If you are considering setting up a business in Thailand, you may want to learn how to register a company. Thai businesses must obtain a tax ID number within 60 days of incorporation. To learn more about this procedure, contact a Thai company formation agent. VAT registration is required according to the revenue generated by the company each year.
Minimum Capital Requirements
If you want to start a business in Thailand, one of the first things you should do is to determine the minimum capital requirement. This amount will vary depending on the type of company you’re starting. You’ll also need to determine whether you’ll need a foreign business license.
The Ministry of Commerce has updated and consolidated the regulations on the minimum capital requirements for foreign-owned companies in Thailand. The new regulations, known as Ministerial Regulation, will come into effect on August 28. They will affect foreign-owned companies that operate in Thailand under the privileges of bilateral and multilateral treaties, including the US-Thailand Treaty of Amity and Economic Relations.
Choosing the Business Name
When registering a company in Thailand, it is important to choose a business name that will easily translate into Thai. While it may be tempting to choose a name that sounds like it comes from the United States or the United Kingdom, a business name in Thailand must be easy to pronounce and use a combination of both Thai and English characters.
If you do not want to use a Thai company name, there are several alternatives. You can choose to register your company as a branch or representative office. A branch office can be an extension of a foreign company, but its activities are limited to market research and reporting to the head office. In addition, a representative office can only engage in limited trading activities.
Memorandum of Associations (MOA)
The Memorandum of Associations is a necessary document for registering a company in Thailand. It defines the name and address of the company, its goals and objectives, and the capital and number of shares. The Memorandum must be signed by at least three promoters. The Memorandum of Associations must also be filed with the Registrar, the Ministry of Commerce.
Once the Memorandum of Associations (MOA) is signed, a limited company must be registered. The registration fee is THB 5,500 per million baht of registered capital, or THB 1 million for public limited companies. The company must have at least three Thai shareholders with voting rights. The company must also declare the source of its funds to the MOC.
The process of setting up a company in Thailand includes a number of steps. Companies must follow accounting procedures and prepare audited financial statements for every accounting period. These financial statements are required to be submitted to the Revenue Department and Commercial Registrar within 150 days of the end of the accounting period. They must also submit tax payments and pay tax as required by law.
When registering a company in Thailand, it is imperative to understand the taxation requirements. There are several tax codes that apply to a company. If the revenue of a company exceeds THB 1,800,000 in a single year, it is mandatory to register for VAT. However, some activities do not fall under the VAT regime. As such, you need to check with your advisor on any tax exemptions that apply to your business.