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Thailand: Expanded exemptions from foreign business license requirements

Thailand: Expanded exemptions, foreign business license

A new ministerial regulation (No. 4) expands the exemptions for the requirement for a foreign business license for certain foreign entities providing services to related companies.


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An exemption from the foreign business license requirement is available with respect to foreign entities having related-party transactions involving:

  • The provision of loans in Thailand
  • Office space leases (including when utilities are provided)
  • Consultancy services with regard to management, marketing, human resources, and information technology

The exemption is available for foreign entities with regard to the provision of services to their related companies in Thailand. For these purposes, the term “related company” is defined with reference to shareholders, ownership percentages, and directors, as follows:

  • More than 50% of shareholders of one company are more than 50% shareholders of the other company
  • Shareholders that hold 25% or more of shares in one company also hold 25% or more of shares in the other company
  • One company holds 25% or more of shares in the other company
  • More than half of directors with managing power of one company are the same persons as more than half of directors with managing power of the other company

Read a July 2019 report prepared by the KPMG member firm in Thailand

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