section 41 of the Thai Revenue Code. It states that income derived from sources in Thailand is subject to a personal income tax, payable to the Revenue Department of Thailand (Phor Ngor Dor 90 form).
Does a company registered under Thai law have to pay tax?
A company registered under Thai law according to Department of Business Development under Ministry of Commerce is defined as having a domicile and carrying on business in Thailand, and thus must submit financial statements together with Phor Ngor Dor 50 and 51 forms to the Revenue Department of Thailand. (This regulation is not applicable to a juristic person who is incorporated under foreign laws and intends to arrange a meeting in Thailand.)
How does a company registered under foreign laws apply for temporary VAT?
A company or a juristic partnership (incorporated under foreign laws without a permanent office or branch in Thailand) may temporarily carry out business in Thailand and is allowed to do business in Thailand for more than 1 year but less than 3 years (only if the company complies to the regulations and conditions stated in the Notification of Director-General of Revenue Department on VAT (No. 43)). Such a company is allowed to apply for temporary VAT by submitting an application for temporary VAT registration (Phor Por. 01.2 form) along with the following documents:
- Copy of Tax Agent Appointment and Engagement Contract in writing, certified by embassies or the consulates or persons assigned by Director-General of the Revenue Department (in case a business person is outside Thailand and has an agent in Thailand to file the application on his behalf).
- In the case of granting Power of Attorney, copies of the identification card of a representative and an attorney, and a Power of Attorney form are required.
- Copy of Joint Venture certificate (if applicable).
- Copy of property rental agreement (if applicable), or copy of letter of permission to use premises to carry on business (if no remuneration).
- Map and photos of the place of business.
- Copy of business license (if juristic persons incorporated under foreign laws are allowed to carry on business in Thailand).
- Copy of contract showing all parties, contract value, and duration.
Does a person wishing to apply for temporary VAT registration need to have a company in Thailand?
Either a natural or juristic person or a foreign juristic person is able to apply for temporary VAT registration in Thailand.
What websites can provide more information on Taxation and Company/Juristic Registration (in Thai)?
You may browse through the following:
- Tax knowledge
- Company limited registration information
- Manual of duty tax exemption (according to Revenue Code for persons under tax treaties of Double Taxation Exemption)
- Agreement between Thailand and Malaysia (on Double Taxation Exemption and prevention of revenue avoidance)
- Conditions for the payment of corporate income tax for companies or juristic partnerships incorporated under foreign laws
- Temporary value added tax
What websites can provide more information on Taxation and Company/Juristic Registration (in English)?
You may browse through the following: