Integrity Legal

The popular Website Thaivisa.com and the Nation Newspaper are reporting on the news that There is a planned expansion of Thailand’s current international airport. To quote the article:

“Airports of Thailand plans to build a domestic passenger terminal at Suvarnabhumi Airport while inviting the private sector to invest in six projects at the old Don Mueang Airport. Construction of the new terminal will start in 2012 for completion in 2015, to accommodate an additional 20 million passengers a year.”

A question upon the lips of many who read this blog is likely: “What about Getting a Reentry Permit at the airport?” Although these two subjects seem only tenuously related, they may in fact be more related than it appears at first glance.

Up until January 1, 2009 it was possible for long term residents of Thailand to obtain a Reentry Permit at the airport. This is an important stamp to obtain for those present in the Kingdom on a Thai visa extension. When one enters the country on a Thai visa, the visa has a set validity. However, it is possible to have one’s visa extended past the visa’s initial validity. Once obtained this instrument is known as a visa extension. However, the extension does not explicitly permit the bearer to leave the country and return while simultaneously remaining in status. Therefore, it may be necessary to acquire a Reentry permit so that one may leave the Kingdom and return while maintaining the same visa status.

There used to be a Royal Thai Immigration Office at Suvarnabhumi Airport that issued Reentry permits to travelers immediately before they left the country. As could be reasonably assumed, this office was very convenient for those leaving Thailand and wishing to return in status. However, for some unknown reason, this office was closed and currently it is not possible to get a Royal Thai Immigration extension issued at the airport. Those wishing to get a reentry permit must do so at another Thai Immigration office.

Hopefully, with the addition of a new terminal, the increased space at the airport may make it possible to reopen an Immigration office in order to facilitate the issuance of reentry permits. This being said, there appears to be no plan in place for opening any new Immigration offices at the airport.

It should be reiterated that anyone staying in Thailand on a visa extension should obtain a reentry permit before they depart from the Kingdom in order to forestall falling out of lawful visa status upon departure. Those present in the Kingdom on a multiple entry visa can depart and return to the Kingdom until the end of their visa’s validity.

For related information please see Thailand business visa

Tags: Reentry Permit, Thai Visa, Thai Visa Extension, Thailand Business Visa, Thailand Immigration, Thailand Visa
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For the most part issues involving Thailand Business Visas can be broken don into three categories: Thai Visa Extensions, Thai Multiple Entry One Year Visas, and Thai Permanent Residence.

The Thai Multiple Entry One Year Business Visa

A multiple entry business visa is a long term visa that allows the holder the right to remain in Thailand for a period of up to 90 days per entry, but the visas validity is for 1 year. This means that one must make the obligatory “border run” e very 90 days in order to stay in status. A border run is the euphemism used amongst expats in Thailand (and Southeast Asia) when speaking about going to the border with the primary purpose not being to leave the country, but to maintain legal status. An odd “bonus” with regard to the long term visa is the fact that toward the end of the one year visa’s validity one can reenter the country shortly before the visa’s expiration and receive an extra 90 days on the back end.

The Thai Visa Extension

The extension of a Thai visa occurs inside of Thailand. One must file for an extension with Royal Thai Immigration. In order to obtain a visa extension based upon a Business Visa, one must show that the employer has at least four Thai employees for every foreign employee. Also, the visa extension applicant must have a Thai work permit. The business must also produce evidence showing a history of corporate income tax and VAT payment in order to obtain a visa extension for a foreign employee. Finally, should the extension be granted, the foreign visa holder must obtain a reentry permit in order to leave the country and remain in status upon the same visa. (The reentry permit is something akin to reentry permits for US Visas).

Thai Permanent Residence

Thai permanent residence is a difficult and time consuming status to obtain. In order to apply for permanent residence, one must have been resident in the Kingdom for three consecutive years on visa extensions (multiple entry visas will not suffice as one goes out of status at each border run).  There are also salary requirements as well as a minimum Thai language proficiency requirement. Once permanent residence is granted the permanent resident will still need to obtain a Thai work permit should he or she decide to obtain employment. The positive aspect of permanent residence is the fact that permanent resident’s visa does not “sunset,” and can only be specifically revoked.

Note:  Nothing in this post should be construed or inferred as creating an attorney client relationship nor should be used instead of legal advice from a licensed attorney in your jurisdiction.

Tags: long term visa Thailand, Thai B Visa, Thai Visa Extension, Thai Work Permit, Thailand Business Visa, Thailand Permanent Residence
Posted in Thailand Visa | 2 Comments »

For a foreign small business owner in Thailand in order to obtain a Thai visa extension the foreigner must hold a valid Thai work permit, the business must employ 4 Thais per foreign employee, and must get those Thai employees social security benefits. All of this is  fairly straightforward, but a question arises when the non-Thai foreigner is the Managing Director of the company: is the Managing Director entitled to sign up for and receive social security benefits?

Many issues are left to the discretion of the Thai government officers so one of the frustrating aspects of doing business in Thailand is the fact that different offices interpret the Thai laws and internal administrative regulations differently. Case in point, some social security offices view the Managing Director of a Thai company as ineligible to receive social security benefits because he is not “labor,” and therefore is not someone who should be accorded labor protections under Thai law.

This is an odd stance to take particularly when looking at the issue from a common-law perspective because under the jurisprudence of most common law jurisdictions an incorporated entity is viewed as a legal person, separate and distinct from natural persons (even where a natural person is the sole owner or director of a company, or juristic person). Therefore, under the common law, the stance would probably be that the Managing Director works for the company and therefore is entitled to employment benefits like social security.

A counterargument to this position could be that although working on behalf of the company, this role is different than actually working “for” the company. As the Managing Director is, in a sense, the living embodiment of the company. It is a very semantic argument, but not one without at least some merit.

All of this begs the question: How does one  obtain social security benefits for the managing director of a company in Thailand? Where the person seeking the benefit has already enrolled for social security, the benefit can be rolled over when the person becomes managing director. However, the person seeking to roll over the benefit must have left their previous employment no more than 6 month prior to roll over (and this time frame may be left to the discretion of the Social Security legal officer). Another method for obtaining the benefits in this situation is by delineating and distinguishing between Managing Director functions and functions as an employee. In order to do this, one must also show separate pay for the separate endeavors. At the end of the day, it is up to the officer’s discretion and it is always wise to consult a Thai lawyer before making any major business decisions in Thailand.

For more information, please see:

Thailand Visa

Thai Company Incorporation

Note: None of the above should be construed nor used as a substitute for individualized advice from a duly licensed attorney in good standing. No attorney client relationship should be inferred from reading this post

An oddity of Thailand’s Social Security benefits scheme

Tags: Managing Director, Thai Company, Thai Visa Extension, Thai Work Permit, Thailand Business, Thailand Social Security, Thailand Visa
Posted in Thailand Business | 1 Comment »