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Archive for the ‘Thailand Work Permit’ Category
15th June 2021
All Non-Immigrants in Thailand Required to Have COVID-19 Insurance?
Posted by : admin
It recently came to this blogger attention that anyone holding a non-immigrant visa (NIV) in Thailand may soon be required to obtain insurance coverage of 100,000 USD against COVID-19. The following was recently reported in the Bangkok Post:
All foreigners living in Thailand as non-immigrants will in the future have to prove they have insurance coverage of at least US$100,000 (three million baht) against Covid-19. The proposal was approved in principle by the cabinet yesterday and Traisuree Taisaranakul, deputy spokeswoman for the government, said it would apply to all holders of the one-year, non-immigrant visa (NIV). NIVs are awarded in four categories: marriage, work, business and retirement…Ms Traisuree said that since the cabinet had approved the new rule in principle the next step would be for the Immigration Bureau to publish full details and make it official. The Foreign Affairs Ministry will also work to improve the NIV application procedure while the Public Health Ministry and the Interior Ministry will be in charge of modifying related regulations and telling the public about them…
It is noteworthy that Thai business visas, marriage visas, and visas associated with work permits in Thailand were specifically mentioned. Meanwhile, The Nation reports the recent rule changes may provide some relief for retirees in Thailand:
The new rules offer a lifeline for expats over the age of 70 who cannot purchase insurance in Thailand and thus face having their applications for extension of stay rejected…If an insurer refuses coverage due to health risks, visa applicants must submit additional documents including the letter of refusal, plus securities, deposits and other health insurance accounting for at least 3 million baht.
Since the inception of the Emergency Decree in response to the COVID-19 situation in March 2020 there have been a number of changes to rules regarding entry to the Kingdom of Thailand. However, such changes had not yet impacted the immigration rules associated with remaining in Thailand on a Thai visa extension. Clearly, the rules are currently undergoing revision. However, it is worth noting that the specific regulations have yet to be promulgated as the cabinet appears to have only approved these measures in principle as of the time of this writing. Therefore, those to whom this announcement may pertain are well advised to wait until the specific regulations are promulgated before making irrevocable arrangements regarding their visa status. The aforementioned policy change does not appear to pertain to those holding permanent residence in the Kingdom of Thailand. We will keep this blog updated as the situation evolves.
6th December 2019
Varying Types of Work Permission for Foreign Nationals in Thailand
Posted by : admin
It is becoming increasingly clear that Thai Immigration officials are becoming ever more concerned with those who are working illegally in Thailand. Therefore, this state of affairs begs the question: how does one obtain and/or maintain work authorization in Thailand?
It should be noted that there are two ways in which one can obtain employment authorization in Thailand. One way is to receive an offer of employment from a Thai company. Generally, if the prospective employee is offered employment while abroad, then a WP3 work pre-authorization letter will need to be obtained and the foreign worker will need to apply for a Thai business visa before traveling to Thailand to have their work permit booklet issued. However, if the foreign worker is not abroad, then that individual may need to travel abroad in order to see to it that a WP3 is issued as the Thai Labor Department will only issue such documentation on foreign workers who are physically residing outside of Thailand. Within Southeast Asia, the WP3 is increasingly necessary as those Royal Thai Embassies and Consulates in the region which issue Thai business visas will only do so for those who have been issued a WP3.
Once in Thailand with a B visa, the prospective employee can seek their work permit booklet. Their employer must formally request such documentation as the employer is the sponsor of the work permit. After the permit is issued it should remain either on the premises of the place of business or if the employee must travel to another location to undertake work-related activity a copy should go along with the employee. It is worth noting that in March of 2018 the Thai Labor Department relaxed Thai work permit rules and therefore it is now possible for foreign work permit holders to engage in work activity away from their sponsoring-business’s premises.
The protocols regarding work permit issuance in the context of a business owner are qualitatively different compared to work permit issuance for someone wishing to be employed at a company in Thailand. One significant difference, especially in the context of an SME or a startup company is the “Catch-22” situation some prospectively self-employed foreigners find themselves in. For example, in order for an entrepreneur to obtain a work permit, they need a business visa, a WP3 is often necessary, and in order to obtain a WP3 a company is necessary. Therefore, Thailand company registration is often the first step toward obtaining a Thai business visa and work permit. Those wishing to setup a Thai company are well advised to seek professional guidance as there are multiple ways to incorporate a Thai business which, depending upon the legal structure, may provide differing benefits.
9th August 2018
The Continuing Evolution of Visa and Work Permit Regulations in Thailand
Posted by : admin
In recent months, the rules upon which the regime for issuing and maintaining Thai work permits and visas have been undergoing some changes. However, the permanence of these changes remains to be seen and the practical implications of these changes are also open to speculation. Hopefully the following posting with provide some clarification with respect to where work permit and visa rules currently stand.
Work Permit Restrictions Appear to be Loosened
Since the promulgation of the Emergency decrees regarding work permits in Thailand analysts seem increasingly convinced that regulations regarding time, place, and manner of work in Thailand have loosened. In the past, Thai work permit regulations (and the enforcement agencies associated therewith) viewed the rules very strictly when it came to the specific locations where foreigners could undertake labor, the specific functions foreigners could perform, and the timing of when a foreign worker could begin working. For example, foreign temporary workers had to await issuance of a work permit book or temporary work document in order to begin working. Meanwhile, those issued with long term work permits were at one time restricted to performing their job only within the premises of the business acting as the work permit sponsor. Later, the geographic scope of labor endeavor was expanded to allow foreigners to undertake work throughout a specific province in Thailand. However, under any circumstances the foreign national with work authorization had to be circumspect in their endeavors as the work activities they undertook had to fall within the boundaries of the job description specified within the provisions of the work permit itself.
Pursuant to the provisions of the second emergency decree regarding the management of foreign workers in Thailand it appears that many of the restrictions regarding geographic scope of activity have been lifted. Meanwhile, the strict scrutiny of job functions appears to be a thing of the past as well (although a list of occupations restricted to Thai nationals is still in force so long as the activity in question is not specifically in violation of that list the foreign worker should be free from sanction). Furthermore, it appears that certain temporary workers who are brought into Thailand for a short period of time may be able to perform their function in a much more immediate manner compared to the past as, depending upon circumstances and subject to the aforementioned list of restricted activity, many workers may be able to immediately begin performing their functions.
The Return of the One Year Multiple Entry Visa?
It would seem that there is another possible change to Thai regulations regarding work authorization and business visas in Thailand. Apparently, regulations now stipulate that some of those working for a foreign company in Thailand (such as a Representative Office) are no longer required to obtain a work permit. This new exemption apparently only extends to Directors of such organizations. Furthermore, it appears that so-called Amity Treaty Companies (those corporations certified as American and therefore accorded protections pursuant to the US-Thai Treaty of Amity) are now subject to such exemption. Under such circumstances the directors of such companies are able to apply for a 1 year multiple entry visa from their country of origin. As of the time of this writing, this blogger has yet to personally deal with a matter arising under these new rule changes, but the creation of new immigration options is always noteworthy. It should be noted that these regulatory changes appear to be exclusive to Labor matters. Thai immigration regulations have not changed with respect to the rules regarding visa extension in the Kingdom. At the present time a work permit appears to still be required for those wishing to remain in the Kingdom long term via a Thai business visa extension application.
17th April 2018
Has it Become More Difficult to Obtain or Extend a Visa in Thailand?
Posted by : admin
In recent months, this blogger has dealt with a number of cases involving Thai visa applications at a Thai Embassy or Consulate abroad. Furthermore, after initial visa issuance there have been a number of cases involving Thai visa extensions. In nearly every case the process of obtaining the initial visa or extending the previously issued visa has seemed to be more difficult when compared to the past. This blogger has discussed this issue with other expatriates and long term visitors in Thailand and the general consensus seems to conclude that immigration matters are becoming more difficult in the Kingdom. A valid question to ask: is this true? The answer: yes, at least to some degree. While it does not appear that those seeking visas through the One-Stop visa and work permit facilities are particularly burdened by increased document scrutiny and more stringent policy enforcement, although those able to seek benefits in the One-Stop facilities generally would not be particularly “borderline” cases and therefore may not need to fret over increased scrutiny anyway. It does appear that current immigration protocols have had the effect, whether intended or not, of making the process comparatively more difficult to undergo.
It should be noted that processing a visa application through a Thai Consulate abroad or seeking an extension at an immigration office in Thailand is by no means impossible. However, without assiduous compilation of requisite documentation, careful recordation of relevant photographic evidence, and, in some cases, assistance of competent accounting professionals well-versed in the necessities of Thai immigration officials the task of extending a visa can seem virtually insurmountable. There are those who pose the question: does there appear to be any point in the future where these difficulties may ease up? This blogger’s answer: no. Since the advent of the “Good Guys in Bad Guys Out” initiative, immigration officials in multiple regions and in multiple roles have made it clear that relevant regulations will be strictly adhered to while the use of discretion will be curtailed. If anything, it appears that the overarching stringency may spread to other realms which impact foreigners in Thailand. In fact, it recently came to this blogger’s attention that Labor Ministry officials are not as readily issuing 1 year work permits as they once were. Meanwhile, Thai Embassies and Consulates that were once rather lax in issuing long term multiple entry visas for Thailand have either stopped completely, or vastly curtailed the criteria under which such visas would be issued.
The immigration apparatus of Thailand is increasingly looking more and more like those of its counterparts in the West and although many westerners travel to Thailand and complain about the stringency of immigration policy in the Kingdom it still should be noted that Thai Immigration regulations are still, generally speaking, more relaxed than those of the home countries of many of the aggrieved arrivals.
6th November 2017
In a recent announcement in the Royal Thai Gazette, it came to this blogger’s attention that new regulatory protocols are likely to soon take effect with respect to foreign labor in Thailand. Below is an English translation of the announcement, for the full un-translated announcement please see the aforementioned link:
Dated November 2,
Order of the Security Council
On Proving the Identity of foreign labour
As the system which is presently used for screening some category of people who enter the Kingdom cannot provide enough proof of identity which is needed to protect the stability of the country. Presently, many people are coming into the country to work as labour, both legally and illegally and it is not easy to confirm the identity of the labour force. The collection of the data which is needed to confirm the identity is presently confusing because the responsibility for the information is scattered between various departments depending on the duty and authority of the person involved. Also, different methods are used creating confusion and delays in accessing the data if needed. Therefore, a committee will be set up to oversee the collection and storage of data from the workers and set up a date base with all the history clearly shown. A system will be set up which will be legal and also maintain the confidentiality of the information and also prevent the information from being used against the wishes of each person. This is to prevent any destruction of the peace and also to ensure the safety of the country, in labor, economy and society.
The order following Matra 265 of the Constitution of Thailand and section 44 of the Constitution of Thailand (temporary) is as follows:
1. Committee refers to the Committee who will study how the data should be kept.
“22 provinces along the coast refer to Krabi, Chantaburi, Chachoengsao, Cholburi, Chumporn, Trat, Trang, Nakornsritammarat, Naratiwas, Prachuab, Pattani, Panga, Petchburi, Phuket, Ranong, Rayong, Songkla, Satul, Samutprakarn, Samutsongkram, Samutsakorn and Surattani.
2. The member of the Committee are comprised of …………[list of committee members]
3. Duties and Authority of the Committee
(1) Consider a method to set up a system to prove the identity of the immigrant laborers by collecting and keeping the data of the laborers in the fishing sector which the Harbor Department and the Labour Department are both handling at the moment. (2) Appoint a department which will have the duty and authority to collect the data which contains the relevant information on the identities including setting the criteria and method to be used and also linking the various agencies involved in collecting, maintaining, and proving the identities of the immigrant laborer so the data can be accessed conveniently and efficiently.
(3). Appoint a department which will have the duty and authority of saving the data under no (1) and (2) so it is safe and trustworthy enough to use in proving the identity of the laborers.
(4) Carry out duties delegated by the Prime Minister
4. The method of saving the data referred to in 3 (1) should commence with data of immigrant laborers in the fishing industry and sea food factories in the 22 coastal provinces. This must be completed by 31 March, 2018.
The committee may expand the area to include additional provinces as instructed by the Cabinet.
5. With regards to labor in other sectors, the committee should advise the Cabinet as to which department is responsible for the collection and saving of data and the time frame required to complete data base.
6. The data on immigrant laborers already collected by the Labor Department prior to this new announcement should continue to be used until instructed otherwise by the Committee.
7. The Department of Budget should consider how much budget the Committee and departments authorized by the Committee will require to carry out the instruction.
8. If the Prime Minister or Cabinet member deems it necessary, the Council for Peace (not sure of the name) are allowed to change these instructions.
9. This instruction comes into force on the day of announcement.
The above translation should not be construed as a definitive interpretation of the material in Thai, but is simply provided for informational purposes of a general nature.
Although it appears that this announcement pertains specifically to migrant labor in the fishing sector it remains to be seen whether or not this announcement could have an impact upon labor matters in Thailand more generally. Meanwhile, as has been pointed out in prior postings on this blog regarding Thai work permit protocols: Thai labor regulation, and the enforcement thereof, has become increasingly strict in recent months. A previously proposed overhaul of the labor regulations and fines has been put on hold until the beginning of 2018 in order to allow employers and migrant labor time to adjust to the new regulations. How the enforcement mechanism will operate from January 2018 onward remains to be seen, but if the above announcement is any indication, the Labor authorities in Thailand appear committed to tracking and monitoring foreign workers in Thailand.
29th July 2017
If there is one overriding notion that can be gleaned from the whole of this blog it should be this: over time the process of obtaining immigration and work authorization benefits (regardless of the nation in which such benefits are sought) tends to get more time consuming and difficult over time.
In Thailand, over the course of recent months there have been dramatic changes to both the Thai visa process as well as the process by which Thai work permit authorization is granted.
Initially, this trend began with the promulgation of the so-called “Good Guys in Bad Guys Out” policy which was initiated by a newly appointed Thai Immigration Chief. At first, the program focused upon those who were clearly in Thailand with less-than-optimal intentions. In fact, the beginning of the sea change in immigration policy could be said to have occurred when there was a rather significant round-up of suspected criminals and over-stayers which culminated in significant numbers of deportations. Quickly thereafter it became clear that those wishing to effectively live in Thailand using things such as 30 day stamps and tourist visas would be a thing of the past as a clear cap was placed on issuance of 30 day visa exemption stamps and those with multiple tourist visas began to become the subject of enhanced scrutiny at border check points. This scrutiny has been recently evidenced by the fact that those entering Thailand on tourist visas with a history of multiple tourist visas are being asked to show that they have 20,000 baht in their possession at the time of entry into the Kingdom.
Meanwhile, recently promulgated legislation has created more severe penalties with respect to working illegally in Thailand. Enhanced civil and criminal penalties are at the forefront of the recent changes. As of the time of this writing a sort of moratorium has been placed upon the implementation of these new rules, but it has been made very clear by relevant authorities that these new provisions are set to come into effect as of January 1, 2018. It is this blogger’s opinion that the moratorium was only enacted to stem the exodus of migrant workers from neighboring countries and will effectively have no bearing upon foreign workers in Thailand from Western countries or countries further afield than those which border the Kingdom.
What can be taken from these developments? First, certain aspects of the immigration and work authorization regimes were outdated and needed to be upgraded. Meanwhile, Thai authorities have made it clear that they expect those who wish to live and work in Thailand to make appropriate efforts to obtain proper immigration and employment documentation. Where there was something of a lax attitude regarding these issues in the past such laxity cannot be expected to exist moving forward. Therefore those wishing to live and work in Thailand in the future are well advised to do substantial research before traveling to Thailand and after ascertaining the correct legal documentation, take necessary steps to only be physically present in Thailand on appropriate documentation.
26th June 2017
New Penalties Associated with Work Permit Violations in Thailand
Posted by : admin
It recently came to this blogger’s attention that there are new penalties associated with violation of the laws and rules regarding foreign nationals working in Thailand as set forth by the Thai Ministry of Labor. Specifically on June 22 of 2017 an Emergency Decree was promulgated stipulating some new rules and new penalties associated with both new and old regulations. Please see below for a distilled translated summary of the important points noted in this recent decree:
- Should an employer employ a foreign national to work in a position specifically restricted to Thai nationals, such employer shall be fined between 400,000 and 800,000 Baht per employed foreign national.
- Should an employer allow a foreign national to work outside the scope of the employment specifically noted in the work permit they shall be fined no more than 400,000 Baht for each employed foreign national.
- Should a foreign national work without first obtaining a work permit or work in a position specifically restricted to Thai nationals, they may be subject to imprisonment of no more than five years and/or fined between 2,000-100,000 Baht, or both.
- Should a foreign national work on a matter which is deemed immediate and important and do so without acknowledgment of a Labour Ministry officer by receiving form WP-10, they may be fined not more than 100,000 Baht.
- Should a foreign national work outside the scope of the job description set forth in the work permit, they may imprisoned not more than 6 months and/or fined not more than 100,000 Baht, or both.
- If an individual, through deceptive means, explicitly or implicitly advertises that they are able to bring a foreign national to work in Thailand in a dmestic capacity without a work permit, they may be imprisoned 3-10 years and/or fined 600,000-1,000,000 Baht, or both.
- Anyone found operating as a foreign job placement agency without a proper license shall be subject to possible imprisonment for 1-3 years and/or fines ebtween 200,000-600,000 Baht, or both.
- There appears to be a deposit/pre-authorization requirement being imposed by this decree, but the implications of this section are somewhat unclear. We will update this posting or post again to provide clarification on this point if necessary.
It should be noted that the above summary and translation is for informational purposes only and should be viewed as neither exhaustive nor as a substitute for fully analyzed legal research and translation. Those interested in delving further into this topic are urged to view the full decree in its entirety by following this link provided by the official wesbite of the Royal Thai Gazette.
As has been noted, in recent weeks and months there has been increased scrutiny from the Royal Thai Immigration Police with respect to Thai business visa applicants in the form of surprise inspections. This recent announcement regarding heightened penalties associated with imporperly obtained Thai work permits leads this blogger to infer that heightened scrutiny and possible inspections could be imposed upon foreign nationals working in Thailand in the relatively near future.
2nd March 2016
In a recent posting on the website of the National News Bureau of Thailand the possibility of issuing Thai work permits with a validity of two years was discussed. To see the announcement please read this quotation from the aforementioned website:
The Cabinet has approved the extension of the work permit for foreign nationals to two years while giving employers four months to bring their workers to apply for the document. Director-General of the Department of Employment Arak Prommanee revealed that Cabinet approval has been granted to the proposal of the committee in charge of foreign labor management policies to have the life of foreign workers’ temporary work permit, or the pink card, extended from one year to two years. As a result, workers whose permits will expire on March 31, 2016 will be allowed to stay in the Kingdom for two more years, pending the nationality verification process. To apply for the new permit, employers will be required to take their foreign employees to report themselves at registration spots designated by the Department of Employment within 120 days from April 1. The Cabinet also assigned the Department of Employment to adopt regulations in support of the permit extension within 120 days, with consideration to be given to the prevention of foreign labor shortage, national security, prevention of permanent residency, assurance of workers’ protection and establishment of an efficient management system.
It should be noted that the announcement above seems unclear regarding the type of work permit discussed. Some foreign nationals, such as Burmese, Cambodian, and Lao nationals, have a different work permit regime compared to other foreign nationals and from the above information it is difficult to ascertain whether the proposed 2 year Thai work permit scheme is meant for all foreign work permits or a specified subset. Further information will be provided for clarification should a further announcement be made.
Meanwhile, while it appears from the above announcement that Thai officials may be poised to implement more favorable conditions regarding foreign labor regulations, Thai immigration rules are poised to become much more stringently applied. New immigration rules have been on the horizon for some time now as evidenced by a January 2016 articlein the Bangkok Post discussing the proposed rule changes:
In just under two months, the Immigration Bureau will officially begin arrests and tough new penalties against foreign law-breakers. The programme is in the hands of Pol Lt Gen Nathathorn Prousoontorn, one of the most experienced immigration officers. He has spent some time drawing up new laws, rules and regulations, as part of the first major overhaul of immigration enforcement in decades.
Those overstaying a visa in Thailand will soon face strict fines and penalties. Moreover, those caught committing a crime while overstaying could see themselves barred from entering Thailand for as long as ten years. There are some who would argue that these changes are long overdue. For decades, Thailand’s immigration rules have been quite lax when compared with the rules and regulations of other countries (notably the United States which has, since the mid 1950s, had severe bars for overstaying enshrined in the provisions of the United States Immigration and Nationality Act), but that era appears to be coming to an end. In the future, those overstaying more than 90 days could see themselves barred from reentering Thailand for varying periods of time depending upon the amount of time they have overstayed.
In a more recent article in the Bangkok Post further clarification was provided regarding how far immigration officials are seemingly willing to go in enforcing the soon-to-be enacted rules for overstayers:
Overstaying just got serious. After decades of treating visa-overstay less seriously than jaywalking, there now will be real and lasting consequences…the computerised blacklist operators at every airport and border crossing are going to kick out those who have overstayed, and not let them back. This is the really new part of the plan – exile.
Finally, notwithstanding the previously noted implementation of stricter overstay rules, it appears that those in Thailand as journalists may face increased scrutiny from immigration. In the aforementioned article, new rules for M visa holders (“M” standing for Media) was discussed:
The Foreign Ministry announced tweaked rules for the M-class non-immigrant visa and extension. Minister Don Pramudwinai himself helped to write, signed off, defended and will oversee the new rules for journalists.
Although presently there are no clear guidelines yet set regarding the new regime for administering M visas the consensus seems to be that M visa issuance may become more selective. Some have surmised that fewer freelance journalists will be granted M visas moving forward. This blog will continue to provide updates on the situation as the rules come into effect and the methods of enforcing new rule changes become clearer. Readers are strongly encouraged to follow the links above and conduct their own research on these matters as failure to adequately understand these policies could lead to problems in the future. New rules for overstay in Thailand are set to be implemented in mid-March 2016.
18th September 2013
Guidelines For ASEAN Workers Seeking Thai Work Permits Under Review
Posted by : admin
Officials at Thailand’s Ministry of Labor are currently in the process of promulgating guidelines pertaining to the issuance of Thai work permits for ASEAN citizens, according to an official report from the Government Public Relations Department. These measures are being implemented in an attempt to better manage what are perceived to be substantial future inflows of skilled and professional labor coming from the other jurisdictions which comprise the Association of Southeast Asian Nations (ASEAN). For those unaware, the ASEAN economic community (AEC) is currently poised to economically integrate in 2015.
According to officials at the Ministry of Labor, initially work permits may be issued for citizens of other ASEAN nations in twenty-five career fields. This prospective policy is in keeping with the provisions of the ASEAN Agreement on the Movement of Natural Persons (MNP). Professionals operating in areas involving: computers, advertising, marketing research, research and development, agriculture, telecommunications, management, education, finance, health, translation services, construction, engineering, and transport services (to name a few areas) may be eligible for a Thai work permit. Labor Ministry officials are apparently poised to utilize the National Skill Standard in order to ascertain whether approval of a work permit application for an ASEAN citizen is warranted. This measure is being undertaken in an effort to insure that only qualified workers are granted a work permit. Meanwhile, the Ministry of Labor and the Ministry of Commerce are preparing to work in conjunction with the Management System Certification Institute (Thailand) in an effort to set policies aimed at providing temporary status for qualified ASEAN citizens wishing to enter the Kingdom of Thailand.
All of these measures appear to be designed to provide ASEAN citizens with the rights and privileges that come with work authorization in Thailand. It is thought that as ASEAN becomes increasingly integrated larger numbers of foreign workers will descend upon Thailand as increasing numbers of Thai nationals seek employment opportunities in other ASEAN countries.
At the time of this writing, virtually all foreign nationals working in the Kingdom of Thailand are required to obtain work authorization in the form of a Thai work permit. Except in the case of a foreign national married to a Thai, such individuals are also required to obtain a Thai business visa in order to be eligible to apply for a work permit. As can be inferred from the information noted above, notwithstanding the integration of the ASEAN economies, foreign nationals from ASEAN countries are also likely to be required to obtain business visas and work permits before being able to legally undertake employment in the Kingdom.
30th April 2011
Over the years this blogger has seen large numbers of tourists flock to the Kingdom of Thailand as well as the neighboring nations of Laos, the Union of Myanmar (referred to by some as Burma), Malaysia, and the Kingdom of Cambodia. At the same time, this blogger has also witnessed the metamorphosis of some of these tourists into entrepreneurs by remaining in some of these countries (as well as other jurisdictions in Greater Asia such as Indonesia, Vietnam, China, Taiwan, Singapore, Hong Kong, South Korea, Nepal, Macau, India, and Sri Lanka; to name only a few) in a business context for many years and; for some, even decades or a whole lifetime. Whatever the circumstances of those Americans Resident Abroad remaining in the region of economies increasingly being labeled by both the mainstream and alternative media outlets by their affiliation with the Association of Southeast Asian Nations (ASEAN) one thing is clear: the economies of Asia are set to expand at an incredible rate by relative historical comparison. Therefore, it stands to reason that there are likely to be more Americans doing business in these jurisdictions. This state of affairs is occurring at a time when the potential of the internet and the World Wide Web first noted little more than a decade ago is beginning to become fully realized by businesses large and small. As e-commerce becomes an evermore ubiquitous facet of virtually every enterprise’s business strategy it is becoming more clear that many business functions are increasingly being performed by businesses of all sizes online and, in some cases, these businesses are even being maintained from an entrepreneur’s home.
This phenomenon is interesting for this blogger to note from the perspective of an American who is resident in Bangkok, Thailand as the Thai shop-house business model of maintaining a residence and business premises within close proximity has lead to a thriving small business community in the vast metropolis that is Greater Bangkok. This thriving business community, coupled with many of the other positive factors associated with doing business in Thailand, has lead to a vibrant economy that remains conducive to further foreign investment by entrepreneurs and businesses seeking to derive economic benefits both in Thailand and throughout the Asian markets. Of possible importance to Americans resident abroad or those thinking of residing abroad are the issues noted above as well as those associated with ownership of Thai property or Thai real estate especially in the form of a Thai Condominium.
In Thailand, as well as throughout many jurisdictions in Asia, there are restrictions placed upon foreign ownership of real estate. Although there are provisions allowing for foreign ownership of Thai property in many cases it is difficult, if not impossible, for a foreign national to secure freehold title (referred to as Chanote title in Thailand) in Thai real property such as land. However, it may be possible for a foreign national in Thailand, such as an American Citizen, to conveniently secure freehold title to a Thai Condo if the provisions of various laws and regulations on this issue, such as the Thai Condominium Act, are adhered to. Meanwhile, a foreign national who owns a Condo in Thailand may be qualified to receive a Foreign House Registration Booklet (referred to as a Tabien Baan for Thais or a Foreign Tabien Baan, or Yellow Tabien Baan for foreign nationals). Taking the aforementioned factors into consideration, in conjunction with the fact that for American Citizens and American Companies in Thailand there may be benefits pursuant to the provisions of various legal instruments such as the US-Thai Treaty of Amity which may provide the privilege of virtually 100% ownership of a Company in Thailand with “National Treatment” for certain business undertakings, one is left with little doubt that there are tangible legal benefits which could be accrued to the favor of Americans resident in Thailand conducting business in the ASEAN region as well as the regions of Greater Asia. Therefore, investing in what this blogger would refer to as a “Thai Pad” (which non-literally alludes to the IPad-like gadgets allowing for increasingly easy real time access to the internet as well as the exponentially beneficial combination of privileges accruing to owners of Thai property registered on a Yellow Tabien Baan in conjunction with the advantages which may be had for Americans resident abroad utilizing a Thai company certified under the US-Thai Amity Treaty) could prove to have been prudent by future analysts in both tangible as well as intangible terms.
For related information please see: US Company Registration.
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