According to new Thai rule, a foreign company’s representative office in Thailand is no longer obliged to obtain a foreign business license from the Department of Business Development. Though, the representative office is still subject to other legal and tax compliance rules of Thailand- including the requirement to submit the necessary tax returns in Thailand.

The representative office should have a minimum capital of Baht 2 million, although the foreign business license is not required.

The permitted activities of a representative office of a foreign company are as follows:

  • Sourcing the purchase of goods or services in Thailand for the head office or affiliates
  • Controlling and inspection of the quality and quantity of the goods bought or manufactured in Thailand for the head office or affiliates
  • Advice on various aspects of the goods of the head office or affiliates sold to dealers or consumers
  • Dissemination of information about new goods or services of the head office or associated companies
  • Reporting on business activity in Thailand to headquarters or affiliates