Forming A Corporation

[Sam125]

I am American and my wife is Thai.

1) Can our minor children (dual citizenship Thai US) be stockholders as part of the required seven stockholders?

2) Can we issue preferred stock with no voting rights and have part of the required seven shareholders only have preferred stock?

3) Can we have a token shareholder as part of the required seven with only on share worth say 100 baht?

4) Are there restrictions on dividends related to authorized capital and profits?

5) Does Thailand have the equivalent of a US S corporation which eliminates double taxation at the corporate level?

[Irene]

Sam125,

The responses are in bold type:

I am American and my wife is Thai.

1) Can our minor children (dual citizenship Thai US) be stockholders as part of the required seven stockholders?

Yes

2) Can we issue preferred stock with no voting rights and have part of the required seven shareholders only have preferred stock?

No. Under the law, no stock can be without voting rights. The required six other shareholders could have one-share-one vote each.

3) Can we have a token shareholder as part of the required seven with only on share worth say 100 baht?

Yes

4) Are there restrictions on dividends related to authorized capital and profits?

I am not sure whether I understand the question. Dividend payments are at the discretion of the Board of Directors and subject to approval at the general meeting of shareholders.

5) Does Thailand have the equivalent of a US S corporation which eliminates double taxation at the corporate level?

No. Each corporation is viewed sacrosanctly as a separate entity and subject to tax under each corporate level.