Sunbelt Asia

The safest option is to set up a Thai Limited Company which is Thai majority owned. This limits your liability in a way that partnerships do not. The Thai Limited Company needs a minimum of 3 shareholders, and at least 51% owned by Thai nationals, although some offices may require a higher ratio of Thai to foreign shareholders.

Additionally, it can be difficult to obtain a work permit on a partnership.

You need 2 million Baht registered capital, however this does not mean you need 2 million Baht in the bank. Capitalization fees are 500 baht per 100,000 baht of capital. You will need to pay in at least 25% of your registered capital within 90 days of registering your company either by cash, assets inventory or equipment. To pay up your registered capital by assets you would be required to transfer the designated assets into the company’s name (once the company is registered).

To obtain a work permit, you need 2 million baht in registered capital and at least 2 Thai employees the first year, many offices relax the 4 Thai employee requirement in the first year but in the 2nd year you will need 4 Thai employees, social security must be paid on these employees.

Marriage to a Thai spouse can be advantageous in reducing the required paid-up registered capital from 2 Million to 1 Million baht for 1 work permit as well as reducing the number of Thai employees to two in the first year.

Additional licenses would be requested as you would be involved with clinical psychology. The company would be requested to obtain Medical Institute certification, the therapist would be needed to have a license to operate as a physician (medical degree, etc).

You should consider talking to a lawyer before starting this procedure, Sunbelt Asia has extensive experience setting up Limited Companies. Without the proper guidance, pitfalls may and have occurred.

[sunbelt][/sunbelt]

egistering a company in Thailand solely for the purpose of exporting to other countries allows foreigners to own 100% shares in the company. However, you will need 3 shareholders to register the company (yourself included).

You may choose to re-package products at your own discretion so long as there are no substantive alterations or changes made to the actual products being shipped. Bear in mind that since it is a Thai registered company, Thailand taxation laws apply with an exemption of the sales tax (7%) for export companies. As long as you can show the bill of lading and other proof of export documents to the Revenue Department, you need not charge your clients with the VAT but you will still have to file VAT to the Revenue Department (even if it is at 0%).

You will need an Import Export License (also called a Customs Card) which is valid for three years. The Gold smart card is for importers and exporters; the Licensed Custom Brokers get a Silver card, the Yellow smart card is for the owner or manager; the attorney-in-fact gets a green card and the customs clearance card is pink. A natural person is required to submit valid ID to Customs during the clearance procedures: a Thai ID for Thais or a passport for non-Thai residents.

Sunbelt Asia has experience in registering this type of company for you. Feel free to visit our website www.sunbeltlegaladvisors.com to learn more or contact us to discuss the matter in detail.

[sunbelt][/sunbelt]

If the company terminates the contract you are due 30 days severance if you work more than 120 days but less than one year. The fact that it is a fixed term contract does not necessarily negate the need for severance pay.

At the end of the agreement, if your employer chooses not to renew your contract, you would only be entitled to 1 month of severance. But you will not be able to obtain compensation for advance notice as the expiry date of the contract is considered advance notice.

However, if the employer terminates the contract before the expiry date then you must be given 30 days advance notice. Should the employer fail to give advance notice, then compensation must be provided.

If the employer refuses to provide severance then you have the option to go to the Labor Department and, if needed, Labor Court.

[sunbelt][/sunbelt]

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Sunbelt Asia checked with Amcham and was told that the property owners nearby would not allow fireworks out of concerns for the safety of their homes.

Alcohol sales are required to stop at 5:30 p.m. due to the election but food and non-alcohol sales will continue until 8 p.m.

The main reason for requesting people to use public transport is the heavy traffic caused when everyone brings their cars, last year more than 2,000 people came to the party.

However, there will be a free shuttle bus from the Huay Khwang MRT.

Peter Driscoll and the Cruisers, Tony Martin, Soi Dogs, Queen Bee and Wildside will rock the crowd with live music and a DJ will keep you dancing all day. American and International style foods will be available from Sunrise Tacos, the Dukes, Roadhouse BBQ, and Bourbon Street. Traditional 4th of July fare will also be available with the American Veterans of Foreign Wars (VFW) grilling up American beef burgers with all the trimmings and the American Women’s Club serving lots of hot dogs.

The 3rd Annual I-Day Chili Cook-Off gives amateur chefs a chance to put their chili to the test.

The US Marines will be there to raise the flag.

The event is always fun and a great place for friends and family of all nationalities to enjoy a traditional American celebration.

http://www.idaybkk.com/main/content/schedule_2011.html

Setting up a limited company no longer requires 7 Thai nationals, it requires a minimum of 3 shareholders and the majority of the shares must be owned by at least one Thai in certain sectors unless you apply for a BOI or Amity treaty protection if you are an American. Sectors where you can own 100% of the shares, regardless of your nationality with no Thai shareholders, in most cases is manufacturing or exporting.

Registered capital of 2 million Baht and 4 Thai employees in order to obtain one work permit is generally the required norm although the Labor Department officer may allow 2 Thai employees in the first year of a start up company. Only one million Baht in registered capital in necessary if you are married to a Thai national.

Forming a company is not a easy task and has many pitfalls. Sunbelt Asia has been doing this for thousands of companies since 2001 and is consider one of the best in Thailand. We welcome you to contact us for a free consultation. 02-642-0213

[sunbelt][/sunbelt]

Please Clarify.

Do all Work Permits require a University Degree ? I have never had to show in the past (I dont have one). I am Married to a Thai and wish to apply for O Visa, how does this apply to me. I would like to come see you to get this sorted out. Please call me 086780 3801. MB

To clarify: All work permits require an education certificate. They did not specify that the minimum must be a BA or BS but that you must show an education certificate. Apologies if the original post was unclear, it should have read : eg: BA, BS, etc.

Additionally, please note that the office is closed after 6 p.m. so any participation by us would take place when we are open, so apologies to anyone who felt that their questions were not answered after that, everyone was at home.

The Labor Department has instructed Sunbelt Asia lawyers that starting from today there are new requirements for all new applicants for work permits and also new criteria for existing work permit holders for renewals. They have issued new forms for work permit applications in several classes.

New applicants for work permits will now be required to provide proof of their Education Certificate (eg: BA, BS, MA, MS, PhD) and a reference letter from the previous employer confirming employment.

The photo size has also changed from 5cm x 6 cm to 3cm x 4 cm.

Extensions of work permits (WP 5) will now also require a map to the office and a medical certificate. The medical certificate is valid for only 6 months so annual renewal of work permits will now require a new medical certificate including the exam for the usual diseases and the syphilis test. (Previously only new applicants needed to provide the medical certificate)

Additionally the medical certificate will also need to indicate the applicant's blood type.

New forms are now available and can only be used:

WP 1.: new applications for work permits

WP 3. (files include wp.3 and 3.1): petition treated as a pre-requisite while the applicant is outside the country applying for a non-b visa

WP 5.: extension of work permit

WP 6.: changes in the current work permit, such as adding a company, change in job title, change in office location (misc changes that do not require the issuance of a new work permit).

The new forms are attached.

WP.1.pdf

WP.3 ???.pdf

WP.3.pdf

WP.4.pdf

WP.5.pdf

WP.6.pdf

wp3.1.pdf

Cancelled WP..pdf

[sunbelt][/sunbelt]

If you are referring the villa owners to foreign customers for long term rental (ie monthly rental) and collecting commission from the rent then you would be considered a property real estate agent and no TAT license would be required. It is important to note that this is a restricted occupation for foreigners so you would need to set up a Thai majority owned Limited Company to proceed.

However, if you are referring the owners to foreign customers for short term vacation rentals as guests in the villas and collecting commission from the accommodation then you would need a TAT license as this would be considered as a Travel Agency.

Obtaining a TAT license as a foreign natural person is not allowed but a Thai majority owned limited company with the objective of working in the tourism business can apply for the TAT license.

Its important to note that if you are taking online bookings as a Travel Agent an E-commerce license may be required.

[sunbelt][/sunbelt]

Working from home without a work permit is illegal.

You could set up a company in Thailand (this would allow you to legally obtain a work permit) and provide services to your employer. This would also enable you to provide the same kinds of services to other companies as well.

The foreign company would pay your company for services provided and your company would be liable for it's income tax in Thailand. You would be paid by your company (for example a director's salary) and that would be considered as a company expense but you would be liable for personal income tax in Thailand.

However, this may change your benefits such as pensions with your current employer since you would no longer be an employee but a service provider so you should check with them if this is an issue.

If you wanted to survey the possibility of doing business in Thailand and are serious about this, Sunbelt Asia could sponsor you for a multiple entry non immigrant B visa with the requirement that you must leave Thailand once every 90 days to get another 90 days. You could stay in Thailand for up to a year with this one year multiple entry visa. It is better to apply for this visa in your home country.

[sunbelt][/sunbelt]

The acupuncturist must have a Practitioners license in the field of Chinese Medicine issued by the Ministry of Health. If you graduated from overseas (and are not a Thai national) then you must be licensed in Chinese medicine in the country you graduated from.

You could apply for a Practitioners Licenses in the field of Chinese Medicine if you have obtained a Bachelor's Degree or its equivalent in Chinese medicine from an institute in Thailand that has been recognized and accredited by the Chinese Medicine board.

Any acupuncture clinic would need to obtain approval from the Ministry of Health before opening.

[sunbelt][/sunbelt]

Setting up a language school involves not only setting up a company but several other factors will need to be fulfilled as well.

If your wife sets up a 100% Thai owned limited company then 4 Thai employees on which social security is paid are required for each work permit. Obtaining work permits on a sole proprietorship may be difficult, the Bangkok Labor Office will not issue work permits to sole proprietorships, so it is better to check with the Provincial Labor Office as to their regulations before moving forward.

If the company is partially owned by a foreigner then 1 million baht in capitalization (since you are married to a Thai national- if not married to a Thai national then 2 million baht in capitalization is required) and 4 Thai employees is required for each work permit although some offices may allow 2 Thai employees per work permit the first year of operations.

A language school requires certification from the Ministry of Education in the Private Education Sector. The Ministry of Education also requires Thai majority ownership and a Thai director. Additionally, instructors generally need to be recognized by the Ministry of Education (ie Teachers License) before applying for the work permit as this would most likely be requested from the Labor Office before issuing the work permit.

A loan would depend on the bank and shopping around may be the best way to find a bank that will loan to a new business as some banks will and others will only offer loans to existing businesses.

[sunbelt][/sunbelt]

Often, when appointing an Executor, the Courts will recommend that a disinterested party be appointed as executor so as to avoid any future conflict.

Well, two things come to mind....

For simple Wills, where each spouse leaves everything to the other spouse, and there are no kids (my example), the chance of the Will(s) being contested would seem to be zip.

As such, our Wills (both US and Thai) have the spouse as executor. Normal procedure, for sure, in the US. But, I don't quite understand the "Often, when appointing an Executor, the Courts... " -- since the executors have already been selected via the instructions in the Wills(?).

I guess what you're saying is that, should the Will be contested, the Thai court has the authority to throw-out the designated spouse executor and appoint a more neutral one...

But, if I had a Will drawn-up at Sunbelt, are you saying you would recommend against appointing my wife as executor?

Administering of estates can be quite complex and may require a considerable amount of time to undertake all the tasks that are required. Things to consider when choosing an executor: is your spouse able to deal with bureaucracy, is she well organized, is she good with paperwork and is she vigilant about meeting deadlines?

When considering your spouse for executor in another country this would be doubly important as well as language skills, ability to travel and obtain visas, and managing the assets when she arrives in your home country.

If you do appoint her executrix, in order for her to be formally recognized by Thai law and allow her to deal with the various government and private sectors, she will need to be formally recognized by the Court as the Executor of the estate. Her petition to the Court to be appointed as Executor could be challenged by other beneficiaries who may feel that they would be better suited to the position.

Sunbelt Asia recommends that for smaller estates, if you feel confident your spouse can manage these issues then you may wish to choose to appoint your spouse. However in medium size and large estates or estates in two countries, a bank or lawyer may be much better.

[sunbelt][/sunbelt]

You can appoint your own executor provided your designated executor is a non related party that does not have any interest in the estate and it would be approved by the Court.

Are you sure Sunbelt?

The following quote from Thailegal:

The executor can be anybody, such as a trusted friend or the heir himself. In case of having lots of assets, the testator can assign many executors or lawyers or trustees.

....which seems to make a lot more sense.

It is legal but if the will is contested in any way the Court may throw the will out as invalid as the executor may be deemed to have a conflict of interest. (There have been such cases)

Often, when appointing an Executor, the Courts will recommend that a disinterested party be appointed as executor so as to avoid any future conflict.

[sunbelt][/sunbelt]

Any existing loans or mortgages taken out on the condo should be registered on the title deed. We always recommend that a potential buyer hire a lawyer to go to the Land Department to check the title deed before considering a purchase.

[sunbelt][/sunbelt]

The service designation applies to any company offering a service that does not have a physical product.

In your case, the 3% withholding tax would be applicable to your consulting company as it is providing a service with no tangible physical product.

[sunbelt][/sunbelt]

I am afraid that Sunbelt Asia does not set up offshore companies. As this is not our area of expertise I will ask a forum moderator to move this into the Business forum so others may have the opportunity to answer it.

A usufruct can be cancelled but it must be on the agreement of both parties. In the event of a usufruct with a Thai spouse. the spouse cannot cancel the agreement without the consent of the foreign partner but may apply to the Courts to have it cancelled in the event of a divorce. If the Court orders the cancellation that does not necessarily mean the Thai spouse will gain full rights as, under Thai law, any assets gained during marriage are marital assets to be split 50/50 and the Court may order the sale of the land in order to divide the assets equally.

In cases of divorce where the assets are unclear or division is contested, it may be best to get a lawyer involved.

[sunbelt][/sunbelt]

To answer the original question, "What are the legal ramifications the driver of the car faces?"

Any driver involved in an accident like this would be liable to criminal charges by the police which would include:

1. drunk driving

2. negligent driving that causes injury.

3. hit and run

4. Any other additional offences may be taken into consideration.

The vehicle would be confiscated and it is likely the driver's license would be revoked.

In these cases, it may help to offer compensation to the victims before the insurance begins negotiating which could go towards seeking mercy from the Court, but getting a lawyer to deal with the police and victims in cases like this should always be the first move.

If the case against the doctor (or defendant in the suit) is dismissed for lack of evidence or if the Plaintiff loses the case, the doctor could countersue for defamation, Wrongful Act from the Plaintiff or other grounds. The Judge may or may not award the full amount of the suit.

[sunbelt][/sunbelt]

A company can have unlimited objectives (purposes) but the establishment process could take longer as the officer would need to read and understand each objective one by one. During the establishment process the officer would want to know which objectives or purposes that you would be performing currently.

VAT objectives can also have more than one, but it must be current actual business operations that take place now, the objective cannot be established for something you plan to do in the future as with company objectives.

[sunbelt][/sunbelt]

You can appoint your own executor provided your designated executor is a non related party that does not have any interest in the estate and it would be approved by the Court.

You should also be aware that an heir cannot be a witness to the will as witnesses must not have any interest in the estate. Also, it is best to register the will at the local Amphur (District Office) to avoid any confusion or difficulties.

[sunbelt][/sunbelt]

Any housing estate development with more than 9 plots must obtain a license from the government and, once the development is completed the developer can either turn it over to the Tessaban for maintenance or to a Housing Estate Committee formed by more than half of the homeowners of the development. This committee would be deemed a juristic legal person once application has been approved by the Land Office. The number of committee members is not determined by Thai law but rather by the homeowners in the application they submit for registration.

The application to the Land Office to declare the Housing Estate Committee as juristic person consists of:

1. the name of the village,

2. objective,

3. office location,

4. number of committee members, term duration, elections, dismissal of the committee, frequency of meetings

5. regulations governing the performance, the accounting and financial issues.

6. regulations governing the rights of the members

7. regulation in regarding to the general meeting.

So, in summary, the bylaws established by a majority of homeowners at the initial registration of the committee as a juristic person would determine the number of committee members.

[sunbelt][/sunbelt]

Work permits must be sponsored by a company.

Two options are

1. This company provides you with a work permit

2. Depending on what the business is, you form your own company with 2 million baht in capitalization and 4 Thai employees and obtain a work permit then your company contracts work with this company.

But an individual cannot obtain his own work permit without a sponsoring company.

[sunbelt][/sunbelt]

100% is deductible through normal accounting procedures while an additional 100% can be deducted if the company's proposed training course is approved by the Department of Skill Development (DSD). This is in accordance with the Skill Development Promotion Act, however the course would have to be deemed to be relevant to the employee in either upgrading his skill or diversifying him into other specialties. Not all courses are accepted into this program.

For companies that do choose to enroll in this, for large companies with over 100 employees then 50% must attend but for companies less than 100 employees the requirement will be waived and once enrolled, monthly contributions would have to be made.

[sunbelt][/sunbelt]

Since the 15% of the shares you gave your wife was a gift that you gave to her while you were an authorized director, then the Judge was correct in requiring you to pay her back in full the value of that gift after you took it back. Even if she signed a Share Transfer Instrument that does not waive the responsibility of reimbursing her for her shares. The Judge is requiring you to pay her back for shares that she owned. To not pay her back could be considered theft by the courts.

The fruits of the company were acquired after marriage, even though the shares were owned by you before the marriage, any benefit gained during marriage would be considered a marital asset and thus the earnings after marriage would be split 50/50.

The moment she became a shareholder, she also became entitled to any dividends that were paid out.

I would recommend a lawyer to help you work your way through this, including dealing with the prenuptial agreement and how it pertains to assets acquired or earned after marriage.

[sunbelt][/sunbelt]