Malaysia Hotline: +603- 2141 8908
Setting
up of Representative Office in Thailand are required to fulfil on certain
conditions Thai representative offices which require a Foreign Business
License. It is important to clarify beforehand what constitutes income and
subject to Thai taxes.
A Representative Office is
limited to the following activities:
- Reporting on business movement in
Thailand
- Providing advice related to products
that are being sold to distributors or customers
- Sourcing goods and services in
Thailand
- Inspecting and controlling the
quality and quantity of goods purchased or ordered to be manufactured in
Thailand
- Introducing information regarding new
products or services
- Representative Office
Most
foreign investors and companies in Thailand who would like to setup a 100%
foreign owned business in Thailand most times resort to establishing a Thai
representative office to represent its head office overseas. Note however that
a representative office in Thailand is not allowed to engage in any trading
activities in Thailand hence it cannot earn an income in the country. If you
wish to engage in trading activities then you will have to consider registering
a Thai company. Speak to one of our attorneys about this process.
Thailand Representative Office
Capacity
A Thai
representative office established in Thailand should engage in at least one of
the following functions:
• Search for services or good in
Thailand for their headquarters overseas;
• Check on the quantity and
quality of the product being ordered by the headquarters;
• Provide advice to the
headquarters about the services or goods to order or ordered;
• Supply the information of the
headquarters’ products to the customers in Thailand
• Report the economic movement in
Thailand to the headquarters
Application Process
An Alien
Business License needs to be secured first prior to setting up a Thai
representative Office. Following the successful license application, the
following documents (which must be notarized at the Notary Public before being
submitted to the Commercial Registrar) are necessary for the actual setting up
of the representative office:
Setup Thailand Representative
Office Documents needed
• Alien Business License
• Company affidavit which includes
company’s name, registration number, date of registration, address, and what
jurisdiction the company is registered under.
• List of the company’s directors
including their names, addresses, nationalities, ages, races, number of shares
held, and information on which directors have the power to bind the company,
• The company’s Articles of
Incorporation or Memorandum of Association (copy),
• The company’s Articles of
Association (copy),
• An report of the company’s
capital, the number of shares along with the par value of each, and the amount
of capital stock that has been paid up. Note that the amount of capital
assigned to the Representative Office must be 5 million baht for a period of
five years with 2 million baht allocated on the first year,
• List of the company’s
shareholders, their nationalities and number of shares that each holds,
• Any
documents/certificates/papers proving that the Representative Office’s manager
will have sufficient power of attorney to run the company (if the manager is a
foreign citizen then a copy of the manager’s passport must also be provided and
if the manager is Thai then a copy of his or her national ID and household registration
must be provided.)
Important
miscellaneous documents (must be notarized at the Notary Public before being
submitted to the Commercial Registrar) required to fully process the
application:
Information Required
• A precise description of the
company’s objectives in Thailand
• Justification why the necessity
of setting up the office in Thailand
• A projection of the office’s
contribution on the Thai economy and society
• Translation into Thai of the
company’s financial report (last three years)
• Employees list ( to work at the
office) which includes names and salaries
• An estimate of the Office’s
expenses for the next three years
• List and descriptions of the
machinery and equipments to be used at the Office.
Contact
us
If
you have further queries, please contact Tannet
24
hours Malaysia hotline：603-21418908;
24
hours Hong Kong hotline：852-27837818;
24
hours Hong Kong hotline：86-755-
36990589;
Email:
mytannet@gmail.com
TANNET GROUP : http://www.tannet-group.net, http://en.tannet.com.my